countries such as Argentina, Brazil, Mexico, Uruguay and
Colombia produce agrofuels mainly from sugarcane and
oil palm. Brazil has produced fuel alcohol since 1975; it is
the leading producer of sugarcane worldwide and produces
60% of the world total of ethanol from sugar, with three
million ha of sugarcane crops. In 2005, production reached
a record 16.5 billion liters, two million of which were for
export (Jason, 2004).
Among the advantages attributed to agrofuels as an alternative
to fossil fuels that they mitigate climate change
due to the reduction in gas emissions from the greenhouse
effect, bring higher rural incomes for farmers and contribute
to greater rural development. In Colombia, moreover,
the government (in 2007) considers them an alternative
to illicit crops and as a source of employment in rural
areas.
Most oil-dependent countries are engaged in the discussion
of biofuels today, seeing in them a viable long-term
solution to the problem of regional energy insufficiency.
On the other hand researchers put forth concerns because
they consider large-scale production of monoculture crops
for agrofuels—under the conventional/productivist system
of production dependent on chemical inputs (pesticides and
fertilizer) made using the fossil energy that is sought to be
replaced—will have negative impacts.
The concerns are related to accelerated processes of
deforestation, destruction of biodiversity, soil erosion and
degradation, impacts on water and a negative balance of
greenhouse gas emissions. To this situation are added the
possible effects of displacement of food crops and increases
in food prices, which will directly affect the food security and
food sovereignty of local communities, mainly in developing
countries. In Mexico, the redirection of maize crops for
export to the United States to manufacture ethanol brought
on a disproportionate increase in the price of maize, an essential
ingredient in the tortilla, which is the main source
of food and nutrition for the Mexican population. The increase
in food prices is also hitting the livestock and poultry
industries (Fearnside, 2001a; Bravo, 2006).
RALLT (2004) cites studies that show that producing
one tonne of cereals or vegetables with modern agriculture
practices requires six to ten times more energy than using
sustainable farming methods. The components of modern
industrial agriculture that consume the most energy are the
production of nitrogen fertilizers, agricultural machinery
and irrigation using pumps. These accounted for more than
90% of the energy used directly or indirectly in agriculture
and all are essential to it (RALLT, 2004). In addition, the
elimination of carbon-sequestering forests to open the way
to these crops will further increase CO2 emissions (Donald,
2004; Bravo, 2006).
There is also a major debate on the energy balance for
making ethanol or biodiesel from some bioenergy crops. The
results of the research by David Pimentel and Tad Patzek at
Cornell University in the United States (Pimentel and Patzek,
2005) support the notion that the energy balance of all the
crops, with current processing methods, is such that more
fossil energy is spent to produce biofuels than they provide.
Thus, for each unit of energy expended on fossil fuel, the
return is 0.778 units of methanol from maize; 0.688 units
of ethanol from switchgrass; 0.636 units of ethanol from
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wood; and, in the worst of the cases examined, 0.534 units
of biodiesel from soybean (RALLT, 2004; Bravo, 2006).
1.6.2.3 Food chains
We understand agrifood chain to refer to the whole set of
different movements in the process of food production that
take place before, within and after agricultural production
systems, linking all those involved, from the producer of
inputs to the end consumer. The concept includes items
whose end use is food as well as agricultural output sold to
other industries. The set of all the agrifood chains, including
support services, constitutes the agribusiness (Castro
et al., 2001). The predominant model of development in
the last 50 years, as already indicated, accorded priority to
articulating the production systems and inputs and offered
incentives for developing agroexports. The best-articulated
agrifood chains in the region are for oil-bearing crops, beef,
dairy products and vegetables. The opening up of Latin
American markets and the need for the markets of the developed
countries to expand has accelerated the economic
concentration of the components of agribusiness, especially
the supply of inputs and seed and marketing agrifood products,
in which the multinational corporations are already
the most powerful economic actors, influencing policy decisions
that are restructuring agriculture generally, agrifood
systems in particular and the process of technological development
and technological innovations for the agricultural
sector (Friedland et al., 1991; Bonanno et al., 1994; McMichael,
1994).
Although the agricultural inputs sector was already
dominated by large corporations before the 1990s, that
decade saw a greater rate of concentration in this sector.
For example, today only 10 corporations control 84% of
pesticide sales in the world. The 10 largest corporations in
the seed business control 50% of seed sales worldwide and
the 10 largest biotechnology companies control almost 75%
of biotechnology sales, including seed for transgenic crops
(ETC, 2005).
At the other end of the food chains one finds the processors,
distributors and supermarkets. The penetration of
transnational corporations in this sector is also proceeding
by leaps and bounds in the region, even in rural areas. For
example, in Argentina only seven supermarket chains control
77.5% of supermarket sales in 1999 and of these, 80%
belonged to multinational chains (Carrefour, Ahold and
Wal-Mart, among others). As of that date, only two national
chains had survived (Gutman, 2002). In Costa Rica, supermarket
chains control 50% of all food sales and the seven
largest companies control 98% of supermarket sales (Alvarado
and Charmel, 2002). In Chile, four companies (two national
and two foreign) control 50% of the market; the milk
and dairy products sector is the most heavily dominated by
the supermarket chains: the five largest companies account
for 80% of sales (Faiguenbaum et al., 2002). The growing
control of multinational chains in the sale of foods is taking
place throughout the region. As of 2003 supermarket
chains controlled from 50 to 60% of all food sales in LAC,
an extraordinary increase, considering that just 10 years ago
they controlled 10 to 20%. Five corporations control 65%
of these sales (Reardon et al., 2003).
This rapid growth and consolidation of supermarkets
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