Table 1
The evolution of agricultural policy in Brazil.

1965-1985 1985-1995 1995-2005 Proposed Agenda
Macroeconomic conditions and policy - High inflation
- Controlled exchange rate
- High growth rate
- Increased government expenditures in farm policy
- Uncontrolled inflation and low growth (stagflation)
- Heterodox plans
- Debt crisis
- Land as real asset
- Decreased government expenditures in farm policy
- Control of inflation
- Volatile exchange rate
- High real interest rates
- Modest growth rate
- Privatization
- Low inflation
- Structural reforms and fiscal balance
- Less volatile exchange rate
- Lower interest rates
- Sustained growth
- Investments in infrastructure
Agricultural policy goals - Food security - Deregulation
- Liberalization
- Land reform programs
- Family farming and social inclusion
- Competitiveness
- Sustainability (economic, social, and environmental)
Price support and government storage - Massive intervention: public agencies, government purchases and storage, price controls
- Commodity price support
- Decreased intervention
- Agricultural commodity market deregulation
- Modest and selective intervention - Modest and selective intervention
Rural credit - Government supply of credit financed by Treasury (SNCR)
- Negative real interest rates
- Decreased government supply of credit
- Interest rates less subsidized
- Credit lines targeted to family farms (PRONAF)
- Specific programs for investment credit (BNDES)
- Agricultural credit crisis and debt rescheduling
- Crop insurance
- Private instruments for agricultural finance
- Targeted credit lines to family farms
- Credit cooperative development
Agricultural trade policy - Closed economy
- High tariffs
- Import Substitution model
- Export taxes on primary commodities
- Unilateral openness to trade
- International integration (Mercosur)
- Elimination of export taxes
- Aggressive policy against agricultural trade barriers
- WTO dispute panels
- Leadership in G-20
- Negotiation of regional agreements (FTAA, EU-Mercosur)
- Aggressive trade policies: negotiations, litigations
- Increased emphasis on NTBs: technical, sanitary, and social barriers
- Conclusion of regional and bilateral trade agreements
Agricultural research and extension - High investment in public research (Embrapa, federal and state universities)
- Development of public extension service network
- Leveling-off of public investment - Crisis of public research and extension services - Renewed public commitment to agricultural R&D, including GMOs
- Increased role of public-private partnerships
- Intellectual property rights
Social policies (family farms and land reform) - Minimal - Initial stage (Extraordinary Ministry of Land Reform) - Ministry of Agrarian Development (MDA)
- Distributive programs: land reform, "Bolsa Família," rural retirement, PRONAF
- Policy evaluation and monitoring
- Retarget programs to different types of family farms
- Farm cooperative development and modernization