Socialist Settlers on a Capitalist Frontier: The Contradictions of New Australia, Paraguay

This article assesses the socialist colony of New Australia, founded in Paraguay in 1893, in its wider historical and environmental context. Drawing on archival research, the article contends that New Australia was founded as part of a broader settler colonial deforestation frontier in the southern Atlantic Rainforest. Despite the utopian socialist ideology of its founders, New Australia’s establishment was made possible by Paraguay’s violent integration into the capitalist world-system in the late nineteenth century. This integration had previously been obstructed by centuries of resistance by Indigenous Guaraní and Guaraní-descendant peoples to colonisation. Nevertheless, New Australia’s subsequent failure as a settler colony also ensured that its impact on the Atlantic Rainforest was relatively minimal, with the colony’s inhabitants themselves becoming integrated into Paraguay’s rural Guaraní-speaking population.