The Rise of Large Farms in Land Abundant Countries: Do They Have a Future?

Resurgent interest in agriculture raises issues about agrarian structure and the balance between large and small farms that have thus far been addressed mainly from a smallholder angle. We identify economic and policy factors that contributed to episodes of large farm growth, their impact, and ways in which these may have changed recently. An analysis of recent land demand from large investors suggests that greater clarity in the definition of property rights, attention to employment effects and technical viability, and mechanisms to re-allocate land from unsuccessful ventures to more productive entrepreneurs will be critical to facilitate better developmental outcomes.