English

Abstract

This article presents a critical review of the Brazilian government’s initiative to use biodiesel production to promote rural development by means of the inclusion of family farmers in the biodiesel production chain. The paper describes the dynamics of the National Program for Production and Use of Biodiesel (PNPB) and comments some of its results. Both the number of farmers included and their income have been increasing from year to year. However, more than a half of the contracts of PNPB are being made with family farmers from the south of the country, who are more organized and tecnified than in other regions of Brazil. Although there have been advances, the government still faces difficulties to promote regional development based on biodiesel production in the poorest regions, e.g, the North and Northeast. The entrance of Petrobras (Public Limited Company of Oil and Bioenergy), changes in the regulatory framework of this sector and PNPB can help policies promote regional development and revitalize the social aspect of the program.   Key words: Biodiesel, competitiveness, family famers, social inclusion, National Program for Production and Use of Biodiesel (PNPB).