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Rediscovering the Virgin Lands: Agricultural Investment and Rural Livelihoods in a Eurasian Frontier Area

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  • Petrick, Martin
  • Wandel, Jürgen
  • Karsten, Katharina

Abstract

Against the global debate on socially responsible agro-investment, we explore the conditions, patterns, and impacts of recent agricultural recovery in Kazakhstan’s northern grain provinces. Vertically and horizontally integrated agroholdings brought outside investment and management to this region. With stable employment in agriculture, real consumption spending of rural households has doubled within an 8-year period. Due to the socialist tradition of industrialized farming operations, rural inhabitants regard themselves primarily as workers and not as land owners. We conclude that investment in large-scale farming can provide benefits to rural people even with less than ideal-type political representation.

Suggested Citation

  • Petrick, Martin & Wandel, Jürgen & Karsten, Katharina, 2013. "Rediscovering the Virgin Lands: Agricultural Investment and Rural Livelihoods in a Eurasian Frontier Area," World Development, Elsevier, vol. 43(C), pages 164-179.
    • Handle: RePEc:eee:wdevel:v:43:y:2013:i:c:p:164-179
    DOI: 10.1016/j.worlddev.2012.09.015
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    References listed on IDEAS

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    1. Jurgen Wandel & Agata Pieniadz & Thomas Glauben, 2011. "What is success and what is failure of transition? A critical review of two decades of agricultural reform in the Europe and Central Asia region," Post-Communist Economies, Taylor & Francis Journals, vol. 23(2), pages 139-162.
    2. Jürgen Wandel, 2011. "Business groups and competition in post-Soviet transition economies: The case of Russian “agroholdings”," The Review of Austrian Economics, Springer;Society for the Development of Austrian Economics, vol. 24(4), pages 403-450, December.
    3. Binswanger, Hans P. & Deininger, Klaus & Feder, Gershon, 1995. "Power, distortions, revolt and reform in agricultural land relations," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 42, pages 2659-2772, Elsevier.
    4. Martin Petrick & Michael R. Carter, 2009. "Critical masses in the decollectivisation of post-Soviet agriculture," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 36(2), pages 231-252, June.
    5. Wandel, Jurgen, 2010. "The Cluster-Based Development Strategy In Kazakhstan’S Agro-Food Sector: A Critical Assessment From An "Austrian" Perspective," IAMO Discussion Papers 91760, Institute of Agricultural Development in Transition Economies (IAMO).
    6. FAO & IFAD & UNCTAD & World Bank Group, 2010. "Principles for Responsible Agricultural Investment that Respects Rights, Livelihoods, and Resources," World Bank Publications - Books, The World Bank Group, number 24101.
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    8. Derek Byerlee & Klaus Deininger, 2013. "The Rise of Large Farms in Land-Abundant Countries: Do They Have a Future?," Palgrave Macmillan Books, in: Stein T. Holden & Keijiro Otsuka & Klaus Deininger (ed.), Land Tenure Reform in Asia and Africa, chapter 14, pages 333-353, Palgrave Macmillan.
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    16. Reardon, Thomas & Barrett, Christopher B. & Berdegué, Julio A. & Swinnen, Johan F.M., 2009. "Agrifood Industry Transformation and Small Farmers in Developing Countries," World Development, Elsevier, vol. 37(11), pages 1717-1727, November.
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    More about this item

    Keywords

    agricultural investment; land grabbing; farm organization; rural poverty; Kazakhstan;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • P32 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - Collectives; Communes; Agricultural Institutions
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment

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