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The Land Grabbers: The New Fight over Who Owns the Earth, by Fred Pearce

“Raises complex and urgent issues.”—Booklist, starred review

How Wall Street, Chinese billionaires, oil sheiks, and agribusiness are buying up huge tracts of land in a hungry, crowded world.

An unprecedented land grab is taking place around the world. Fearing future food shortages or eager to profit from them, the world’s wealthiest and most acquisitive countries, corporations, and individuals have been buying and leasing vast tracts of land around the world. The scale is astounding: parcels the size of small countries are being gobbled up across the plains of Africa, the paddy fields of Southeast Asia, the jungles of South America, and the prairies of Eastern Europe. Veteran science writer Fred Pearce spent a year circling the globe to find out who was doing the buying, whose land was being taken over, and what the effect of these massive land deals seems to be.
 
The Land Grabbers is a first-of-its-kind exposé that reveals the scale and the human costs of the land grab, one of the most profound ethical, environmental, and economic issues facing the globalized world in the twenty-first century. The corporations, speculators, and governments scooping up land cheap in the developing world claim that industrial-scale farming will help local economies. But Pearce’s research reveals a far more troubling reality. While some mega-farms are ethically run, all too often poor farmers and cattle herders are evicted from ancestral lands or cut off from water sources. The good jobs promised by foreign capitalists and home governments alike fail to materialize. Hungry nations are being forced to export their food to the wealthy, and corporate potentates run fiefdoms oblivious to the country beyond their fences.
 
Pearce’s story is populated with larger-than-life characters, from financier George Soros and industry tycoon Richard Branson, to Gulf state sheikhs, Russian oligarchs, British barons, and Burmese generals. We discover why Goldman Sachs is buying up the Chinese poultry industry, what Lord Rothschild and a legendary 1970s asset-stripper are doing in the backwoods of Brazil, and what plans a Saudi oil billionaire has for Ethiopia. Along the way, Pearce introduces us to the people who actually live on, and live off of, the supposedly “empty” land that is being grabbed, from Cambodian peasants, victimized first by the Khmer Rouge and now by crony capitalism, to African pastoralists confined to ever-smaller tracts. 
 
Over the next few decades, land grabbing may matter more, to more of the planet’s people, than even climate change. It will affect who eats and who does not, who gets richer and who gets poorer, and whether agrarian societies can exist outside corporate control. It is the new battle over who owns the planet.




From the Hardcover edition.

  • Sales Rank: #465208 in Books
  • Published on: 2013-03-26
  • Released on: 2013-03-26
  • Original language: English
  • Number of items: 1
  • Dimensions: 9.00" h x .93" w x 5.99" l, 1.10 pounds
  • Binding: Paperback
  • 336 pages

Review
"Pearce may be the only person to visit all the critical frontlines worldwide, and his brilliant reporting makes the abstraction real. Probably the most important environmental book anyone could read right now.”—Timothy Searchinger, fellow, German Marshall Fund; research scholar, Princeton University 

“Compelling and well-researched ... Dissects the modern rush to acquire land for production, investment, speculation or preservation.”—Wendy Wolford, Nature
 
“Raises complex and urgent issues.”—Booklist, starred review
 
“A thorough and enlightening exposé.”—Conservation 

“A well-researched, informative and accessible look at important economic and agricultural issues.”—Kirkus Reviews

“This is just what the world has been waiting for—a detailed overview of the land grabs that are the principal manifestation of a new geopolitics of food.”—Lester R. Brown, President of Earth Policy Institute and author of World on the Edge

“The remarkable Fred Pearce has done it again: in The Land Grabbers he opens up vastly important new terrain few of us have even noticed. When the rich and powerful start buying up the planet's fundamental resources—land and water—from the poor and vulnerable, we'd all better notice.”—James Gustave Speth, author of The Bridge at the Edge of the World: Capitalism, the Environment, and Crossing from Crisis to Sustainability

“Wherever on this earth poor villagers, agribusiness magnates, ignorant or corrupt governments, petrodollars, commodity traders and hungry multitudes come together, Fred Pearce is at the nexus, brilliantly reporting on the biggest swindle of the 21st century. With the modern landgrab, the enclosure movement has attained planetary proportions and Pearce is without peer in describing the dire consequences of this ongoing human and environmental disaster.”—Susan George, author, Hijacking America, board president, the Transnational Institute
 
"In The Land Grabbers, Pearce has produced a powerful piece of journalism that illuminates how the drive for expanded food production is transfomring the planet. anyone who cares where her next meal is coming from should read it."–Washington Post


From the Hardcover edition.

About the Author
Fred Pearce is an award-winning author and journalist based in London. He has reported on environment, science, and development issues from sixty-seven countries over the past twenty years. Environment consultant at New Scientist since 1992, he also writes regularly for the Guardian newspaper and Yale University’s prestigious e360 website. Pearce was voted UK Environment Journalist of the Year in 2001 and CGIAR agricultural research journalist of the year in 2002, and won a lifetime achievement award from the Association of British Science Writers in 2011. His many books include With Speed and Violence, Confessions of an Eco-Sinner, The Coming Population Crash, and When the Rivers Run Dry. 
 


From the Hardcover edition.

Excerpt. © Reprinted by permission. All rights reserved.
From the Introduction

 “Buy land. They’re not making it any more.”
—Mark Twain

Soaring grain prices and fears about future food supplies are triggering a global land grab. Gulf sheikhs, Chinese state corporations, Wall Street speculators, Russian oligarchs, Indian microchip billionaires, doomsday fatalists, Midwestern missionaries, and City of London hedge-fund slickers are scouring the globe for cheap land to feed their people, their bottom lines, or their consciences. Chunks of land the size of small countries are exchanging hands for a song. So who precisely are the buyers—and whose land is being taken over?

I spent a year circling the globe to find out, interviewing the grabbers and the grabbed on every continent, from Jeddah, London, and Chicago to Sumatra, Paraguay, and Liberia. Almost everyone seems to be a land grabber today. My cast of characters includes super-financier George Soros and super-industrialist Richard Branson; Colombian narco-terrorists and Italian heiresses; an Irish dairy farmer in the Saudi desert and the recent commander of British land forces, now tilling soil in Guinea; gun runners and the couple who sold the world high fashion with the Patagonia brand before buying the wild lands of the same name.

I discovered how logging concessions in central Africa may have helped elect Nicolas Sarkozy as president of France; what Lord Rothschild and a legendary 1970s asset stripper are doing in the backwoods of Brazil; who is buying Laos and Liberia, and who already owns Swaziland; how Goldman Sachs added tens of millions to the world’s starving; the dramatic contrast between Kenya’s Happy Valley and Zimbabwe’s Hippo Valley; who grabbed a tenth of the new state of South Sudan even before it raised its flag; why Qatar is everywhere; and what links a black-skinned Saudi billionaire to Bill Clinton, Ethiopia’s ex-freedom-fighting prime minister, and rich cattle pastures at the head of the Nile.

I found an evangelical American ex–prison boss draining bogs on the shores of Lake Victoria; a dapper English banker plowing up the Brazilian cerrado grasslands; Saudi sheikhs in Sudan, extending the world’s largest sugar farm; the Moonies seeking “heavenly life” by grabbing Paraguayan jungles; and Gaddafi’s doomed henchmen annexing black earth in Ukraine and yellow sands in Mali. The Kidmans and Windsors and Gettys and Khashoggis and Oppenheimers are in there too—and most likely you, or at least your pension fund, have a slice of the action.

Some regard the term land grabbers as pejorative. But it is widely used, and the subject of academic conferences. I use it here to describe any contentious acquisition of large-scale land rights by a foreigner or other “outsider,” whatever the legal status of the transaction. It’s not all bad, but it all merits attention. And that is the purpose of this book.

I have been in awe at the grabbers’ sheer ambition, and sometimes at their open-hearted altruism too. Some want to save their nations from a coming “perfect storm” of rising population, changing diets, and climate change. Others look forward to making a killing as the storm hits. Many believe they will do good along the way. But I have been appalled at the damage that often results from their actions.

Their hosts share much of the blame for what goes wrong. After years of neglecting their agriculture, African governments are suddenly keen to invest. Their desire for a quick fix to deep-seated problems makes foreign investors, with their big promises, attractive. Many governments ask few questions when investors come calling. They clear the land of existing inhabitants, and often don’t even ask for rent. There is often an unspoken cultural cringe, in which foreign is always considered best. The investment, ministers believe, will inevitably bring food and jobs to their people. But such easy assurances rarely work out, for reasons that are social, environ­mental, economic, geopolitical—and sometimes a toxic mix of all four.

There is much uncertainty about how much land has been “grabbed,” and how firm the grasp of the grabbers is. In 2010, the World Bank came up with a figure of 120 million acres. The Global Land Project, an inter­national research network, hazarded 150 million acres. The Land Deal Politics Initiative, another network of researchers that helped organize a conference in Britain on land grabbing in mid-2011, totted up 200 million acres. Within weeks, Oxfam, an aid agency, published its own estimate of 560 million acres. The truth is nobody knows. There is no central register; there is little national transparency. Some of the largest deals were done in secret and unknown even to the most diligent NGOs, while other deals have attracted headlines but have never come to fruition. I have tried to disentangle the truth about individual projects, but I have not attempted any global figure.

I hope I have reported fairly. I did find new mega-farms with thought­ful managers who make sure to offer secure jobs, food, and basic social services to their workers and their families. I found others with vibrant “out-grower” schemes that supported nearby peasant farmers and bought their produce. I found investors with a long-term view. But I also found poor farmers and cattle herders who woke up to find themselves evicted from their ancestral lands; corporate potentates running enclave fiefdoms oblivious to the country beyond their fences; warlords selling land they don’t own to financiers they have never met; hungry nations forced to ex­port their food to the wealthy; and speculators who buy land and then dis­appear without trace. I was reminded repeatedly of scenes from books like John Steinbeck’s Grapes of Wrath and Joseph Conrad’s Heart of Darkness.

This is not about ideology. It is about what works. What will feed the world and what will feed the world’s poorest. But what works has to do with human rights and access to natural resources, as well as maximizing tons per acre. As one agribusiness proponent, James Siggs of Toronto-based Feronia, admitted at an investment conference in 2011, “exclusively industrial-scale farming displaces and alienates peoples, creates few jobs and causes social disruption.”

Yet industrial-scale farming is what most land grabbers have in mind. According to Graham Davies, consultant to the British private equity com­pany Altima Partners, the “vast majority” of investors in Africa are only interested in commercial Western-style agriculture, “largely ignoring” the continent’s 60 million small farms that produce 80 percent of sub-Saharan Africa’s farm produce.

It is important to know what agribusiness can and cannot deliver. But it is equally important to be angered by the appalling injustice of people hav­ing their ancestral land pulled from beneath their feet. And to question the arrogance and ignorance surrounding claims, by home governments and Western investors alike, that huge areas of Africa are “empty” lands only awaiting the magic of foreign hands and foreign capital. And to balk at the patina of virtue that often surrounds environmentalists eagerly taking other people’s land in the interests of protecting wildlife. What right do “green grabbers” have to take peasant fields and pastures to grow biofuels, cordon off rich pastures for nature conservation, shut up forests as carbon stores, and fence in wilderness as playpens and hunting grounds for rich sponsors? They are cooking up a “tragedy of the commons” in reverse.

Over the next few decades I believe land grabbing will matter more, to more of the planet’s people, even than climate change. The new land rush looks increasingly like a final enclosure of the planet’s wild places, a last roundup on the global commons. Is this the inevitable cost of feeding the world and protecting its surviving wildlife? Must the world’s billion or so peasants and pastoralists give up their hinterlands in order to nourish the rest of us? Or is this a new colonialism that should be confronted—the moment when localism and communalism fight back?

I began and ended my journey round the world in the cockpit of the greatest land grab in history—the unfenced plains of Africa, where gov­ernments, corporations, and peasants seem set to fight for the soil of their continent. I started with a man called Omot.

Most helpful customer reviews

28 of 33 people found the following review helpful.
Readable but lacks balance and scholarship
By Derek Byerlee
The Land Grabbers: The New Fight over Who Owns the EarthPearce has written a book on a topical and controversial theme--foreign investment in farmland--that can be commended on at least three counts. First, he did a lot of traveling in Africa, Asia and South America to visit some rather difficult-to-reach outposts such as Gambella in Ethiopia. This is an important plus given the plethora of armchair writers on the book's theme. Second, he talked to a lot of people on both sides of the issue and at times grudgingly tries to make a balanced assessment. Third, he keeps the reader entertained by his background descriptions of the people behind foreign land deals.

All of this could have been five star material if he had taken more time to build a more focused and balanced book. Unfortunately he has produced a book with many tangents to his main thesis stated in Chapter 1--that land-short food importing countries are buying up land to ensure their food security. Many of the chapters do not deal with food at all but rather diverge into rubber, biofuels, logging, conservation, and private game parks. While they all place demands on land, they are not motivated by food security concerns. And the bulk of the evidence is that food-importing governments finance a relatively small share of land deals involving food production.

Further the book has an overall anti-business and anti-export crop tone. Although Pearce provides glimpses of positive impacts, 90% of the cases in this book dwell on the negative side--admittedly not hard to find. His negative cases of land grabs include Australia with good land governance and where, despite his claims, foreign ownership of farmland has not changed over 30 years according to official statistics. In Africa, he could have interviewed more investors who are making a difference by working in partnerships with smallholders, or providing stable and relatively well paying jobs. Finally, the book is very lame on policy prescriptions on how to tap much needed private investment in ways that promote social and environmental goals.

I deducted a second star for sloppiness, especially factual errors that discredit the quality of scholarship of the whole book. Here are just a few of the biggest that I caught without looking too hard. Ominously, the errors all seem to favor his thesis.

* 600 million people live in Africa's Guinea Savannah Region (an overestimate by about five times)
* Saudi Arabia was one of the world's largest wheat exporters in the 1990s (actually never reached more than 1% of world exports).
* Africa's agricultural growth has averaged over 12% in recent years (it has been 3-4% in the past five years and much lower prior to that)
* 60% of Brazil's Cerrado has disappeared under the plow and the Cerrado now accounts for 70% of Brazil's crop area (correct figures are 12% and 40%, respectively).
* The Tanzanian Groundnut Scheme employed 100,000 ex-local soldiers in the post WWII (actually about 15,000 and the ex-soldiers were the Brits).
* Paul Collier of the World Bank favored large-scale farming (Paul Collier was long gone from the World Bank when he wrote that article, and the World Bank itself has consistently favored the development of smallholder agriculture for equitable and productive agriculture).

Finally, I could forgive the location of Broken Hill in South Australia, but for all his African travels, he describes Guinea as a landlocked country. Another half star off for that one?

6 of 7 people found the following review helpful.
Good examples but not enough context
By David Zetland
Fred Pearce sent me a review copy of his new book, The Land Grabbers: The New Fight over Who Owns the Earth, which I enjoyed very much for its detailed description of the pros and cons resulting from foreigners investing in land in developing countries.

In the book, Pearce appears to see more cons with land deals than I do. Perhaps that's because he saw only bad land deals, or perhaps he associates ALL large-scale agriculture with exploitation, inefficiency and environmental degradation. Any of you who read my paper ("The Political Economy of Land and Water Grabs")* will know that I am annoyed that we do not have a good definition of when a land deal is a "bad" grab or "good" foreign direct investment (FDI). Pearce appears to call ALL deals grabs, but I think there are many well-run, sustainable farming operations that produce profits for the farmer, good jobs for locals, and quality food for markets.

Anyway, here are my notes on the 300pp+ book, which has six parts and 27 chapters covering "grabs" from buy-side and sell-side locations in Europe, N and S America, Africa and SE Asia.

Many grabs convert "fallow" land to industrial-scale agriculture, but local communities often "cultivate" this land in long rotations of crops, grazing and recovery. Their methods are not just sustainable; they are cheaper and more productive for meeting a diverse range of local needs. Nomadic herders have practiced sustainable land management for centuries.

Such methods are also egalitarian. Poor farmers can eat, but poor urban residents will suffer from political corruption and/or favoritism.

That said, Pearce seems over-suspicious of markets (and financial instruments) that can improve food security and supply, views that I recently called shortsighted and misleading.

Food security, for example, is often used as an excuse for protectionism that favors local food growers over consumers. Grabs directed at security also fuel "countervailing" grabs in which market supplies are replaced by managed supplies that will waste calories, inputs and environmental flows. Yes, the Saudis are engaging in grabs, but that was only after their failure to grow wheat at home (a bad idea that wasted water) and their exposure to volatile food markets. The trouble with their "grab" strategy is that they will not be able to export food if large-scale shortages arise and their "indigenous" farms are wasting water now that they will need in the future. It's far more efficient, for example, to rely on markets for supplies, store a year's supply of grain in case of market failure, and save water for cultivation should market interruptions last longer than a year.

Land grabs are also often water grabs. The weak property rights that allow land grabs (by definition, a grab takes land from other users) are almost surely accompanied by even weaker rights over water and even greater misuse of that water.

Grabs, as a business strategy, often depend on corrupt dictators who will not be around as long as the 50-99 year contracts may promise, making it difficult to invest over the long term or care about sustainability.

Even worse, most grabs are arranged in distant bureaus, where "buyers" and "sellers" may not have a clear idea of what they've agreed, let alone who else may be interested/affected by their agreement.

It seems that Pearce considers deals involving foreigners to be "bad" while deals with locals are "good," but local thieves are not just more common, but more thorough, since they know the maximum local tolerance for greed.

That said, it's great to improve local productivity. It just takes a lot longer because locals do not just "copy/paste" good ideas from other areas. The upside is that locals who develop "organically" will have diversified, robust systems that will contribute to market stability. Pearce would agree with this assessment, I am sure, but local is not the ONLY way to go...

Remember remember remember that foreigners cannot just show up and exploit (at least not in these post-colonial days) -- they need corrupt local partners, and THOSE people are the ones with power to make or break a deal (as I discussed in my paper).

Unsustainable operations are a bigger problem than grabs. They are fueled by a combination of short-term thinking (high discount rate) that may be fed by over-capitalization (need to generate cash to pay off debt), poor property rights (get money before land is gone), tragedies of the commons (get water before neighbors take it), etc. These problems occur in ALL countries, but they can be minimized by stable, sensible policies.

Land grabbers may be taking "marginal" land (often conservation areas, etc.) but only because domestic farmers have already taken prime land, often before environmental perspectives had any weight.

Pearce appears to laud reverse grabs, e.g., when Chavez or Mugabe break large farms into smaller holdings, but those "fair" actions are often driven by corruption or revenge. Even worse, the land often ends up with cronies who cannot farm instead of poor farmers who can.

Remember that there would be NO land grabs if individuals or communities had title to their land! That's why many grabs are occurring in Africa -- about 80 percent of the land there is "managed" using informal, communal methods.

Pearce also covers the interesting case of "green grabs" -- where environmentalists take land out of production (or protect it), to keep it pristine. These grabs sometimes exclude locals from their traditional lands; they can also be sustainable (e.g., locals live in the lands under traditional conditions, while earning money from fees paid by foreign tourists who want to hunt beasts with cameras or guns).

Pearce loses his way when discussing "grabs" in Australia that are really FDI. That's not the case in Cambodia, where corruption underpins land seizures, but it's not good to mix up fair deals (even if they upset nationalists who prefer to avoid competing with foreigners for land) with theft.

There's an interesting discussion of grabs in Malaysia and Indonesia, in which rainforests are cut down for timber and palm oil plantations. It's not just that these grabs impoverish locals of their traditional lands, or that the biofuels produced on the land may actually be "carbon positive" but that the wood products produced from them are certified "good" by the FSC when they really are not. The main point is that eco-labels are meaningless unless there's a 100 percent accurate way to prevent counterfeits -- and that's hard in corrupt countries.

Take this last point with my point on property rights and long term views above, and you will see how real sustainability results from accurate pricing of resources that belong to a community over the long term (50+ years).

The world's largest sugar farm in Sudan uses 2.4mafy (~3,000 GL), or 4 percent of the Nile's flow!

Water grabs, no surprise, reduce environmental flows that nourish wetlands that traditional users depend on for food, fiber and fish. No rights = hunger.

Mega farms may be unsustainable, but subsistence farms cannot generate enough production. Perhaps the middle way -- small-scale, mixed-use farms managed by owner/entrepreneurs who innovate and adapt to local conditions -- are the best way to feed the world over the long run. Oh, and don't forget that these guys need to trade and benefit from trade.

Bottom Line: I give this book FOUR STARS for its vivid description of the problems related to land grabs that benefit outsiders at a cost to locals whose land is taken from them. Read it to understand the choices between hunger and food, rebellion and stability but don't forget that property rights (legal, traditional or communal) would stop unfair grabs while allowing local people to benefit from their resources, locally and globally.

* The working paper is no longer online, due to spurious copyright claim by the publisher of the book where it eventually appeared. Email me if you want to see it.

6 of 8 people found the following review helpful.
Depressing throughout, with a disappointing conclusion
By J. Jenkins
In contrast to the above reviewer who thought the scholarship sloppy, I was highly impressed with the quality of the research and dizzying planetary travels. I won't go into the details of the subject matter since they were discussed by other reviewers. The endless listings of landgrabbing by the rich, of poorer countries' land, definitely makes for depressing reading though since it's the political equivalent of schoolyard bullying, with the strong taking from the weak, over and over again.
When I say the conclusion disappoints, I mean in the following way. As the environmental writer for The New Scientist, I would think Fred Pearce would incorporate the findings of climate change scientists into the assessments, but there is very little of this, probably since it wasn't really the focus of the book. But when discussing forests chopped down for pulp, it does matter greatly if a forest is expected to be gone due to increased temperatures, in 50 years, and what conditions will be like in areas of Africa, at this point, models are pretty consistent in forecasts of this kind. Instead of the obvious conclusion, that the rich countries taking land from the poor for food security is an added disaster for most of the world, added to the underlying problem of climate change, the conclusion states that the future looks positive because pastoralists and small farmers can feed the world better. What the--? Talk about dropping the ball. Once again, Malthus becomes the bogeyman in the final chapter, the risible predictions of malthusian disaster something to be clearly stated as impossible. Why is this? How does this conclusion follow in any way?

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