Anti-deforestation policy and supply chain governance

Deforestation in the Amazon and Cerrado, Brazil's two largest and most biodiverse biomes, is largely driven by the advance of the agricultural frontier toward forestland. Most of the areas converted in the last 20 years became either monocrop plantations or cattle pasture. From a socio-legal standpoint, this raises the question of how to regulate supply chain relationships in order reduce land-use change associated with soy and beef production. Drawing on documental analysis and semi-structured interviews, this research sheds light on the governance structure and frames of thought sustaining the soy and cattle value chains that influence producer behavior and expectation toward anti-deforestation policy. The paper concludes that preventing deforestation while generating income also requires reverting the deterioration in the terms-of-trade. The short-sightedness of Brazilian landowners who are disinterested in industry and share a deep-seated identity centered around agriculture and livestock remains a major obstacle in the pursuit of development.