Dynamics of local productive arrangements in the municipalities of Mato Grosso do Sul considering the transformations of the Bioceanic Corridor

Abstract

The Bioceanic Corridor is an international land route under implementation, which aims to connect the State of Mato Grosso do Sul, in Brazil, to the ports of Northern Chile. This new route could shorten the transport time between South America and Asia by approximately two weeks. This paper’s purpose is to contextualize, map, identify, and analyze the effects of this new logistics network designed by the Bioceanic Route over the Local Productive Arrangements (LPA) in the State of Mato Grosso do Sul. To achieve these goals, a spatial econometric methodology was adopted to determine the State’s productive concentration. The results indicate that this route will bring many development opportunities. However, for that to happen, favorable policies are essential and must be developed to facilitate an integration that allows for competitiveness in the State’s economic activities. However, mere unplanned integration will potentially only lead to the reinforcement of already existing regional inequalities in the State.