| Summary: | Tropical Dry Forests (TDFs) have been broadly converted into pastures and crops, with direct consequences to biodiversity, ecosystem services, and social welfare. Such land use and cover changes (LUCC) usually are strongly influenced by government environmental and development policies. The present study aimed at analyzing LUCC in Brazilian TDFs between 2000 and 2015, using the north of Minas Gerais state (128 000 km ^2 ) as a case study. We evaluated the potential biophysical and social-economic drivers of TDF loss, natural regeneration and net area change at the county level. Further, we determined the effects of these LUCC variables on socioeconomic indicators. We identified a considerable change in TDF cover, expressed as 9825 km ^2 of deforestation and 6523 km ^2 of regeneration, which resulted in a net loss of 3302 km ^2 . The annual rate of TDF cover change was −1.2%, which is extremely high for a vegetation type that is protected as part of the Atlantic Rain Forest biome since 1993. TDF deforestation was directly affected by county area and by the increase in cattle density, and inversely affected by terrain declivity, indicating that land conversion is mostly driven by cattle ranching in flat regions. TDF regeneration was directly affected by county area and inversely affected by the increase in population density and terrain declivity. LUCC variables did not affect welfare indicators, undermining claims from rural sectors that TDF protection would cause a socioeconomic burden for northern Minas Gerais. Our results highlight the importance of naturally regenerating secondary forests to the maintenance of ecosystem integrity and its services, which are frequently neglected in conservation strategies. Hegemonic macroeconomic policies affecting TDFs have been deeply rooted in deforestation for commodities production, and need urgent review because they cause long-term environmental impacts without evidence of welfare gains.
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