Strategies and hybrid dynamics of soy transnational companies in the Southern Cone

Economical liberalization, market globalization and soy expansion stimulated the advance of big transnational companies in the Southern Cone countries (Brazil, Argentina, Paraguay and Uruguay). Currently, the main corporations acting on the last links of the productive chain are ADM (Archer Daniels Midland), Bunge, Cargill and Dreyfus (the ABCD firms), global leaders in the soy trade. The objective of this contribution is to analyze the different strategies these companies articulate in the Southern Cone, and their dynamics in local space through market relations with local producers. The results show the rapid and intense process of denationalization of the firms in the soy productive chain as well as the high level of market internationalization and company concentration. In spite of this, this study shows that all transnational power of ABCD firms, which seems so abstract and intimidating when seen in the global scale, depends on its basis of the formation, maintenance and exploration of relations of proximity, trust and reciprocity with local actors (especially rural producers), including family friendship linkages.     

A land full of opportunities? Agrarian frontiers,policy narratives and the political economy of peace in Colombia

Abstract

In many post-war countries, the relative security brought to rural areas is construed by government officials and business actors as an opportunity for development. This is particularly true for marginal areas, where opportunities for economic development had previously been hindered by the threat of violence. This provides a favourable context for the construction of commodity frontiers. Through the case of Colombia, I show that one of the main challenges faced by frontier policy narratives amounts to differentiating wartime dispossession from peacetime legitimate accumulation. This poses intractable challenges to policymakers and business actors, as it fuels the contradictions between peace consolidation and post-war development.     

Rural Mobilisation and Agrarian Political Economy in Argentina, 2001–2020

In this article, we reconstruct the mobilisations of rural actors both from ‘below’ and from ‘above’ and their connections to Argentina's agrarian political economy between 2001 and 2020. We divide the analysis into three periods and review key protest events and the actions of movements and organisations, paying special attention to two dimensions. First, we consider how rural movements and organisations engaged with institutional politics and the state. Second, we analyse the collective identifications and claims at the basis of coalitions forged within and beyond the rural sector.     

The politics of flexing soybeans: China,Brazil and global agroindustrial restructuring

The political geography of the global soybean complex is shifting. While the complex has long been controlled by US-based transnational corporations, new agribusiness actors, business logics and power relations rooted in South America and East Asia are emerging, based in part on commodity flexing. We explore how soybean flexing is shaping and being shaped by global restructuring of the soybean processing industry. Using the divergent histories and uses of soy in China and Brazil, we propose that in order to understand the changing soy landscape, we must examine the relationships between soy's multiple-ness and flexible-ness, the political economy of soy processing, and the relationships between crop ‘flexors’ – those powerful firms that control the soy complex – with each other and with governments. We demonstrate that the agribusiness actors who are gaining more control over the soy complex are doing so in part through flexing, and that the ability to flex may ultimately determine the trajectory of global agroindustrial restructuring. Finally, we raise questions and make suggestions for further research on flex crops.     

Global resource grabs,agribusiness concentration and the smallholder: two West African case studies

This paper places land grabbing within the context of developments within agribusiness within the last 30 years, tracing the various trajectories of increasing competition and concentration and pressures on commodity prices that have resulted in increasing dispossession of smallholders and a move in some agri-food chains towards large estate production. The paper explores the ways in which contemporary agricultural policies and neoliberal market reforms reflect these developments and examines recent framing of land policies in Africa in the context of the development of agrarian capital and agribusiness. Competitiveness results in dispossession of less successful smallholders from below by commercial smallholders, and from above by large estates vertically integrated into agribusiness marketing chains. This is illustrated with examples from the cocoa sector in Côte d'Ivoire and pineapples in Ghana.     

The geopolitics of Brazilian soybeans

Soybean plays a major role in the development of Brazilian agribusiness, and in turn in Brazilian geopolitical power as well. It is a pillar of Brazil's insertion into a ‘new multi-polar world order’ as basis for much Brazilian land ownership in neighboring countries, for the extension of political influence in Africa, and it is especially important for balancing trade with Brazil's new primary commercial partner, China. Yet the US dollar and North Atlantic transnational companies still control global soybean markets and production technologies. In a context marked by booming but volatile commodity prices, food crises, riots and revolutions in food-importing countries, a global rush for farmland, and severe droughts and climate change, the soybean agribusiness in Brazil takes on new and crucial geopolitical significance. I trace the geopolitical role it has served in consolidating the ‘green revolution’ in Brazil, and raise questions about the intersection between agroindustrial markets and currencies: could agricultural commodities serve geopolitical functions (and thus contestation) similar to those ‘petro-dollars’ have served since the 1970s? These considerations show how the political ecology of soybean shapes and is shaped by inter-regional and global-scale processes, and reveals new directions for research on the emerging geopolitical landscape of our century.     

Challenges posed by the new wave of farmland investment

Despite recent headlines about the ‘land rush’, scant empirical evidence implies that the debate is often theoretical and dominated by preconceived notions. To provide evidence that could better inform the debate, this paper focuses on three areas. First, we find that new land demand, which skyrocketed after the 2007/08 commodity price spike, remained at high levels, with a strong focus on Africa, and often countries with weak land rights protection. Some countries transferred large areas to investors, frequently locals, with limited benefits and in many cases negative impact due to weak processes and limited capacity. Second, complementing the focus on demand with an assessment of agro-climatic potential point towards major scope for productivity increase on currently cultivated areas and allows identification of countries where demand for land expansion may concentrate. Finally, comparative analysis of country policies highlights the need for recognition of existing rights, an emphasis on voluntary transfers, transparency, and thorough review of economic, social, and environmental viability as necessary—though by no means sufficient—conditions to reduce the likelihood of negative impacts.     

Green for gold: social and ecological tradeoffs influencing the sustainability of the Brazilian soy industry

In this study we assess the sustainability of the Brazilian soy industry over the past 40 years in comparison to alternative land uses. We conclude that Brazilian soy production performs as well as or better than sugarcane or cattle production in a number of areas, including macroeconomic contributions, local economic development and land use efficiency, though it involves similar tradeoffs between growth and equity, and food production and conservation. While there is no evidence that soy has reduced food security in Brazil, tax redistributions and value-added activities from soy remain limited, particularly in comparison to sugarcane production. Emerging environmental governance measures have helped to reduce the land cover impacts from soy; however, little effort has been taken to minimize the impacts of intensification.     

Disappearing nature? Agribusiness,biotechnology and distance in Argentine soybean production

A recent trend identified in the agro-food literature is that financialization in the global food system is further increasing the distance between farm and plate as well as abstracting physical commodities into market derivatives. How does food, a basic material need, become a commodity, a financial asset divorced from its physical form? This contribution explores the growing distance and abstraction of food from farm using Argentina's soy model as a case study. I explore the various drivers of distancing across the soy value chain in Argentina, including industrialization, globalization, corporatization and finance. I argue that the push for technological innovation by large-scale agribusinesses, in articulation with financial sector involvement, are both an example of and are instrumental in the process of distancing and abstraction identified in the agro-food literature. This paper also highlights how, despite agribusiness efforts to ‘displace’ and ‘disappear’ nature, these processes are never fully accomplished. I thus reflect on the socio-ecological contradictions that arise from the processes of distancing and abstraction which accompany the financialization of the corporate food system under neoliberal globalization.     

Asian values and confucian ethics: Malay Singaporeans' dilemma

To refute recent claims by the Association of Muslim Professions (AMP) and Malaysian newspapers of Malay Singaporean marginalisation, the Singapore state issued a community progress report. Whilst statistics show that there is little evidence of systemic economic marginalisation, this article argues that the Asian values and Confucian ethics discourses pursued by the state in the nation-building process leaves little room for ethnic Malay discourse.