It comes to the startling conclusion that the investment climate of the host country actually weighs very little. What matter much more are poor governance and lack of transparency. This turns the conventional policy prescription on its head! Weak land governance and poor security of tenure for current users seem to enhance the attractiveness of countries for offshore farming.
These perverse incentives need to be addressed if offshore farming is to lead to win-win outcomes for both home and host countries. Otherwise, they can rapidly erode hard-won gains in democracy, governance and transparency. With the ongoing troubles in the US and Europe, current global growth depends much more on growth in demand from developing countries and emerging markets.