Schneide , Se gio; Cenci, Alexande
A icle
Towa ds mo e and be e ma ke s o a me s: The case
o amily Fa ming Ag i-p ocessing in Rio G ande Do Sul,
B azil
I alian Re iew o Ag icul u al Economics (REA)
P o ided in Coope a ion wi h:
Fi enze Uni e si y P ess
Sugges ed Ci a ion: Schneide , Se gio; Cenci, Alexande (2024) : Towa ds mo e and be e ma ke s
o a me s: The case o amily Fa ming Ag i-p ocessing in Rio G ande Do Sul, B azil, I alian Re iew
o Ag icul u al Economics (REA), ISSN 2281-1559, Fi enze Uni e si y P ess, Flo ence, Vol. 79, Iss. 3,
pp. 43-55,
h ps://doi.o g/10.36253/ ea-15459
This Ve sion is a ailable a :
h ps://hdl.handle.ne /10419/325692
S anda d-Nu zungsbedingungen:
Die Dokumen e au EconS o dü en zu eigenen wissenscha lichen
Zwecken und zum P i a geb auch gespeiche und kopie we den.
Sie dü en die Dokumen e nich ü ö en liche ode komme zielle
Zwecke e iel äl igen, ö en lich auss ellen, ö en lich zugänglich
machen, e eiben ode ande wei ig nu zen.
So e n die Ve asse die Dokumen e un e Open-Con en -Lizenzen
(insbesonde e CC-Lizenzen) zu Ve ügung ges ell haben soll en,
gel en abweichend on diesen Nu zungsbedingungen die in de do
genann en Lizenz gewäh en Nu zungs ech e.
Te ms o use:
Documen s in EconS o may be sa ed and copied o you pe sonal
and schola ly pu poses.
You a e no o copy documen s o public o comme cial pu poses, o
exhibi he documen s publicly, o make hem publicly a ailable on he
in e ne , o o dis ibu e o o he wise use he documen s in public.
I he documen s ha e been made a ailable unde an Open Con en
Licence (especially C ea i e Commons Licences), you may exe cise
u he usage igh s as speci ied in he indica ed licence.
h ps://c ea i ecommons.o g/licenses/by/4.0/
I alian Re iew o Ag icul u al Economics Vol. 79, n. 3: 43-55, 2024
Fi enze Uni e si y P ess
www. up ess.com/ ea
ISSN 0035-6190 (p in ) | ISSN 2281-1559 (online) | DOI: 10.36253/ ea-15459
REA ITALIAN REVIEW
OF AGRICULTURAL
ECONOMICS
ITALIAN REVIEW
OF AGRICULTURAL
ECONOMICS
Ci a ion: Schneide , S., & Cenci, A.
(2024). Towa ds mo e and be e ma ke s
o a me s: The case o amily Fa m-
ing Ag i-p ocessing in Rio G ande
Do Sul, B azil. I alian Re iew o Ag i-
cul u al Economics 79(3): 43-55. DOI:
10.36253/ ea-15459
Recei ed: July 12, 2024
Re ised: Oc obe 3, 2024
Accep ed: No embe 22, 2024
© 2024 Au ho (s). This is an open
access, pee - e iewed a icle pub-
lished by Fi enze Uni e si y P ess
(h ps://www. up ess.com) and dis ib-
u ed, excep whe e o he wise no ed,
unde he e ms o he CC BY 4.0
License o con en and CC0 1.0 Uni-
e sal o me ada a.
Da a A ailabili y S a emen : Da a
will be made a ailable by he co e-
sponding au ho upon eques .
Compe ing In e es s: The Au ho (s)
decla e(s) no con lic o in e es .
Gues Edi o : Pie luigi Milone
ORCID
SS: 0000-0002-4353-6732
AC: 0000-0001-7800-4800
The Mul idisciplina y App oach o Ru al S udies - Resea ch a icle
Towa ds mo e and be e ma ke s o a me s:
The case o amily Fa ming Ag i-p ocessing in
Rio G ande Do Sul, B azil
Se gio Schneide 1,*, Alexande Cenci2
1 Fede al Uni e si y o Rio G ande do Sul, Po o Aleg e, Rio G ande do Sul, B azil
2 O icial a he S a e Sec e a y o Ag icul u e, Li es ock and Ru al De elopmen o Rio
G ande do Sul, B azil
*Co esponding au ho . E-mail: [email p o ec ed]
Abs ac . Recen s udies on ma ke s and hei ole in de elopmen p ocesses ha e
highligh ed he c ucial impo ance o ma ke access as well as o powe ela ions. In
his a icle we a gue ha i is necessa y o ake a s ep o wa d ega ding he no ion
ha ma ke s a e collec i e ac ion de ices ha can be mobilised in a ou o he ac o s
who build and go e n hem. We suppo he hypo hesis ha he e a e mul iple ma -
ke s ha coexis and es ablish dispu es, which lead o he eme gence o di e en ypes
o ma ke s. A he same ime, we will show ha ma ke s a e s uc u ed di e en ly,
depending on he con ex in which agen s pa icipa e in comme ce. The a icle d aws
on empi ical da a on ma ke di e si ica ion by amily a ming’s ag i-en e p ises in he
S a e o Rio G ande do Sul, B azil. Findings highligh he kinds o ma ke s ha a e
mos desi able o ecommended o amily ag i-en e p ises and wha kind o policies
would be e bene i such u al en e p ises.
Keywo ds: ma ke di e si ica ion, social cons uc ion, amily a me s, Sou h B azil.
JEL codes: Q13.
HIGHLIGHTS
– The e a e inc easingly p ecise and o ce ul diagnoses o how ma ke s a e
s uc u ed and wo k unde capi alism.
– Beyond being socially cons uc ed, ma ke s a e s uc u ed di e en ly in
di e en con ex s and social spaces.
– A ma ke ypes based on cha ac e iza ion o he di e en ma ke ing
channels ha a e c ea ed and used o ansac p oduc s and goods by
supplie s is needed. The ype will make i possible o desc ibe he ma ke
s uc u es.
– To unde s and he s uc u e and unc ioning o ma ke s, i is essen ial
o unde s and and analyse how he p ocess o social ep oduc ion o
exchange ela ions akes place in ce ain social and economic con ex s.
44 Se gio Schneide , Alexande Cenci
1. INTRODUCTION
Recen s udies on ma ke s and hei ole in de elop-
men p ocesses ha e unde sco ed he c ucial impo ance
o wo aspec s: he challenge o accessing ma ke s and
powe ela ions. The issue o access o ma ke s is ela ed
o he subo dina e ole o selle s and buye s in ela ion
o la ge p oduc dis ibu ion chains, whe he hey a e
digi al comme ce pla o ms, supe ma ke s o dis ibu ion
companies ope a ing in he ag i- ood sec o . The p oblem
wi h access o ma ke s spli s in o hind ances ela ed o
asymme ies o powe wi hin he ma ke s. In a globalised
wo ld, nei he selle s no buye s a e con en wi h he
educ ion in hei nego ia ing capaci y. A e all, a p om-
ise o capi alism, he one ha compe i ion be ween selle s
and buye s would be ewa ded h ough compa a i e and
compe i i e ad an ages o he mos e icien agen s, has
ailed spec acula ly. Despi e e o s o achie e alloca i e
e iciency, h oughou he p ocess many agen s ealize
ha hey li e and igh in an en i onmen ull o impe -
ec ions and asymme ies, in which he winne s a e no
always hose who in es he mos e o .
In ecen decades, economic sociology s udies ha e
been pa icula ly asse i e in demons a ing he co -
ec ness o Ka l Polanyi’s (2000) asse ions abou he
dis o ed unc ioning o ma ke s in socie ies ha allow
hei sel - egula ion. The e a e, oday, p ecise and con-
clusi e diagnoses on how ma ke s a e s uc u ed and
unc ion unde capi alism. The e is a consensus ha
comme cial exchange ela ionships a e always socially
cons uc ed and, he e o e, subjec o impe ec ions
inhe en o human ac ion, such as sel -in e es , oppo -
unism, alsehood and decep ion. The e o e, ma ke s’
unc ioning, much like indi iduals in socie y, equi es
ules and egula ion in addi ion o su eillance mecha-
nisms ha an icipa e and cu b dis o ions. Thus, he
unde s anding ha ma ke s a e socially cons uc ed by
agen s who pa icipa e in hei a chi ec u e and equi e
egula o y ins i u ions has become consensual.
The impo ance o discussing ma ke s in he cu en
con ex o u al de elopmen is also e iden in he wo k
by Ven u a e al. (2010: 321). Acco ding o he au ho s,
new eme ging ma ke s ha e gained cen ali y in deba es
due o he changes ha ha e occu ed in he poli ical
economy o global ag icul u e. I is h ough hese ma -
ke s ha ag icul u e begins o espond o new social
needs and, hus, he es ablishmen and unc ioning o
ood and ag icul u al ma ke s becomes he main objec
o socio-poli ical s uggles.
Howe e , some gaps emain in he s udies which
equi e be e unde s anding, o example, he issue
o di e si y and he e ogenei y o ma ke s. The ecogni-
ion ha ma ke s a e social cons uc ions is impo -
an , bu i says li le abou how hey wo k in p ac ice,
how he ac o s who pa icipa e in hei cons uc ion
a e o ganized, wha powe ela ions a e like be ween
agen s and wha he game o who wins and who loses is
like in hese ela ionships. Fu he mo e, i is easonable
o assume ha he e is no homogenei y in comme cial
exchanges and ha hey may a y acco ding o c i e ia
o size, scale and in ensi y. The e o e, we need o deepen
ou unde s anding abou he di e si y o ma ke s.
In his a icle we will a gue ha i is necessa y o
ake a s ep u he ega ding he no ion ha ma ke s a e
collec i e ac ion de ices ha can be mobilized in a ou
o agen s. We in end o show ha , in addi ion o being
socially cons uc ed, ma ke s a e s uc u ed di e en ly
in di e en con ex s and social spaces. Basically, we will
a gue ha he e is a di e si y o ma ke s which co e-
sponds o hei ways o s uc u ing and unc ioning ha
depend on he con ex in which agen s pa icipa e in
comme ce.
Ou analy ical hypo hesis d aws on he idea ha
he e a e mul iple coexis ing ma ke s, which dispu e
and s uggle wi h each o he , leading o he eme gence
o di e en ypes o ma ke s. In iew o his, we p opose
a ypology o ma ke s based on cha ac e iza ion o he
di e en ma ke ing channels ha a e c ea ed and used
by supplie s o ansac p oduc s. This ypology will
he e o e enable us o desc ibe he s uc u e o ma ke s.
In his sense, o unde s and his speci ici y, we will
analyse he p ocess o ma ke di e si ica ion aking am-
ily a ming’s ag i-en e p ises loca ed in he S a e o Rio
G ande do Sul, sou he n B azil, as an empi ical case.
Family ag i-en e p ises a e small en e p ises ha ans-
o m, bene i , p ocess and comme cialize ag i- ood aw
ma e ials such as dai y p oduc s, mea , ui s, suga cane,
among o he s. We in end o show how hey a e s uc-
u ed and wha ma ke s a e used o sell hese amily
a ming p oduc s, by iden i ying he channels hey use.
Da a p esen ed demons a e ha many p oduc ion uni s
sell hei p oduc s h ough a ious ma ke ing channels
and ha he di e si y o o ms o his ma ke ing is based
on di e en mechanisms o con ol and egula ion, some
aci and in o mal, o he s mani es and o mal.
In he conclusions, we speci y which ma ke s a e
mos desi able o ecommended o a me s. Con a y o
wha con en ional and mains eam iews abou ma ke s
claim, access o di e en ma ke ing channels and di e -
si ica ion o buye s’ po olios can ep esen an impo -
an ad an age o selle s. A e all, we a gue, he g ea e
he choices and sales possibili ies, he g ea e he ma -
gin o manoeu e and “ma ke powe ”, unde s ood as
he capaci y o an agency o cope wi h he objec i e ci -
45
Towa ds mo e and be e ma ke s o a me s: The case o amily Fa ming Ag i-p ocessing in Rio G ande Do Sul, B azil
cums ances aced. In sho , we will suppo he idea ha
a me s need mo e and be e ma ke s.
2. INSTITUTIONS AND THE SOCIAL CONSTRUCTION
OF FAMILY FARMING MARKETS
Ins i u ions, as social phenomena ha condi ion
human beha iou , ha e ins iga ed he wo k o a ious
au ho s om di e en heo e ical pe spec i es. Geo ey
Hodgson (1994), o example, when discussing he ela-
ionship be ween he economy and ins i u ions, high-
ligh ed he impo ance o he en i onmen in which he
indi idual is embedded. Howe e , Hodgson no es ha
he ins i u ional en i onmen does no comple ely de e -
mine wha ac o s do o decide o do. In s udies on ma -
ke s as ins i u ions, he au ho highligh s ha exchanges
o goods a e acili a ed and s uc u ed by hese ins i u-
ions – ma ke s a e unde s ood as o ganized and ins i-
u ionalized exchanges1. Fo Hodgson, beyond issues
ela ed o con eying in o ma ion on p oduc s’ p ices and
quan i ies, ma ke ins i u ions con ibu e o condi ion-
ing he ac s and disposi ions o agen s, in luencing hei
choices, p e e ences and p ices.
In a sub le way, h ough he unc ioning o ma ke con-
en ions, ou ines and ules, he indi idual in he ma -
ke is, o a ce ain ex en , “coe ced” in o a ce ain ype
o beha iou . The e o e, and p ecisely con a y o wha
many o hodox economis s claim, he ma ke can ne e
be comple ely “ ee” in he classical libe al sense and does
no necessa ily ep esen he epi ome o eedom o he
indi idual (Hodgson, 1994: 179-180, au ho s’ ansla ion).
Hodgson (1994) also s a es ha issues such as p ice
and p oduc quali y a e pa ially legi imized by he
expec a ions and legi imizing and in o ma i e unc ions
o ins i u ions, which di e om hose o he “equilib-
ium p ice” p oposed by neoclassical heo y. Thus, when
discussing p ices in he ins i u ional con ex , Hodgson
(2003: 898) claims ha his mechanism depends, o a
ce ain ex en , on ideas and habi s and ha a heo y o
p ices mus he e o e be “a heo y o ideas, expec a ions,
habi s and ins i u ions, in ol ing ou ines and p ocesses
o alua ion.”
Fo Milone and Ven u a (2016) ma ke s can be con-
cei ed as an ins i u ion holding pa icula social no ms
ha cons i u e he basis o enabling exchange ela ions,
since such no ms lead o he de ini ion, o example, o
1 In his wo k, Hodgson (1994) emphasizes ma ke ins i u ions ha help
egula e and es ablish consensus on p ices, as well as communica e
in o ma ion abou p oduc s, p ices and quan i ies o po en ial buye s
and selle s.
p oduc s’ cha ac e is ics and o ms o use, as well as o
consume p e e ences. The au ho s poin ou ha oday,
especially h ough he neo-ins i u ional app oach, he
ma ke is no longe conside ed a pu e and abs ac en i-
y, ee om he in luence o comme cial agen s. Thus,
di e en economic, poli ical and social ac o s in e ac
o de e mine he ou come o a ansac ion.
In he same sense, Cassol and Schneide (2022),
poin ou ha “ma ke s a e social ins i u ions, o he
ex en ha hey obey [o a e embedded in] local cha ac-
e is ics o ood p oduc ion, ma ke ing, handling and con-
sump ion, which a e o ien ed by and based on he alues
sha ed by he ac o s who wo k in i s cons uc ion” (p. 5,
au ho s’ ansla ion) Fo he au ho s, “economic exchange
and comme cial ansac ions a e guided and based no
only on c i e ia o p ice, quan i y and liquidi y, bu also
on he pa icula alues and no ms ha go e n he in e -
ac ions o hose who pa icipa e in such exchanges.” (p. 5,
au ho s’ ansla ion)
Ma k G ano e e (2007) ini ially ocused on ne -
wo ks o in e pe sonal ela ionships, making i possible
o del e deepe in o how beha iou s and ins i u ions
a e a ec ed by social ela ionships. Acco ding o G an-
o e e , he u ili a ian adi ion, o igina ed om clas-
sical and neoclassical economics, “p esupposes a ional
and sel -in e es ed beha iou minimally a ec ed by social
ela ions, hus in oking an idealized s a e no a om
ha o hese hough expe imen s” (p. 3, au ho s’ ans-
la ion). In con as o his iew, he au ho p oposes an
app oach based on “embeddedness”, acco ding o which
“ he beha iou s and ins i u ions o be analysed a e so
cons ained by ongoing social ela ions ha o cons ue
hem as independen is a g ie ous misunde s anding” (p.
3, au ho s’ ansla ion).
Rega ding he con ex o social embeddedness o
economic beha iou , Cassol and Schneide (2022,) sug-
ges ha he analysis o ag i- ood sys ems should no be
limi ed o he social ne wo ks app oach, as “p e iously o
en e ing a ne wo k (connec ing in e pe sonally wi h o he
ac o s), agen s al eady sha e ce ain con ex ual cul u al
alues ha guide hei choices” (p. 5, au ho s’ ansla ion).
Acco ding o he au ho s, “i is he choices s emming
om alues ha shapes social in e ac ion and business
ne wo ks and de ines he posi ions o ac o s in he ield.”
The ins i u ional con ex in ol ing social cons uc-
ion o ma ke s is also echoed in Neil Fligs ein (1996).
Viewing ma ke s as a poli ical ield, Fligs ein a gues
ha a i s issue o be aised o de eloping a sociology
o ma ke s should be he heo e ical p oposi ion o he
“social ins i u ions necessa y as p econdi ions o he exis -
ence o such ma ke s” (p. 658). The au ho sugges s ha
ins i u ions – such as p ope y igh s, go e nance s uc-
46 Se gio Schneide , Alexande Cenci
u es, concep ions o con ol and ules o exchange –
a e essen ial o enabling ac o s o o ganize hemsel es
in he ma ke s o compe e, coope a e and exchange.
The au ho jus i ies he impo ance o s a e pa icipa-
ion, conside ing ha o ganiza ions, g oups and ins i u-
ions ha make up he s a e in mode n capi alis socie-
ies claim he o mula ion and en o cemen o ules ha
go e n economic in e ac ion in a gi en geog aphic a ea.
The in e wea ing o social ela ions in he econom-
ic sys em, p oposed by Ka l Polanyi (2000), is ano he
aspec o be conside ed in he ins i u ional app oach o
social cons uc ion o ma ke s. Ga cia-Pa pe (2021: 124)
no es ha he esea ch wo k unde aken by Polanyi on
he genesis o he economy and o he ma ke s sys em
has ma ked he hough o con empo a y social sciences.
The au ho poin s ha Polanyi’s wo k on he o igins o
economic ins i u ions showed ha he economy does no
exis sepa a ely as a sys em in hose social o ganiza ions,
bu a he i is embedded in o he ins i u ions, such as
kinship, eligion, poli ical sys em, among o he s.
Fo Polanyi, unde e y speci ic condi ions, he
sel - egula ing ma ke does no ail o ake place. The
dominance o he economic sys em by ma ke s has o e -
whelming e ec s on he en i e o ganiza ion o socie y,
since socie y comes o exis as an ex ension o ma ke s.
Thus, acco ding o Polanyi, “ins ead o he economy
being embedded in social ela ions, i is social ela ions
ha a e embedded in he economic sys em, and he o h-
e social domains become subo dina e o ma ke mo e-
men s” (Ga cia-Pa pe , 2021: 127).
Polanyi (2000: 98) uses he e ms double mo e-
men and coun e -mo emen s, s a ing ha “while on he
one hand ma ke s sp ead all o e he ace o he globe
and he amoun o goods in ol ed g ew o unbelie able
dimensions, on he o he hand a ne wo k o measu es
and policies was in eg a ed in o powe ul ins i u ions
designed o check he ac ion o he ma ke ela ed o
labou , land, and money.” Fo he au ho , human socie y
could ha e been annihila ed i i we e no o he p o-
ec i e coun e -mo emen s ha mi iga ed he ac ion o
he sel -des uc i e ma ke mechanism, de ined by he
au ho as a “sa anic mill”.
Schneide and Esche (2011), discussing Polanyi’s
con ibu ion o sociology o u al de elopmen , a gue
ha o he Polanyian pe spec i e he cen al p oblem
is he subo dina ion o human socie y and i s aliena-
ion h ough he “logic o he ma ke ”, wha ul ima ely
unde mines he abili y o shape he economy acco ding
o social objec i es h ough poli ics.
Discussions on amily a ming ma ke s a e also
en iched by he nes ed ma ke s app oach, also e e ed o
as e i o ial ma ke s o embedded ma ke s (Polman e
al., 2010; Ploeg, 2016). The la e au ho de ines hese ma -
ke s as “ma ke s ha a e embedded wi hin b oade ma -
ke s, [ o ming] pa o la ge ma ke s, bu ha di e om
hese la e wi h ega d o hei dynamics, in e ela ions,
o ms o go e nance, p ice di e en ials, mechanisms o
dis ibu ion and o e all impac .” (Ploeg, 2016: 23)2.
In his pe spec i e, in a ecen wo k, Milone and
Ven u a (2024: 6) say ha nes ed ma ke s depend c u-
cially on he social ela ions in which hey a e embed-
ded, highligh ing aspec s such as us , ecip oci y and
epu a ion. Fo he au ho s, exchanges a e a consequence
o ac o s’ beha iou pa e ns in ela ion o hei social
and na u al en i onmen – a beha iou ha is s ongly
oo ed in he e i o y. In he case o nes ed ma ke s,
he au ho s highligh sus ainable p ac ices ha inco po-
a e elemen s o solida i y, gene a ed h ough exchanges
be ween p oduce s and consume s linked by common
and sha ed goals and objec i es.
In u n, Schneide (2016) sugges s a ypology ha
seeks o con empla e he unde s anding o ma ke s as
a locus, as a p inciple o social o de ing and as a social
cons uc ion, s a i ying ou ypes o ma ke s: p ox-
imi y ma ke s; e i o ial ma ke s; con en ional ma -
ke s; public and ins i u ional ma ke s. Acco ding o
he au ho , p oximi y ma ke s a e linked o he local
con ex and exchange ela ions a e based on ecip oc-
i y and mu ual knowledge, so ha us and iendship
domina e he egula ion o es ablished social ela ions.
Te i o ial ma ke s ha e a egional scope and a e cha -
ac e ized by a g ea e quan i y o p oduc ion ha is p e-
dominan ly in ended o sale. The o ms o egula ion
a e based on bo h us and epu a ion, as well as on
indica o s o o igin and p ice. Con en ional ma ke s a e
cha ac e ized by a compe i i e s uc u e and a e guided
by p ice and con ac s be ween buye s and selle s, in
addi ion o he ac ha he spa ial scope is na ional and
abo e all global. In u n, public and ins i u ional ma -
ke s a e hose ha p esuppose sales o he public o go -
e nmen al au ho i ies h ough ins i u ional pu chasing
2 The au ho s conside he p oposi ions p esen ed by Polanyi o be cen-
al o h ee easons: Fi s , because his ideas exp ess he c ucial ole o
social egula ion on he economy and he ole o ins i u ions as media-
o s be ween socioeconomic s uc u es and indi iduals as social ac o s.
Secondly, because, in he cu en con ex , ansna ional companies and
hei a icula ions o expansion cons i u e a hegemonic o ce in he con-
ol o ag i- ood sys ems and can be deemed as he equi alen o he
“sa anic mill” o “sel - egula ed” and des uc i e capi alism desc ibed
by Polanyi, ope a ing as ue “Food Empi es”. Finally, because in u al
a eas, especially in B azil (bu no only) a my iad o o ms o social and
economic o de ing and in e ac ion exis , which a e es ablished acco d-
ing o p inciples s udied by Polanyi, such as ecip oci y and edis ibu-
ion, and gene ally subo dina e and li le known. These u al es ablish-
men s ep esen he basis o de ising “ano he way” o u al de elop-
men (Schneide , Esche , 2011: 185) .
47
Towa ds mo e and be e ma ke s o a me s: The case o amily Fa ming Ag i-p ocessing in Rio G ande Do Sul, B azil
schemes. In his sense, hese a e ma ke s ha a e hea -
ily egula ed by laws and con ac s ha do no p io i ize
compe i ion be ween agen s, bu a he compliance wi h
echnical and egula o y equi emen s ha a e guided
by legal ins umen s, such as public calls o bids and
legisla ion.
Milone and Ven u a (2024) poin ou ha nes ed
ma ke s show hyb id o ms o go e nance, combining a
socially cons uc ed ne wo k and coo dina ion mecha-
nisms, which lean on sha ing knowledge and collabo a-
i e alues by he ac o s who pa icipa e in he ne wo k.
These ecip oci y and complemen a i y ela ionships can
educe coo dina ion cos s, besides os e ing new o ms
o au onomy.
Unde s anding ma ke ing channels is a key elemen
in ma ke s’ analysis. As B andão e al. (2020) obse e,
unde s anding he pa icula i ies o ma ke ing channels
is ele an because “ oge he wi h ma ke s geog aphic
each and classi ica ion o p oduce s, hey o m he basis
o ma ke ca ego iza ion” (p. 442, au ho s’ ansla ion).
The au ho s highligh ha he g ea e he numbe o
ma ke ing channels, he mo e complex he ansac ions
and ela ionships es ablished h oughou he channel.
Ma ke ing channels can be de ined as he com-
me ce, dis ibu ion o ma ke ing channels as he
sequence o s eps ollowed by he ag icul u al p oduc
un il i eaches he inal consume . Such s eps con ig-
u e he o ganiza ion o in e media ies – each o whom
pe o ming one o mo e ma ke ing unc ions – and he
ins i u ional a angemen ha enables ma ke ela ions
in ag i-p ocessing p oduc ion chains. (Ge e i e al.,
2005; Po e , K ame , 2011; Waquil, Miele, Schul z, 2010)
Coughlan e al. (2013), in u n, de ine ma ke ing
channels as he ou es used o sell p oduc s and se ic-
es in ma ke s. Fo he au ho s, a ma ke ing channel is
“a g oup o in e dependen o ganiza ions in ol ed in he
p ocess o making a p oduc o se ice a ailable o use o
consump ion”, ha is, i is no abou a single en e p ise
ac ing independen ly, many en i ies a e usually in ol ed
and “each channel membe depends on he o he s o do
i s job” (Coughlan e al., 2014: 2-4)”.
Fo Ko le (2018), ma ke ing channels pe o m he
ask o “ ans e ing goods om manu ac u e s o con-
sume s, illing he gaps o ime, place and possession ha
sepa a e goods and se ices om hose who need o wan
hem” (p. 459). Ko le (2018) also discusses he ex en
o ma ke ing channels ep esen ed by he numbe o
in e media ies, classi ying he channels in o ou le els,
namely: ze o le el, one-le el, wo-le el and h ee-le el
channels. Ze o le el channel, also de ined by he au ho
as di ec ma ke ing channel, comp ises he cases o
di ec sales om manu ac u e o inal cus ome . One-
le el channel has a single sales in e media y, such as a
e aile , while he wo-le el channel has wo in e medi-
a ies, usually a wholesale and a e aile , and he h ee-
le el channel is made up o h ee in e media ies (Ko le ,
2018: 550-551).
Degge one (2021: 167-168), d awing on he ypology
p oposed by Ko le (2018), o e s examples o each le el,
es a ing ha ze o-le el channels occu when p oduc s
a e sold di ec ly om p oduce o consume . One-le -
el channels occu in he p esence o a e aile such as
supe ma ke s o g oce y s o es. In he case o wo-le el
channels, a wholesale such as a dis ibu ion cen e, o
example, and a e aile a e in ol ed. Finally, h ee-le el
ma ke ing channel si ua ions occu in he p esence o a
ood p ocesso , such as a coope a i e o an ag ibusiness,
a wholesale and a e aile .
Rega ding he ac o s ha in luence he choice o
ma ke ing channels by small a me s, Djalalou-Dine
e al. (2014) a gue ha a me s can be swayed by issues
ela ed o a ailabili y, a ibu es, p oduc p ices, geo-
g aphic dis ances and anspo a ion cos s, in addi ion
o issues ela ed o he quali y and cos o in o ma ion.
The au ho s also highligh he ele ance o ac o s such
as us be ween he pa ies and asymme ical powe
ela ions, in addi ion o p oduce s’ le el o expe ience
and know-how. O he aspec s unde lined by he au ho s
e e o he in luence o p oduc quali y and compliance
wi h s anda ds and egula ions.
Finally, in ela ion o he di e si ica ion o ma -
ke ing channels, hese can be classi ied in o h ee ca -
ego ies (Degge one, Schneide , 2022; Cenci, Schneide ,
2023): exclusi e, when p oduc ion uni s access only one
ma ke ing channel; di e si ied, when p oduc ion uni s
access wo o h ee ma ke ing channels; and supe -
di e si ied, when hey access ou o mo e channels.
Fo he au ho s, he ma e o di e si y and di e si ica-
ion e e s o “ways o p oducing and o de ing a ailable
esou ces and echnologies ha , in he e ogeneous social
con ex s, equi e de ices o e iciency, coo dina ion,
coope a ion and con ol”. Thus, he ma e o di e -
si y and di e si ica ion o amily a ming is ela ed o
he way “indi iduals and he e ogeneous social g oups
o ganize hemsel es and build mechanisms o esou ces
dis ibu ion” (Schneide , 2010: 64).
3. FAMILY AGRI-ENTERPRISES AND
INTEGRATION INTO MARKETING CIRCUITS
In he con ex o amily a ming in B azil, s ud-
ies on he ele ance o ans o ming and p ocessing
p oduc ion on he a m began o ake shape om he
48 Se gio Schneide , Alexande Cenci
1980s onwa ds, and mainly in he 1990s (Cenci, 2022).
Thus, he deba e on u al ag i-p ocessing – as he p o-
cess o p ocessing ag icul u al p oduce wi hin he a m,
by a me s and hei amilies hemsel es, came o be
called – eme ged as a new pa h o u al de elopmen
and o coping wi h p oblems o supply, ood secu i y,
exodus and exclusion o ma ginalized a eas. In B azil,
as in o he La in Ame ican coun ies, om he 2000s
onwa ds, u al ag i-en e p ises became an in eg a ing
ac o be ween he ag icul u al sec o and he p ocess-
ing and se ice sec o s, hus assigning a new alue o he
ole o peasan y in u al mode niza ion and de elop-
men (Bouche , 1998)3.
Acco ding o Pelleg ini (2003: 51), he a isanal p o-
cessing o ood has a cul u al and his o ical cha ac e ,
cons i u ing a p ac ice inhe en o amily a ms. By means
o ag i-p ocessing and he es ablishmen o small p ocess-
ing acili ies in u al a eas, some a me s’ amily membe s
succeed in building s a egies o emain in u al a eas by
adding alue o ag icul u al p oduc s and, hence, inc eas-
ing amily income. Mio (2003: 178) de ines amily ag i-
en e p ise as he “ o m o o ganiza ion h ough which a
u al amily p oduces, p ocesses and/o ans o ms pa
o i s ag icul u al and/o li es ock p oduce, aiming main-
ly a gene a ing exchange alue by means o ma ke ing”.
Fo he au ho , he expe iences o p oduc ans o ma ion
in ol ing housands o amily a me s o med he “ oo
o he so-called u al ag i-en e p ises” ha eme ged om
he 1990s onwa ds. Hence he need o public policies o
suppo he a ious o ms o ag i-p ocessing, which ange
om he in o mal ma ke o niche ma ke s, o ganic p od-
uc s and quali y p oduc s.
Gazolla and Schneide (2015: 181) poin ou ha
ou ac o s con ibu ed o he c ea ion o amily ag i-
en e p ises in B azil: (i) he c isis in he mode n pa e n
o egional ag icul u e, which excessi ely commodi ied
amily a ming; (ii) a me s’ his o ical knowledge abou
a isanal and di e en ia ed p ocessing and conse a ion
o ood we e mos impo an o he cons i u ion o am-
ily ag i-en e p ises; (iii) he sea ch by a me s o al e -
na i es, as hey we e excluded om he exis ing egional
ma ke s and he long supply chains; (i ) he in e en-
ion o public policies and di e en ia ed u al de elop-
men p og ammes ha suppo ed he c ea ion o a ious
egional expe iences. Examples a e he Family Ag i-p o-
3 Acco ding o Bouche (1999), a he beginning o he 1980s, a mo e-
men o de elopmen o u al ag i-en e p ises eme ged in La in Ame -
ica and he Ca ibbean, when ins i u ions such as he In e na ional Cen -
e o T opical Ag icul u e (CIAT) in Colombia and he Cen o Nacion-
al de Ciencia y Tecnología de Alimen os (CITA) in Cos a Rica ini ia ed
pos -ha es ans o ma ion p ojec s in ol ing peasan g oups. Seem-
ingly he e m “ u al ag i-en e p ise” was i s ly used by CITA in Cos a
Rica, when i s a ed i s MAIR p ojec (Ru al Ag oindus ial Models).
cessing P og am (PAF) in he s a e o Rio G ande do Sul
(RS) and he Na ional P og am o S eng hening Family
Ag icul u e (PRONAF), in i s ag i-p ocessing modali y.
Family ag i-en e p ises show di e se p o iles and
a e qui e he e ogeneous in se e al aspec s. Acco ding o
Cenci (2022), he e ogenei y is p esen in issues ela ed
o he ypes o p oduc s, amoun s p oduced, p oduc ion
p ocesses, legal s a us, e enue, acili ies, equipmen ,
he numbe and gende o amily membe s, he way aw
ma e ial is ob ained, geog aphic loca ion and, inally,
accessed ma ke ing channels.
One o he mos sensi i e opics in he s udy o
u al amily ag i-en e p ises e e s o in eg a ion in o
ma ke s. Since hese en e p ises gained p ominence in
he u al a eas o sou he n B azil, he issues o ce i i-
ca ion and adequacy o en e p ises o he o mal legal
guidelines ha go e n indus ial ood p oduc ion ha e
become con o e sial. T a e sed by dispu es and dispa-
a e ideological iews, he p ocedu es o egula izing
amily ag i-en e p ises a e subjec o di e en legisla ion
and public policies, which a y acco ding o he go e n-
men le els – municipal, s a e o na ional. Fo maliza ion
o amily ag i-en e p ises is also closely ela ed o access
o new ma ke ing channels, since hese channels can be
ei he he eason o o maliza ion o e en an ou come
o such p ocess (Cenci, 2022). I is wo h highligh ing,
howe e , as sugges ed by Wilkinson and Mio (1999),
ha an in o mal s a us should no be con used wi h an
illegal one. Many p oduc s and p oduce s in amily ag i-
en e p ises may no ha e equi ed quali ica ions o com-
ply wi h legisla ion o sell and ci cula e hei goods, bu
his does no mean ha he p ocessing o such p oduc s
on he a m is p ohibi ed o illegal, as long as i is o
hei own consump ion.
S udies conduc ed by Caldas and Sacco (2010)
showed ha many amily-based en e p ises ga e up on
he ini ia i e due o he impossibili y o adap ing o he
s anda ds applicable o he sec o , domina ed by la ge
co po a ions ha in luence egula ions on he ade o
ag icul u al p oduc s. The mos impo an hind ances
conce n ood sa e y, ax and social secu i y legisla ions.
Mo e ecen ly, obs acles ha e also a isen ega ding he
compa ibili y o p ojec s wi h en i onmen al legisla-
ion. Acco ding o he au ho s, besides he s anda ds
s ic ness, which a e no always jus i ied om a heal h
pe spec i e, he e is also he inabili y o public agen s o
o e easible al e na i es o suppo small ag i-en e p is-
es in adap ing o compliance wi h s anda ds.
In a wo k ha analysed he in luence o economic,
ins i u ional and social ac o s on he o maliza ion o
amily ag i-en e p ises, San os J and Waquil (2012)
highligh ed ha he economic and he ins i u ional
49
Towa ds mo e and be e ma ke s o a me s: The case o amily Fa ming Ag i-p ocessing in Rio G ande Do Sul, B azil
dimensions ha e simila and p eponde an sway o e
ag i-en e p ises’ in eg a ion in o ma ke s. Acco ding o
he au ho s, hese in luences a e a leas wice as la ge
as ha o he social dimension. The au ho s d aw a en-
ion o he clea ly e iden in luence o ins i u ions and
he ma ke on he in eg a ion o ag i-en e p ises, o
example, by inducing he “ ules o he game” ha lead o
he s anda diza ion o p oduc s in o de o mee o mal
s anda ds. While, in he sho e m, his may encou age
he in eg a ion o ag i-en e p ises in o ma ke s, in he
long un i can cause hese es ablishmen s o lose hei
compe i i e asse : di e en ia ion.
Viana, T iches and C uz (2019) ound ha in o -
mal ag i-en e p ises o en sell hei p oduc s h ough
sho ace- o- ace supply chains, while he o mal ones
expand hei scope o sho supply chains o spa ial
p oximi y and o long supply chains, hus losing, in
pa , he c a smanship o hei p oduc s. A s udy by
hese au ho s on he inclusion o a isanal cheeses in o
o mal ma ke s showed he quali y assessmen ocus on
he sani a y aspec (cleanliness, hygiene, e c.). When
cheeses (especially he “colonial” ype) ci cula e in in o -
mal ma ke ing channels, he mos alued quali y aspec s
e e o a ibu es such as as e, cul u e, adi ion and
na u e. Thus, acco ding o C uz (2020), e en hough
he e ha e been some legisla i e ad ances owa ds align-
ing and adap ing no ms o he cha ac e is ics and p o-
duc ion scale o amily a ming, hey end up mo ing
a isanal p oduc ion o indus ial scales. The e o e, in
o de o mee he se o equi emen s, amily ag i-en e -
p ises end up submi ing o he ules o la ge indus ies
in he ag i ood sec o (C uz, 2020).
The dynamics and challenges ela ed o he p ocess-
es aimed a o malizing amily ag i-en e p ises has led,
since he mid-1990s, o he eme gence in B azil o se -
e al public policies o suppo he sec o . In he case o
he s a e o Rio G ande do Sul, pa icula ly, he c ea ion
o he Family Ag i-p ocessing P og am (PAF) aimed o
acili a e o mal in eg a ion in o ma ke s o p oduc s
p ocessed by amily a me s4. Mo e ecen ly, he go -
e nmen o he s a e o Rio G ande do Sul c ea ed he
S a e Policy o Family Ag i-p ocessing (Law nº 13,921,
17/01/2012) and he Family Ag i-p ocessing P og am o
he s a e o Rio G ande do Sul (PEAF) which es ablished
he ce i ica ion seal “Sabo Gaúcho”.
4 Acco ding o Bouche (1999), a he beginning o he 1980s, a mo e-
men o de elopmen o u al ag i-en e p ises eme ged in La in Ame -
ica and he Ca ibbean, when ins i u ions such as he In e na ional Cen -
e o T opical Ag icul u e (CIAT) in Colombia and he Cen o Nacion-
al de Ciencia y Tecnología de Alimen os (CITA) in Cos a Rica ini ia ed
pos -ha es ans o ma ion p ojec s in ol ing peasan g oups. Seem-
ingly he e m “ u al ag i-en e p ise” was i s ly used by CITA in Cos a
Rica, when i s a ed i s MAIR p ojec (Ru al Ag oindus ial Models).
The c ea ion o public policies o amily ag i-en e -
p ises allowed he isibili y o hese en e p ises in u al
a eas o inc ease and expanded hei access o ma ke s.
In ac , as shown by Gazolla (2012), ag i-en e p ises go
o expand hei pa icipa ion inso a as hey we e able
o inno a e in he cons uc ion o ma ke s and in open-
ing new ma ke ing channels, especially hose ela ed o
sho supply chains. In a compa a i e s udy be ween
B azil and I aly on he cons uc ion o ma ke s and
ma ke ing channels, Gazolla, Schneide and B uno i
(2018) showed ha B azilian amily ag i-en e p ises di -
e om I alian ones. In B azil, he eme gence o hese
en e p ises was mo i a ed by bo h he c isis in “mode n”
ag icul u e and he s a e suppo h ough public policies
o he sec o . In I aly, amily ag i-en e p ises eme ge on
accoun o he po en ial o adding alue o aw p oduce
and he po en ial o e ed by new ma ke s. Rega ding
he cons uc ion o ma ke s and ma ke ing channels o
amily ag i-en e p ises, he au ho s highligh he exis -
ence o sho ood ci cui s as he main ma ke ing s a -
egy in bo h B azil and I aly – in bo h cases a ound 20%
o p oduce ci cula es h ough hese ma ke s.
Ano he impo an aspec in he discussion on in e-
g a ion o amily ag i-en e p ises in o ma ke s conce ns
he changes in he in e nal dynamics o hese a ms
when hey access ce ain ma ke ing channels. Do igon
(2008) d ew a en ion o he ac ha , as amily ag i-
en e p ises p og essi ely inc ease he numbe o poin s
o sale, hei scale o p oduc ion inc eases. This aspec is
impo an and dese es o be obse ed because change in
p oduc ion scale aiming o adap he en e p ise o a ce -
ain sales channel could en ail p o ound changes ega d-
ing echnology, p oduc ion p ac ices and o ganiza ional
o ma s, which could e en change he en e p ise’s iden-
i y om amily ag i-en e p ise o co po a e ag ibusiness,
b inging i close o he con en ional ood indus y.
Howe e , in a ecen s udy ha sough o unde -
s and how social in e ac ions dynamize comme cial
ela ionships be ween ac o s wi hin a amily ag i-
en e p ises chain, Alba ello, Depon i and B ose (2020)
ound ha mos comme cial ela ions es ablished by he
esea ched amily ag i-en e p ises a e based on he logic
o us , ecip oci y, kinship and a ec ion. The au ho s
also highligh he s ong in e wining o comme cial
ela ions be ween amily ag i-en e p ises in he e i-
o y and ha “ he sale o p oduc s om ag i-en e p ises
is mos ly o always he same cus ome s and in e media -
ies” (Alba ello e al., 2020: 308). Based on he li e a u e
e iewed so a on he main elemen s ela ed o in e -
aces be ween ins i u ions, ma ke s and amily ag i-
en e p ises, in he ollowing sec ion we in end o analyse
and discuss some empi ical da a on ma ke ing ci cui s
50 Se gio Schneide , Alexande Cenci
o p oduc s om amily ag i-en e p ises in Rio G ande
do Sul, B azil.
4. MARKETS AND MARKETING CHANNELS
FOR FAMILY AGRI-ENTERPRISES
The S a e o Rio G ande do Sul (RS) is loca ed in
sou he nmos B azil, comp ises 497 municipali ies
sp ead o e a e i o ial a ea o 281.7 housand squa e
kilome es and has a popula ion o 10.8 million inhab-
i an s, being he six h mos populous s a e in B azil
(IBGE, 2022). In 2022, economic p oduc ion o RS con-
ibu ed 6% o he na ional G oss Domes ic P oduc (RS,
2022). Acco ding o da a om he las Ag icul u al Cen-
sus conduc ed in B azil (IBGE 2017), he coun y has
5,073,324 a ms, 76.8% (3,897,408) o hem a e amily
a ms and 23.2% (1,175,915) a e non- amily a ms. Rio
G ande do Sul has 365,094 u al a ms, which is equi -
alen o 7.2% o he coun y’s a ms, wi h 293,892 ca e-
go ized as amily a ms (80.5%) and 71,202 non- amily
a ms (19.5%). The numbe o a ms ha include u al
ag i-p ocessing in B azil is 852,639, 84.5% o which a e
amily a ms (720,644) and 15.5% a e non- amily a ms
(131,995). In his ca ego y, RS has 140,462 a ms ha
include ag i-p ocessing, ep esen ing 14% o he coun-
y’s a ms; 121,649 o hem a e amily a ms (86.6%)
and 18,768 non- amily a ms (13.4%). Da a on a ms and
u al ag i-p ocessing in B azil and RS can be seen in
Table 1.
As o amily ag i-p ocessing in RS, da a om PEAF
(Family Ag i-p ocessing P og am o he S a e o Rio
G ande do Sul) e eal ha , by Ap il 2023, he s a e had
5,500 amily ag i-p ocessing connec ed wi h he p o-
g am, 3,830 o which we e egis e ed ag i-en e p ises
and ano he 1,670 we e ag i-p ocessing a ms included
in p og am. Such a ms a e concen a ed in he no h-
e n hal o he S a e, as can be seen in Figu e 1.
By compa ing da a on amily a ms ha conduc
ag i-p ocessing ac i i ies in RS (121,649) wi h da a on
amily ag i-p ocessing a ms linked o PEAF (5,500) a
conside able quan i a i e gap is pe cei ed, e ealing a
signi ican misma ch in adhe ence o he p og am by
a ms in RS5. In his sense, i is wo h highligh ing ha
ne wo ks o ela ionships play an impo an ole in he
social cons uc ion o ma ke s by amily ag i-en e p is-
5 Da a cu en ly a ailable does no allow us o p ecisely de ine he ea-
sons o he educed adhe ence o he PEAF by a ms ha include p od-
uc s p ocessing in RS. Among he hypo heses o explain his phenom-
enon, he high cos s o o malizing en e p ises (Gazzola e al., 2016)
and he exis ence o consolida ed in o mal ma ke s (Cenci, 2022) a e
sugges ed.
es, since he ela ionships hey es ablish du ing he ma -
ke ing o p oduc s allow hem o ca y ou hese ope a-
ions, in many si ua ions, wi hou he need o o mal
con ac s. This ela ionship o us is mani es ed, o
example, in he ac ha non- o malized amily ag i-
p ocessing a ms a e con ac ed by cus ome s who wan
o pu chase p oduc s (Cenci, 2022).
Rega ding he o maliza ion o amily ag i-p ocess-
ing in o de o comme cialize hei p oduc s, despi e a
numbe o ini ia i es aimed a suppo ing and p omo -
ing i , hese a ms a e mos ly unable o adequa ely and
quickly o e come many o he ba ie s imposed by leg-
isla ion, especially hose ela ed o p oduc s egula ions
es ablished by he Minis y o Ag icul u e, Li es ock
and Supply (Cenci, 2022). Such egula ions a e mo e
consis en wi h la ge a ms. This shows ha legisla ion is
no neu al and can a ou ce ain ypes o en e p ises,
Table 1. Fa ms and u al ag i-p ocessing in B azil and S a e o Rio
G ande do Sul.
Type o a m B azil
(uni s)
Rio G ande
do Sul
(uni s)
Fa ms 5,073,324 365,094
Family a m 3,897,408 293,892
Non- amily a m 1,175,915 71,202
Fa ms wi h u al ag i-p ocessing 852,639 140,462
Family a ms wi h u al ag i-p ocessing 720,644 121,649
Non- amily a ms wi h u al ag i-p ocessing 131,995 18,768
Sou ce: IBGE (2017).
Ag i-en e p ises
Regis e ed in he
PEAF - Fe /23
Regis e ed (sum)
Figu e 1. Localiza ion o amily ag i-en e p ises egis e ed in he
PEAF.
Sou ce: San os (2023).
