Abstract
The agroindustrial sector is composed of segments such as agriculture, food, beverage and tobacco processing, research and development (R&D), and retailing. Although agroindustries are dominated by small and medium‐sized enterprises (SMEs) worldwide, multinational enterprises (MNEs) play an important role in these substantial industries. There has been a major transformation of the geographic pattern of agricultural foreign direct investment (FDI), with a large share now consisting of South–South investment. Agricultural FDI involves important aspects such as land grabbing, contract farming, and the emergence of global value chains controlled by companies based in the South. FDI in food and beverage processing is mainly a North–North phenomenon. Companies tend to internationalize their R&D activities. Large food retailing corporations have also tended to internationalize.
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