The Political Economy of Territory and Agribusiness in Brazil

Abstract

This chapter aims to demonstrate how the notion of political economy of territory, proposed by Milton Santos, aids in the interpretation of spatial dynamics of Brazilian agribusiness at the beginning of the 21st century. Among the many territorial expressions of agricultural dynamics, this article analyzes the dialectical relationship between the 'centrifugal forces', exemplified by the spatial dispersion of modern agriculture, and the 'centripetal forces', represented by the centralization of production control especially in the metropolis of Sao Paulo. Since the Brazilian exchange crisis of 1999, state policy to stimulate export of agricultural products, linked with the interests of the main representatives of agribusiness (large producers and corporations), has resulted in the accelerating expansion of the agricultural frontier, especially with soybean production in savanna areas. However, concomitant with the territorial dispersion of production, the centralization of capital and the increasing influence of finance and information for the development of modern agriculture have reinforced the command function of the main national metropolis.