Soybean wars of Paraguay
Encyclopedia
In the recent years, the soybean industry has grown exponentially in South America
, primarily in Brazil
and Argentina
(South America’s two largest countries) and Uruguay
and Paraguay
. For Paraguay especially, the results of this explosive growth have been considerably substantial. While the soybean
industry has brought economic expansion to Paraguay, the issue of social justice arises as peasant farmers and campesinos are kicked off their lands to make room for big soybean farms. The issue may be referred to by some as the "Soybean Wars" of Paraguay.
, whose people have acquired a taste for soy-fed cattle. It is important to note that the United States
soy trade has had little influence on South America’s production because the U.S. grows enough to meet its own demand. Nonetheless, the demand from the east has been vast enough to spur a 69% increase in Paraguay’s soy production over the past five years, making Paraguay the world’s third largest exporter of soy.
As land value rises in Paraguay, Brazilian and Argentine farmers with the funds and means to support large industry have been crossing the border into Paraguay. While Brazilian and Argentine farmers work to expand the soybean trade, they bring disastrous results as they clear land and extend production further and further and eventually across the border into eastern Paraguay. This influx of farmers has resulted in the displacement of tens of thousands of peasants and small farmers. These campesinos claim they have been unjustly uprooted by Brazilian and Argentine landowners.
This pattern has resulted in an obvious and disastrous gap in wealth in Paraguay. For example, 74% of the land in Paraguay is owned by 2% of population, and investment also comes from foreign interests who reap the profits, which is a dramatic display of the unbalanced distribution of benefits that have come to Paraguay with the growth of the soy market. This problem grows worse and worse as small farmers are forced off their lands by highly mechanized soybean farms which need fewer laborers. While the industry is indeed bringing wealth and economic growth to an impoverished country, the livelihood of thousands of small farmers is threatened.
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
, primarily in Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
and Argentina
Argentina
Argentina , officially the Argentine Republic , is the second largest country in South America by land area, after Brazil. It is constituted as a federation of 23 provinces and an autonomous city, Buenos Aires...
(South America’s two largest countries) and Uruguay
Uruguay
Uruguay ,officially the Oriental Republic of Uruguay,sometimes the Eastern Republic of Uruguay; ) is a country in the southeastern part of South America. It is home to some 3.5 million people, of whom 1.8 million live in the capital Montevideo and its metropolitan area...
and Paraguay
Paraguay
Paraguay , officially the Republic of Paraguay , is a landlocked country in South America. It is bordered by Argentina to the south and southwest, Brazil to the east and northeast, and Bolivia to the northwest. Paraguay lies on both banks of the Paraguay River, which runs through the center of the...
. For Paraguay especially, the results of this explosive growth have been considerably substantial. While the soybean
Soybean
The soybean or soya bean is a species of legume native to East Asia, widely grown for its edible bean which has numerous uses...
industry has brought economic expansion to Paraguay, the issue of social justice arises as peasant farmers and campesinos are kicked off their lands to make room for big soybean farms. The issue may be referred to by some as the "Soybean Wars" of Paraguay.
Soybean demand
The demand for soybeans comes primarily from ChinaChina
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
, whose people have acquired a taste for soy-fed cattle. It is important to note that the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
soy trade has had little influence on South America’s production because the U.S. grows enough to meet its own demand. Nonetheless, the demand from the east has been vast enough to spur a 69% increase in Paraguay’s soy production over the past five years, making Paraguay the world’s third largest exporter of soy.
As land value rises in Paraguay, Brazilian and Argentine farmers with the funds and means to support large industry have been crossing the border into Paraguay. While Brazilian and Argentine farmers work to expand the soybean trade, they bring disastrous results as they clear land and extend production further and further and eventually across the border into eastern Paraguay. This influx of farmers has resulted in the displacement of tens of thousands of peasants and small farmers. These campesinos claim they have been unjustly uprooted by Brazilian and Argentine landowners.
This pattern has resulted in an obvious and disastrous gap in wealth in Paraguay. For example, 74% of the land in Paraguay is owned by 2% of population, and investment also comes from foreign interests who reap the profits, which is a dramatic display of the unbalanced distribution of benefits that have come to Paraguay with the growth of the soy market. This problem grows worse and worse as small farmers are forced off their lands by highly mechanized soybean farms which need fewer laborers. While the industry is indeed bringing wealth and economic growth to an impoverished country, the livelihood of thousands of small farmers is threatened.