PRICES, LAND USE AND DEFORESTATION: EVIDENCE FROM THE TAPAJÓS BASIN
Summary
The research finds that an increase in relative soy to beef prices encourages the conversion of pasture to cropland, which in turn reduces local deforestation. This effect is attributed to the higher input intensity of crop cultivation compared to cattle ranching, which increases local input prices and displaces low-productivity cattle ranchers. The author estimates that this land conversion saved 5,300 square kilometers of forest, representing nearly 15% of the region's total deforestation during the study period.
Key insights
- The conversion of pasture to cropland in the Tapajós basin from 2002 to 2012 reduced deforestation by 5,300 square kilometers, which is approximately 15% of the total deforestation observed in the region during that timeframe.
- The reduction in deforestation is explained by a model where crop cultivation is more intensive in capital and labor than cattle ranching; shifting land use toward crops increases input prices, forcing low-productivity cattle ranchers to exit the sector.
- The local environmental benefits of cropland expansion are primarily concentrated in municipalities along the agricultural frontier in central Mato Grosso, specifically Nova Mutum, Sorriso, Sinop, and Vera.
- The local positive environmental externalities identified in the study are estimated to mitigate between 40% and 90% of the negative spillover effects (indirect land-use change) reported in other literature.
Cite the original document
- APA
- BRAGANÇA, A. (2015). PRICES, LAND USE AND DEFORESTATION: EVIDENCE FROM THE TAPAJÓS BASIN. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Prices_Land_Use_and_Deforestation_Working_Paper_CPI.pdf
- Chicago
- BRAGANÇA, ARTHUR. PRICES, LAND USE AND DEFORESTATION: EVIDENCE FROM THE TAPAJÓS BASIN. Climate Policy Initiative, 2015. https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Prices_Land_Use_and_Deforestation_Working_Paper_CPI.pdf.
- Wikipedia
- {{cite report |last1=BRAGANÇA |first1=ARTHUR |title=PRICES, LAND USE AND DEFORESTATION: EVIDENCE FROM THE TAPAJÓS BASIN |publisher=Climate Policy Initiative |date=August 2015 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Prices_Land_Use_and_Deforestation_Working_Paper_CPI.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{bragana2015prices, author = {BRAGANÇA, ARTHUR}, title = {{PRICES, LAND USE AND DEFORESTATION: EVIDENCE FROM THE TAPAJÓS BASIN}}, institution = {Climate Policy Initiative}, year = {2015}, month = aug, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2021/01/Prices_Land_Use_and_Deforestation_Working_Paper_CPI.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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