The role of certification in the Brazilian fruit sector

Abstract

Certification systems play an important role in any market that is burdened with a high degree of information asymmetry and quality uncertainty. Thus, producers and exporters of fresh fruit in developing countries like Brazil are increasingly required to demonstrate the safety and traceability of their produce up to the consumption stage. This paper aims at presenting a comparative analysis of the different certification schemes applied to fruit production in Brazil. A survey of 303 grape and mango farmers was conducted in 2006 in the Juazeiro and Petrolina regions of the Sao Francisco Valley. The results of the certification schemes adopted by grape farmers show that GlobalGAP certified ones have higher productivity. The income of farmers with one certificate is higher than that of those with two certificates. The comparative analysis of small and medium farms concludes that there is no evidence of the marginalization of small farmers.