Land Market and Land Grabbing in Brazil during the Commodity Boom of the 2000s

Abstract

This article analyses the determining factors affecting the land market in Brazil in an international context where the availability of natural resources, essential to satisfy the population worldwide, is again heading the agenda. This scenario provoked a rapid expansion of agribusiness and enhanced international participation based on the relative abundance of natural resources. The first part of this article presents the spatial dynamics surrounding the production of commodities and gives evidence of the sharp increase in land price in Brazil. The second part attempts to understand the factors that affect price dynamics and subsequent effects over capital allocation in the sector, addressing the impact of the recent boom of commodities and rising interest by foreign actors in Brazilian land. The conclusion elaborates on the possible land pricing developments and political unfolding.

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