The massive entry of investment funds into the farmland market has become one of the main drivers of transformation — and tension — within the global agri-food sector. Since 2005, these financial actors have multiplied their investments in agricultural land by fifteen, with more than 700 firms now operating directly in the agri-food sphere.
This is highlighted in the report Capital Does Not Discriminate: Speculation in Housing, Food and Work, published by the Observatori DESCA, which analyses the impact of “financialization” on access to fundamental rights such as food and work in rural areas.
The study warns that the growing perception of land as a “safe and profitable asset” is accelerating the concentration of agricultural property and deepening inequality in rural regions.
Greater concentration, fewer farmers
According to the report, land grabbing has become a global phenomenon and directly affects small-scale farming — a production model based on family-run operations, limited acreage and strong ties to local markets.
Inequality in access to land has intensified since the 1980s, reaching extreme levels. Currently, 1% of farms control nearly 70% of the world’s agricultural land. This concentration has significant implications for generational renewal, young farmers’ access to land and the viability of many professional farming projects.
Growth in financial operations in Spain
In Spain, the report points to a marked increase in financial transactions linked to the agri-food sector. Between 2021 and 2024, transaction volumes grew at an average annual rate of nearly 2%, reaching a peak of €2.2 billion in 2023.
According to DESCA, this trend reflects speculative logic that may lead to changes in land use, the displacement of traditional farming operations and greater dependence on large corporate groups, with direct consequences for both the production structure and final food prices.
Impact on the food supply chain
The report warns that the increasing financialization of farmland affects not only farmers but the entire agri-food chain. The loss of control over land and production could result in reduced food sovereignty and structurally higher consumer prices, as financial returns take precedence over productive and social criteria.
Proposals to curb speculation
In response to this scenario, the Observatori DESCA proposes a set of measures aimed at curbing speculation in essential assets such as agricultural land. These include the decommodification of basic rights, the promotion of public banking focused on productive economic activity, strengthened anti-speculation policies and more effective taxation of investment funds, including improved transparency to trace the origin of capital.
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The report also examines political discourse surrounding the issue and argues that certain restrictive proposals announced by figures such as Donald Trump or parties such as Vox would likely have limited impact on the overall scale of financial activity in the sector.
In conclusion, DESCA argues that the concentration of land and other essential assets in the hands of financial actors undermines not only the balance of the agricultural sector but also fundamental rights and democratic systems, calling for immediate public action to safeguard access to land and food in both the medium and long term.
