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The Determinants of Large-Scale Land Acquisitions (LSLAs) in Sub-Saharan Africa (SSA): A Case Study

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Listed:
  • Chiara Mazzocchi

    (Department of Agricultural and Environmental Sciences, University of Milan, Via Celoria 2, 20133 Milan, Italy)

  • Michele Salvan

    (Department of Agricultural and Environmental Sciences, University of Milan, Via Celoria 2, 20133 Milan, Italy)

  • Luigi Orsi

    (Department of Agricultural and Environmental Sciences, University of Milan, Via Celoria 2, 20133 Milan, Italy)

  • Guido Sali

    (Department of Agricultural and Environmental Sciences, University of Milan, Via Celoria 2, 20133 Milan, Italy)

Abstract

The determinants of large-scale land acquisitions (LSLAs) are, in most cases, outside the traditional sales–buying land market, as they are often rented lands for long periods of time or exploitation licenses. Sub-Saharan Africa is among the most affected regions by this phenomenon for reasons related to its land policy, and includes 37% of the total LSLAs cases. The paper develops an econometric model based on a logarithmic OLS regression to identify the determinants of LSLAs in sub-Saharan Africa. As suggested by the literature, this analysis poses the total agricultural area acquired by country as dependent variable. Results show that investors prefer a country offering a sufficiently free trade economic context with a good level of agricultural productivity, thus allowing an easy investment process. Moreover, a country with a formal recognition of land rights is preferred, to have guarantees on their investment. The availability of water is also one of the main LSLAs drivers, as a natural limit of agricultural investments.

Suggested Citation

  • Chiara Mazzocchi & Michele Salvan & Luigi Orsi & Guido Sali, 2018. "The Determinants of Large-Scale Land Acquisitions (LSLAs) in Sub-Saharan Africa (SSA): A Case Study," Agriculture, MDPI, vol. 8(12), pages 1-13, December.
    • Handle: RePEc:gam:jagris:v:8:y:2018:i:12:p:194-:d:189051
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    References listed on IDEAS

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