This study examined the spatial price integration among four regional markets of wood charcoal in Minas Gerais, Brasil. After performing Unit Root Tests, Granger Causality Tests and estimating a VAR, it was concluded that the markets are integrated, in other words, a supply or a demand shock in one of those markets affects the prices of the wood charcoal in other markets. Although the price of the wood charcoal has been analyzed in only four areas of the state, this study suggests that the wood charcoal market in Minas Gerais is working efficiently.
Market integration; commercialization; prices; wood charcoal
