Logistics in Lagging Regions: Overcoming Local Barriers to Global Connectivity by Charles Kunaka

Author:Charles Kunaka [Kunaka, Charles]
Language: eng
Format: epub
ISBN: 978-0-8213-8649-1
Publisher: The World Bank
Published: 2011-09-15T00:00:00+00:00

Sisal Production and Exports in Brazil

The production of sisal in Brazil is heavily concentrated in a few states in the northeast region. The state of Bahia accounts for 95 percent of the country’s total production while the states of Paraiba, Rio Grande do Norte, Ceara, and Pernambuco are responsible for the remaining 5 percent (IGBE 2009). Furthermore, production in Bahia is concentrated in a few municipalities located around the “sisal territory,” an area where sisal production originally took place and where most of the sisal processing plants and factories are located (table 4.1). In 2007, only ten municipalities were responsible for 77 percent of Bahia’s sisal production and twenty municipalities (all located within a 200 kilometer radius) were responsible for 95 percent of the state’s total production (IGBE 2009).

The Northeast region is home to 28 percent of the country’s population (53 million inhabitants) and has traditionally been one of the less developed regions in Brazil. Income per capita is less than half that of the south and southeast regions, and the region ranks last in GDP per capita, HDI, life expectancy, infant mortality, and literacy rates. There are, nevertheless, some enclaves of high growth in the northeast, typically those where soybean is produced. However, the “sisal territory” is one of the poorest in Bahia, with incomes per capita in the lower quintile of the state (IGBE 2009). It is estimated that 700,000 workers in the region are employed directly and indirectly in the sisal production and exporting complex, generating around US$80 million in revenues and making sisal the tenth most important export product in Bahia (tables 4.2 and 4.3).

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