A study of the competitiveness of milk supply chain in the State of Alagoas: an analysis of household production

Trade openness experienced by Brazil in recent decades incorporated into an environment of intense participation of agribusiness in the internal economic transactions as the transactions related to the international market, made necessary the insertion of agents linked to this sector, especially small producers. This paper aims to examine the competitiveness of milk supply chain in Alagoas, characterized by being household production and observing some ways determinants of competitiveness in the sector, looking through a indicator of competitiveness and theoretical foundations, trying thus to illustrate some economic data to understand the dynamics of the sector. However, it is observed that the sector, given the competitiveness indicator analysis (Almost Income), presents a behavior inefficient, indicating that the members of the system firms are not getting any return for the use of its fixed capital production in year t. So that the activity is not appear sustainable in the long run if this condition is perpetuated.