Luís Eduardo Magalhães is a municipality in western Bahia, Brazil. The town's main business is agriculture, and it is known as the capital of agribusiness. The city is located in the heart of a rapidly growing agribusiness region and as a result it is the fastest growing city in Brazil.
Because all commercial hauling of all commodities to and from the region is done by diesel trucking, there exists high demand for diesel fuel. In 2004, the population of Luís Eduardo Magalhães was 21,454. In 2007, the population was 44,265. The strong population growth was caused by the agribusiness.
The city received many farmers from Southern and Southeastern Brazil, contributing to the economic and cultural development of the city. Luís Eduardo Magalhães has been home to a significant community of young international farmers. The city is also one of the wealthiest agricultural cities in Brazil. Most of its development was made via channeling of resources from other areas of the region. The creation of this municipality was ruled unconstitutional by Brazil's Supreme Court. Its name is from a deceased member of a powerful oligarchic family, and the city was created solely as a display of power and disdain for the law. The Supreme Court was unable to undo its creation, and simply restated that creating new municipalities in the same fashion is deemed unconstitutional.