AGRICULTURAL
DEVELOPMENT
Agriculture: The Backbone of the Nation
CONTRIBUTIONS OF AGRICULTURE
Supply raw materials to industry
Increase income
Release of labor force in agriculture to industry
Export earnings of country
Job creation
Balanced development
• PROBLEMS OF
AGRICULTURE
• Risky business
• Financing
• Production
• Processing
• Marketing
• Lack of government
support
• Prices of agricultural
products are not stable
• Limited land to cultivate
SOURCES OF SMALL SCALE AGRICULTURAL PROGRESS
Technological change and innovation
Appropriate government economic policies
Supportive Social Institutions
• CONDITONS FOR GENERAL RURAL ADVANCEMENT
• Modernizing farm structures to meet rising food demands LAND REFORM)
• Creating an effective supporting system
• Changing the rural environment to improve levels of living
Definition of terms
LAND REFORM : full range of measure that may or should be taken to improve or remedy the defects in the relationship among men with respect to their rights in the land
It is concerned with rights in land, and their character, strength and distribution
AGRARIAN REFORM : includes land reform and the reform and development of complementary institutional framework such as administrative agencies of the government
It focuses on broader set of issues: the class character of the relations of production and distribution in farming and related enterprises, and how these connect to the wider class structure
Land tenure structure ; one or more types of land tenure systems regulating the rights to ownership and control and usage of land and the duties accompanying such rights
Production structure : relates to the nature, type and modus operandi as well as the actual production or farm operation
• RELIGIOUS ASPECT
• Biblical background
• Papal teachings
• Church estates
• Moral aspect
• Peace and internal stability
• Landowner is more than
compensated
• Injustice in landlordism
• Innate tendency of man to own
land
• ECONOMIC ASPECTS
• Vital position in national economy
• Obstacle top agricultural productivity
• An instrument for increasing agricultural productivity
• SOCIO-CULTURAL
• It is a multifaceted program
• Assumption about Filipino tenant farmers
ASPECTS OF AGRARIAN REFROM
• POLITICAL ASPECT
• Top priority of the
government
• As a political process
• LEGAL ASPECT
• Two vantage points
• To conform with
constitution
• Constitutional
mandates
• Policy development
• WAYS OF CHANGING THE AGRARIAN STRUCTURE
• Revolutionary situation
• Authoritarian regime
• Within politically democratic framework
• Requirements for successful implementation
• Provisions of a line of command from the center to field levels
• Provisions of supporting services
• Enforcement of administrative organization and procedures and judicial system
• Involvement of beneficiaries in the implementation
Variations of agrarian reform programs
• Retention ceilings
• Recipients or beneficiaries
• Valuation
• Mode of payment
• Repayment of new owners
• Government support
• Obligations of the new owners
I. PRE SPAINSH TIME
(land pattern, social classes)
II. THE SPANISH
Encomienda system
Feudal system
Capitalism emerged
Royal Decrees of 1880 and 1884 (legal title)
1896 revolution with peasant
1898 peasants gained control
Spain ceded Philippines to US through the Treaty of Paris
HISTORY OF AGRARIAN REFORM
III. AMERICAN PERIOD
Tenancy of peasants on friars continued
Introduced capitalism
LAWS :
Philippine Organic Act 1902 : private individuals = 16 hectares ; corporations = 1,024
Land Registration Act of 1902: systematic registration of land through Torrens system
Public Land Act of 1903 – homestead system
• IV. Philippine Independence : Tydings-
McDuffie Law.
• Provision of a 10 year transition period
when the commonwealth Government was
to be organized
• Social Justice Program : anti-usury,
tenancy regulation, issuance of license to
homesteaders to farm on public lands
V. JAPANESE OCCUPATION
Peasant took up arms
HUKBALAHAP (March 29, 1942)
End of war marked the end of HUKBALAHAP
Huk Revolution (1946-1947)
Huks were defeated through the assitance of the US
VI. AGRARIAN REFORM UNDER FILIPINO LEADERSHIP
QUEZON (1935-1944)
Rice Tenancy Law
CROP SHARING Crop Sharing
loans for tenants
ROXAS AND QUIRINO (1946-1953)
RA 34 : 70-30 crop sharing
LASEDECO : Land Settlement Development Corportaion after WWII
MAGSAYSAY (1953-1957)
Agricultural Tenancy Act of 1954 (RA 1199)
Land Reform Act of 1955 (RA 1400)
Regulate all
forms of tenure
relations
Rights to Share
tenants to
leasehold
Security of
tenure to tenants
Rice and corn
lands
Reduce large landholdings and
consolidate smaller, uneconomic
holdings into plots of adequate
sizes
Resettle tenants in areas where
land is abundant
Provide adequate credit facilities
for small landholders
Reduce rental and interest rates
Secure land titles for small
landholders
Reform property tax structure
NARRA free distribution of lands
of public domain to landless
tenants
MACAPAGAL (1961-
1965)
Land Reform Code (RA
3844) – farmers to own
the land they till
Retention limit 300 to 75
Abolished share tenancy
and instituted leasehold
system
MARCOS (`965-1986)
PD 2 share tenancy as
illegal and declared entire
country as an agrarian
reform are
PD 27
Rice and corn lands
Landholdings to 7 HA
CLT and Emancipation
Patents to new owners
DAR created ( RA 6389)
AQUINO 1986-1992
Proclamation 131 : CARP as major program of the government
EO 229 : mechanism for CARP’s implementation
EO 129-A strengthening DAR as lead agency for implementaion of CARPP
EO 228 : full landownership to qualified benficiries; manner of payment and mode oc compensation to land owner
RA 6657 : CARL : signed June 10, 1988 and took effect June 16, 1988
EO 405 : Land Bank of the Philippines as responsible for land valuation
EO 406 : CARP as central to the government’s effort to hasten countryside agro-industrial development and directed the implementing agencies for alignment of their programs.
EO 497 : directives to all government instrumentalities
Necessity of agrarian reform
• Economic
• Social
• political
OBJECTIONS TO AGRARIAN
REFORM
Fragmentation of farm holdings
Small farms uneconomic
Small landholdings included
It failed in the past
COMPREHENSIVE AGRARIAN
REFORM LAW
( R.A. 6657)
• Agrarian Reform
is the
redistribution of
lands to farmers
and regular farm
workers who are
landless,
irrespective of
tenurial
arrangements
• VISION A nation where there is equitable
land ownership with empowered agrarian reform beneficiaries who are effectively managing their economic and social development for a better quality of life
• MISSION CARP seeks massive and rapid
increase in agricultural productivity and improvement of access of the masses to resources, particularly land
NEED for CARP Revival and development of Philippine Agriculture sector Increase productivity Essential element Shift of capital from land to industry Imperatives of the president Cooperation, harmony and understanding Participation of all concerned Partner of the Philippines to the continuing program of the government Needs of times call for a change Forces of history
NEEDS of CARP
Realistic and flexible
Funds
Infrastructure projects
Education
OBJECTIVES
Equity
Capability
Sustainability
POLICY
Welfare of landless farmers
Encourage the formation of economic sized families
Land has a social function and land ownership has social responsibility
Comprehensive Agrarian Reform Program:
☺ Redistribution of agricultural land; the education and organization of beneficiaries, and the delivery of support services-credit, infrastructure, technology, post harvest, and the like
☺ Centerpiece of Aquino Administration and signed by Pres. Aquino June 10, 1988 and took effect June 15, 1988
SCOPE :
Ownership and the control of more or less 10.3 million ha. Of agricultural land, representing about one third of the total area of the Philippines, shall be transferred over a 10 year period to an estimated 3.9 million beneficiaries.
LANDS COVERED BY CARP
Lands covered by
CARP:
All public and private
agricultural lands
regardless of tenural
arrangement and
commodity produced
• Public agricultural lands:
lands of public domain
suitable for or devoted to
agriculture
• Private agricultural lands :
those owned by private
entities or by government
agencies in a propriety
capacity
LANDS OF MULTINATIONAL CORPORTAION
Implementation is to be completed within 3 years
Scope : In excess of 1000 Ha and 500 Ha in excess of foreigner
Contracts covering areas not in excess of 1000 Ha in case of corporations, and 500 for individuals are allowed to continue until August 29,1992
Implementation not later than 10 years
Distribution and formation of workers’ cooperative
Production and income sharing
Modern technology in production
COMMERCIAL FARMING
Subject to compulsory acquisition
New farms, the ten year period begins after 1st year commercial production
Initiation steps to acquire land
VOS, CA or direct payment scheme
Production and income sharing
Grounds for disqualification
Mandatory requirement
Optional retirement or resignation
Dismissal for cause by final judgment
Waiver or refusal to be beneficiary
Violation of agrarian reform laws
EXEMPTIONS
LANDS ACTUALLY, DIRECTLY
AND EXCLUSIVELY USED AND
FOUND TO BE NECESSARY FOR :
• Forest reserves and reforestation
• Fish sanctuaries and breeding
grounds
• Watersheds and mangroves
• School sites and campuses
• Church sites
• Communal or burial grounds
• Penal colonies and penal farms
• Government and private research
and quarantine centers
All lands with 18% slope and over
except those already developed
•Church sites and
convents, mosques
National defense
Parks and
wildlife
ANCESTRAL LANDS
Protection of rights of
indigenous cultural to
ensure their
economic, social and
cultural well being
communities
Suspension of the
implementation
Enactment of regional
laws
• SEC. 9. Ancestral Lands. - For purposes of this Act,
ancestral lands of each indigenous cultural community
shall include, but not be limited to, lands in the actual,
continuous and open possession and occupation of the
community and its members: Provided, That the Torrens
System shall be respected.
• The right of these communities to their ancestral lands
shall be protected to ensure their economic, social and
cultural well-being. In line with the other principles of
self-determination and autonomy, the systems of land
ownership, land use, and the modes of settling land
disputes of all these communities must be recognized
and respected.
ORDER OF PRIORITY AREAS
PHASE ONE
Rice and corn lands under PD 27
All idle or abandoned lands
All private lands voluntary; offered by the owners of agrarian reform
All lands foreclosed by governmental financial institution
All lands acquired by PCGG
All lands owned by the government devoted to or suitable for agriculture
4 years implementation
PHASE TWO
All alienable and disposable public agricultural lands
All arable public agricultural lands under agro-forest, pasture and agricultural leases
All public agricultural lands which are opened for new development and resettlement
All private agricultural lands in excess of 50 Ha
4years implementation
PHASE THREE : all other private agricultural lands commencing with large landholdings and proceeding to medium and small landholdings
Landholdings above 24 Ha up to 50 Ha ( 3years)
Landholdings from the retention limit of up to 24 Ha (3 years)
LAND DISTRIBUTION
Donor by RA 6657: Landowner
RETENTION LIMIT : LANDOWNER
§ 5 Ha
§ 3 Ha to each child : (1) that he is
at least fifteen (15) years of age;
and (2) that he is actually tilling
the land or directly managing the
farm: Provided, That landowners
whose lands have been covered
by Presidential Decree No. 27
shall be allowed to keep the area
originally retained by them
thereunder;
§ Section 6, Chapter II
• BENEFICIARY:
Natural or juridical persons
Distribution Limit :
3 Hectares
RETENTION LIMIT
• RIGHT TO CHOOSE
: compact and
contiguous
• EXCEPTION :
• Tenants refusal –
leaseholder- not
beneficiary
• Option has to be
within 1 year period
• The right to choose the area to be retained, which shall be compact
or contiguous, shall pertain, to the landowner: Provided,
however, That in case the area selected for retention by the
landowner is tenanted, the tenant shall have the option to choose
whether to remain therein or be a beneficiary in the same or another
agricultural land with similar or comparable features. In case the
tenant chooses to remain in the retained area, he shall be
considered a leaseholder and shall lose his right to be a beneficiary
under this Act. In case the tenant chooses to be a beneficiary in
another agricultural land, he loses his right as a leaseholder to the
land retained by the landowner. The tenant must exercise this option
within a period of one (1) year from the time the landowner
manifests his choice of the area for retention.
QUALIFICATION TO BE
BENEFICIARY
Agricultural lesses and
share tenants
Regular farmworkers
Other farm workers
Actual tillers or
occupants of public
lands
Collective or
cooperatives of the
above beneficiaries
Others directly working
on the land
Landless
15 years old or head of the family at the time the property was transferred in the name of the Republic of the Philippines
Willingness, ability and aptitude to cultivate the land to make it productive
ORDER OF PRIORITY IN
LAND DISTRIBUTION
Modes how private lands are acquired
OPERATION LAND
TRANSFER (OLT)
Rice and corn lands
PD 27
COMPULSORY
ACQUISITION (CA)
Acquired through mandate
of law
VOLUNTARY OFFER
TO SELL (VOS)
Landowners come
forward to the gov’t to
offer their lands to DAR
EXECUTIVE ORDER 407
Government owning
agricultural lands
VOLUNTARY LAND
TRANSFER
Landowners offer their
lands for sale directly to
qualified beneficiaries
Steps in land acquisitions
Identification of
landowners and
beneficiaries
Land valuation and
landowners’
compensation
Transfer of Title from
the landowner
Registration of landowners : to file sworn statement in the Assessor's office
Co-owned, mortgaged and sequestered lands
Valuation of property for compensation purposes
exemptions
• REGISTRATION OF BENEFICIARIES
• DAR, through BARC shall register all agricultural lessee. Tenants or farm workers
• Posting of registry list
• Purpose of registration
TENANTS / LESSEE RIGHT OF
REDEEMTPION
• LANDOWNER MUST FIRST OFFER TO SELL HIS LAND TO TENANT
• THE TENANT HAS THE RIGHT TO REDEEM THE LAND AT REASONABLE PRICE IF LANDOWNER DECIDES TO SELL WITHOUT TENANTS CONSENT
• SALE OR TRANSFER TO THE GOVERNMENT ACQUIRED BY THE BENFICIARY UNDER CARL SHALL BE SUBJECT TO REPURCHASE OF THE RIGHT OF THE CHILDREN OR SPOUSE
Valuation of the land
MARO sends notice
To landowner and beneficiary
LBP for valuation
DAR
makes review
Through BLAD
MARO makes
report TO PARO
To complete
Valuation and
For recommendation
To DAR central Office
DAR prepares for
signatory
Of secretary
Acceptance
Or rejection
of landowner
redistribution
NOTICE
From DAR to
Landowner to
Acquire land
Payment
In case of
acceptance
Determination
of
compensation
Taking position
Landowner’s compensation
• Cash and government bonds
• excess 50 ha : 25% cash
• 24-50ha : 30% cash
• Less than 24 ha : 35% cash
Government instruments : shares of stocks in government corporations, tax`credits, Land Bank bonds
Payment scheme for beneficiaries
• Lands awarded is to be paid to the Land Bank of the Philippines in 30 annual amortization at 6 % per annum (VOS, CA, EO 407); and 20 annual amortization at 6% (OLT)
• Payments made affordable
1st five annual payments may not exceed five percent of the value of the annual gross production as established by DAR
n.b. LBP may reduced the interest rate after the fifth year should there be an increase of 10% of the annual gross production
• 100,000; 35,000
• 220,000-35,000= 185,000
Support services
BENEFICIARIES Land survey and titling Liberalized terms on credit facilities and production loans Extension services by wat of planning, cropping, production and post harvest technology transfer Infrastructure support Research, production and use if organic fertilizers Training and education assistance
LANDOWNERS
Investment information,
financial and counselling
assistance
Facilities programs and
schemes for conversion and
exchange of baonds
Marketing of LBP bonds
SEC. 63. Funding Source
• The initial amount needed to implement this Act for the period of ten
(10) years upon approval hereof shall be funded from the Agrarian
Reform Fund created under Sections 20 and 21 of Executive Order
No. 229.Additional shall include the following:
• (a) Proceeds of the sales of the Assets Privatization Trust;
• (b) All receipts from assets recovered and from sale of ill-gotten
wealth recovered through the Presidential Commission on Good
Government;
• (c) Proceeds of the disposition of the properties of the Government
in foreign countries;
SEC. 63. Funding Source
• (d) Portion of amounts accruing to the Philippines from all sources or
official foreign aid grants and concessional financing from all
countries, to be used for the specific purposes of financing
production credits, infrastructures, and other support services
required by this Act;
• (e) Other government funds not otherwise not appropriated
• All funds appropriated to implement the provisions of this Act shall
be considered continuing appropriations during the period of its
implementation.
• SEC. 64. Financial Intermediary for the CARP. - The
Land Bank of the Philippines shall be the financial
intermediary for the CARP, and shall insure that the
social justice objectives of the CARP shall enjoy a
preference among its priorities.
•
Proofs of landownership
Emancipation
patents for OLT
lands
Certificates of
landownership
Award (CLOA) for
CA, VOS and EO 407
lands for
resettlement areas
Free patents for
public lands
Grounds for forfeiture of
awarded lands
♣ Non payment of a total of three annual amortizations
♣ Negligence ♣ Misuse ♣ Unauthorized sale of
land or any support extended
Prohibited Acts and Omissions(Chapter XV, Sec.73)
• (a) The ownership or possession, for the purpose of circumventing
the provisions of this Act, of agricultural lands in excess of the total
retention limits or award ceilings by any person, natural or juridical,
except those under collective ownership by farmer-beneficiaries.
• (b) The forcible entry or illegal detainer by persons who are not
qualified beneficiaries under this Act to avail themselves of the rights
and benefits of the Agrarian Reform Program;
• (c) The conversion by any landowner of his agricultural land into non-
agricultural use with intent to avoid the application of this Act to his
landholdings and to dispossess his tenant farmers or the land tilled by
them;
• (d) The willful prevention or obstruction by any person, association or
entity of the implementation of the CARP;
• (e) The sale, transfer, conveyance or change of the nature of lands
outside of urban centers and city limits either in whole or in part after
the effectivity of this Act. The date of the registration of the deed of
conveyance in the Register of Deeds with respect to titled lands and
the date of the issuance of the tax declaration to the transferee of
the property with respect to unregistered lands, as the case may be,
shall be conclusive for the purpose of this Act;
• (f) The sale, transfer or conveyance by a beneficiary of the right to
use or any other usufructuary right over the land he acquired by
virtue of being a beneficiary, in order to circumvent the provisions of
this Act.
Prohibited Acts and Omissions(Chapter XV, Sec.73)
DAR
DENR LBP LRA DTI DA DPWH NIA
GOVERNMENT AGENCIES INVOLVED IN
LAND ACQUISITION
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