institutional analysis and development in the brazilian inoculants industry jaim josé da silva jr....
TRANSCRIPT
Institutional Analysis and Development in the Brazilian
Inoculants Industry
Jaim José da Silva Jr.Campinas State University
Agricultural Economy and Environment Nucleus (NEA)
OUTLINES
• Traditional Commons Literature
• Recent Developments– Knowledge Commons
•Brazilian Inoculants Industry Commons
•Policy Prescription
Introduction
Commons
Literature
IADFramewor
k
Brazilian Inoculant
sIndustry
The paper shows that since industry formation has been noticed a Commons governance of the bioprospecting resources.
However, this Commons governance is not being adopted by knowledge producers at emerging markets of the industry.
Based on the Institutional Analysis and Development framework are identified the elements responsible for the alterations at the patterns of interaction and at the outcomes of the bioprospecting activities.
Traditional Commons Literature
• Tragedy of the commons
Biologist Garret Hardin (1968) famous lines: “ Ruin is the destination toward which all men rush, each pursuing his own best interest in a society that belivies in the freedom of the commons. Freedom in the commons would brings ruin to all.” Open access, little or no communication, people acting only in their immediate self interest, only two solution to correct the tragedy – privatization or government intervention.
• Common Pool Resources (CPR)Many groups can effectively manage and sustain common resources if they have suitable conditions, such as appropriate rules, good conflict-resolution mechanisms, and well-defined group boundaries. Fisheries, Forests, Pastures.
A common is a shared resource that is vulnerable to social dilemmas.
Type of Goods Classification
Low HighPublic Goods Common-pool resources
Diffi
cult Useful knowledge
SunsetIrrigation systems
Libraries
Toll or club goods Private goods
Easy Journal Subscription
Day-care centersPersonal Computers
DoughnutsEX
CLUS
ION
SUBTRACTABILITY
There are significant differences between natural resource commons such as land, which are depletable and rivalrous, and commons management of non depletable, non rivalrous resources such as knowledge and creative works.
Commons is not synonymous with open access. Instead they are shared resources
While restricted to natural resources, the commons literature has not a significant economic impact.
This literature fits well in understanding the governance of knowledge, data , and information stored in digital banks.
Governance
Knowledge Commons
Bundles of right associated with positions
Owner Proprietor Claimant Authorized
Use
Access and Withdrawal x x x xManagement x x x
Exclusion x x Alienation x
Proprietary Rights
Authors who choose to make their works available for free may still retain their copyrights.
Institutional Analysis and Development Framework (IAD)
•The institutional analysis and development (IAD) framework were developed for conducting institutional analysis in specific situations involving two or more individuals faced with a set of potential actions that jointly produce outcomes.
•Self-insterested profit seeking individuals x Individual with shared common goals
•Emphasizes the importance of understanding how institutions design helps resource users coping with evolving management problems.
IAD Structure
Bio-Physical Characteristics
Attributes of the Community
Rules-in-use
ACTION ARENA
Action Situations
Actors
Patterns of Interactions
Outcomes
Evaluative Criteria
IAD Framework
•Bio-physical CharacteristicsFacilities, Artifacts, Ideas
• Rules-in-UseOperational level Collective choice Constitutional Level
•Patterns of interactionThe exogenous characteristics, the incentives, the actions, and the other actors allcontribute to the patterns of interactions.
•Evaluative Criteria for the outcomesIncreasing scientific knowledge, Sustainability and preservation, Participation, Economic Efficiency, Redistributional equity, Equity through fiscal equivalency.
The inoculants are biofertilizers containing microorganisms in which promotes plant growth.
These microorganisms of agricultural importance may be fungi, bacteria, protozoa, mites, which play a fundamental role in the processes of soil structure, nutrient availability and cycling .
Market niches as specific inputs for the production of seeding of eucalyptus, arbuscular mycorrhizal fungi and agents of biological control foresee the growth potential of the sector beyond the biological nitrogen fixation (BNF).
Brazilian Inoculants Industry
• Three subjects (actors) interacting for the knowledge creation in the Inoculants Industry: Universities, Research Organizations, Firms.
• Shared Bioprospecting resources governed by robust institutions: Network of laboratories for recommendation, standardization and dissemination of technology microbial inoculants of agricultural interest (RELARE) , Ministry of Agriculture product quality control.
• 3 step process: Selection of the strain Experimentation network Register of the strain in the Ministry of Agriculture
• The approved strains goes to a strains bank, administered by FEPAGRO- Agency of the department of science and technology of the Rio Grande do Sul State.
Brazilian Inoculants Industry
Brazilian Inoculants Industry
Firms Quantity Commercialized
(doses)
Share (%)
Novozymes 5,578,976 27,6
Nitral-Urbana (BASF) 5,101,580 25,2
Bio-Soja 3,840,574 19,0
Stoller 2,792,790 13,8
Total Biotecnologia 1,085,232 5,4
Rizobacter 1,030,296 5,1
Microquímica 784,842 3,9
Total (2009) 20,214,290 100
Sources: ANPII (2012)
Brazilian Inoculants Industry
2.855
3.385
3.894
693
2.004
385
N P K
Brasil 2010 - Kt* Nutrients ton
Consumption
Production
•Brazilian Fertilizer market (2010):Aproximatelly US$ 6 billion.
• Low, bad quality, difficult access nutrients´ mineral reserves.
•Based on the size of the chemicals fertilizers market, a successful innovation in the inoculant´s industry expects to capture a great amount of value.
Sources: IBGE (2011)
N = 90kg/haN = 45kg/ha
+inoculant
Brazilian Inoculants Industry
No inoculant Inoculant
Brazilian Inoculants Industry
Brazilian Inoculants Industry
New Action Situation in emerging markets (Apllying the IAD Framework)
• Changes at Biophysical charecteristcsArtifacts – Powerfull research methods: molecular biology and bioinformaticsFacilities – Biological Resource Centers, International Depository AuthorityIdeas – Genetically modified bacterium, Enhance Mineral Fertilizers Efficiency
• Changes at Rules-in-useCouncil of Genetic Heritage Management (CGEN) overregulation based in a common pool resources type of good classification
• Actors Logic of Action Researchers metric, University-Industry link from engagement to commercialization
Brazilian Inoculants Industry
New Action Situation in emerging markets (Apllying the IAD Framework)
• New patterns of interaction Lack of cooperation among the actors-subjects.
• Undesired OutcomesBioprospecting goods underuse, lack of products standard, reducing economic efficiency of the resources employed at knowledge creation activities.
Policy Prescription
The gap between the potential research and business activities is a characteristic trait of the Brazilian biotechnology
•A starting point regarding collective actions involving researchers, entrepreneurs and government representatives in the inoculants market is the alteration of CGEN`s classification of bioprospecting goods
• Definition of International Authority Depositories will enhance the university-industry commercialization interaction.
• As well as the definition of rules of access and use for the main Brazilian biological resource center (Embrapa).
