Environmental Impacts of Agricultural Intensification: Evidence from Brazil’s Double-cropping Boom
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Date
2024-11-30
Authors
Jeddi, Behzad
DePaula, Guilherme
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Abstract
This article examines the environmental impacts of agricultural intensification in Brazil, particularly the significant expansion of a double-cropping system involving soybeans and corn,
which has transformed Brazil into the world’s leading exporter of corn. We use econometric models with instrumental variables to assess the impact of double-cropping on pesticide
runoff and land-use change, focusing on regions near tropical forests. Our results indicate that double-cropping reduces pesticide runoff by acting as a cover crop that limits chemical
leaching, although the effect size is small. In our analysis of land-use change, we observe notable regional variation. In traditional agricultural zones, double-cropping has minimal
influence on cropland expansion due to high land-conversion costs. However, in frontier areas where land conversion barriers are lower, double-cropping significantly drives cropland
expansion. We estimate that 44% of the cropland expansion in the frontier region would not have occurred without the practice of double-cropping. This finding suggests that the recent
growth of second-crop corn for ethanol production may have more substantial environmental
impacts than previously anticipated.
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Series
24005
Academic or Administrative Unit
Type
working paper
Comments
JEL Codes: Q51, Q53, Q56, Q24, Q25
Length: 85 pages
Original Release Date: November 30, 2024