Recent Dynamics in MERCOSURs Agricultural Industries: Perspectives, Challenges

Mercosur agri-food industries show two different ways of insertion in international markets: as suppliers of raw materials and as producers of food for the regional market. This paper analyzes the expansion strategies of agri-food transnational firms in the Mercosur facing the recent changes in the institutional and the competitive context in the international markets. Both, the transnational firms engaged in raw materials trade and those dedicated to brand management redirect their strategies and alliances within a regional or global specialization. The resulting consolidation of a specialization in commodities, fostered by a favorable international conjuncture, poses serious restrictions, in the medium term, due to its external fragility and the difficulties for the development of local and regional productive and technological networks. Adapted from the source document.