Forests degradation in arid and semi-arid lands may conduct to the formation of “fertility islands” due to the accumulation of soil particles, water, nutrients and biomass under trees and shrubs. In the Arid Chaco fertility islands are characterised by the presence of Prosopis flexuosa and Larrea divaricata. The objective was to evaluate biophysical variables in soil, microclimate and the plant response under canopy and in intercanopy. Infiltrability, microtopography, soil bulk density, soil and air moisture and temperature, and light were measured under the canopy, at the limit of the canopy and in the intercanopy. These variables were correlated with the litter and plant frequencies associated with the fertility islands. P. flexuosa canopy and litter understorey tend to maintain more soil moisture compared with the intercanopy, by reducing soil and air temperature and by increasing air moisture. This increases the frequency of Dyksterhuis’ decreaser species. Under L. divaricata the canopy effect is not as effective as that of P. flexuosa and understorey plant response is not significative.
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