F Bresciani

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Land Reform, RuralLand Reform, Rural

Development and Poverty inDevelopment and Poverty in

the Philippines:the Philippines:

Revisiting the AgendaRevisiting the AgendaFabrizio Bresciani (World Bank, Philippines)Fabrizio Bresciani (World Bank, Philippines)Nobuhiko Fuwa (Chiba University, apan)Nobuhiko Fuwa (Chiba University, apan)

!rsenio Balisacan ("#!$C!, University o% the Philippines)!rsenio Balisacan ("#!$C!, University o% the Philippines)


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&&istory and salient features of land reformistory and salient features of land reform

P' (*+*) coverin- rice areas, settin-P' (*+*) coverin- rice areas, settin-

basis %or later le-islationbasis %or later le-islation

./peration 0and 1rans%er (/01)/peration 0and 1rans%er (/01)

./peration 0and 0easehold (/00)/peration 0and 0easehold (/00)

$! 223 (*+4+) launch o% C!$P and$! 223 (*+4+) launch o% C!$P and

e5tension o% a-rarian re%or6 to cover alle5tension o% a-rarian re%or6 to cover all

a-ricultural landsa-ricultural lands


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C!$P7s Co6ponentsC!$P7s Co6ponents

0and !d8udication and 'istribution 9 0and 1enure0and !d8udication and 'istribution 9 0and 1enure:6prove6ent:6prove6ent

Pro-ra6 Bene%iciaries 'evelop6entPro-ra6 Bene%iciaries 'evelop6ent.

!$C "trate-y (*++;) tar-etin- support services to selected!$C "trate-y (*++;) tar-etin- support services to selecteda-rarian re%or6 co66unitiesa-rarian re%or6 co66unities

!-rarian ustice 'elivery ad8udication and land!-rarian ustice 'elivery ad8udication and landvaluationvaluation

#6phasis between co6ponents (and within#6phasis between co6ponents (and withinco6ponents) shi%tin- with political conditions,co6ponents) shi%tin- with political conditions,challen-es in the %ield, opportunis6challen-es in the %ield, opportunis6


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Modalities of land transfer andModalities of land transfer and

tenurial reform:tenurial reform:

Co6pulsory !cprivate !-ricultural 0ands (settle6ents,

-overn6ent owned lands, landed estates)-overn6ent owned lands, landed estates)

/peration 0and 0easehold (/00)/peration 0and 0easehold (/00)

1itlin- in Public !?' 0ands ('#N$) Forestry1itlin- in Public !?' 0ands ('#N$) Forestry"ector CBF@9:"F"ector CBF@9:"F


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C!$0 key le-al provisionsC!$0 key le-al provisions

0and cannot be rented and has to be worked0and cannot be rented and has to be workedby the bene%iciaryby the bene%iciary

Cannot be sold be%ore a-rarian debt is repaidCannot be sold be%ore a-rarian debt is repaid

Cannot be used as collateralCannot be used as collateral$ental rates are deter6ined out o% the 6arket$ental rates are deter6ined out o% the 6arket

0and valuation carried out by 0and Bank and0and valuation carried out by 0and Bank and

can be challen-ed in re-ular court syste6can be challen-ed in re-ular court syste6


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CARP scope, by program (!!"#CARP scope, by program (!!"#

DENR

3.78 million Ha

$on%private lands (DAR#&') million *a'

Private Lands (DAR#

,& million *a


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CARP Accomplishment (!!+#CARP Accomplishment (!!+#

&')-

.'"-

&')-


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An /ncomplete 0ransfer of Rights1An /ncomplete 0ransfer of Rights1

0he /ssue of Collective CL2As0he /ssue of Collective CL2As

+&-

".-

.-

"3-

-

"-


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0he agricultural economy conte4t0he agricultural economy conte4t


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Poverty 0rendsPoverty 0rends


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CARP5s impact on povertyCARP5s impact on poverty

"everal i6pact assess6ent studies conducted"everal i6pact assess6ent studies conductedin the pastin the past@i5ed or non representative results@i5ed or non representative results

Critical lack o% co6prehensive dataCritical lack o% co6prehensive data

Need to Atrian-ulate to draw conclusiveNeed to Atrian-ulate to draw conclusivepicturepicture$esorted to provincial data constructed %ro6$esorted to provincial data constructed %ro6

the Fa6ily :nco6e #5penditure "urvey ?the Fa6ily :nco6e #5penditure "urvey ?'!$ in%or6ation on acco6plish6ents in land'!$ in%or6ation on acco6plish6ents in landdistributiondistribution


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CARP5s impact on poverty: 6ey resultsCARP5s impact on poverty: 6ey results

Positive i6pact on provincial -rowth (Balisacan andPositive i6pact on provincial -rowth (Balisacan andFuwa, ) and hence on poverty indirectlyFuwa, ) and hence on poverty indirectly

But very s6all direct e%%ect on poverty, especiallyBut very s6all direct e%%ect on poverty, especiallydurin- the last decadedurin- the last decade

$edistribution o% private land has stron- e%%ect on$edistribution o% private land has stron- e%%ect onpoverty D*E acco6plish6ent leads to D;E in ratepoverty D*E acco6plish6ent leads to D;E in rateo% poverty reductiono% poverty reduction

Co6pulsory ac


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0he ARC strategy: 6ey characteristics0he ARC strategy: 6ey characteristics

@eant to e6power and capacitate a-rarian re%or6@eant to e6power and capacitate a-rarian re%or6

bene%iciariesbene%iciaries

'elivery o% support services post harvest %acilities, %ar6 to'elivery o% support services post harvest %acilities, %ar6 to

6arket roads, irri-ation, technical e5tension6arket roads, irri-ation, technical e5tension

C'' based approach 6ainstrea6ed in local develop6entC'' based approach 6ainstrea6ed in local develop6ent

plansplans

!rea>based approach %ocusin- on 6a5i6izin- scope o% i6pact!rea>based approach %ocusin- on 6a5i6izin- scope o% i6pact

#5cellent tool %or attractin- /'!#5cellent tool %or attractin- /'! !bsorbed about ;E o% C!$P7s re-ular bud-et annually!bsorbed about ;E o% C!$P7s re-ular bud-et annually


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Merits and limits of the ARC strategyMerits and limits of the ARC strategy

Productivity hi-her by *3E in %ar6s located in !$CsProductivity hi-her by *3E in %ar6s located in !$Cs :nco6plete covera-e only 3E o% !$Bs covered:nco6plete covera-e only 3E o% !$Bs covered

1ar-etin- %avors areas with 6ediu6 a-ricultural1ar-etin- %avors areas with 6ediu6 a-ricultural

potential and weakly correlated with povertypotential and weakly correlated with poverty #5tension o% support services to 6ar-inal areas#5tension o% support services to 6ar-inal areas

continues bein- a policy (and %inancial) challen-econtinues bein- a policy (and %inancial) challen-e

Further rein%orces the hi-her productivity o% s6allFurther rein%orces the hi-her productivity o% s6all

%ar6s, contributin- to take o%% o% re%or6 bene%iciaries%ar6s, contributin- to take o%% o% re%or6 bene%iciaries

0ittle di%%erentiation across co66unities that di%%er in0ittle di%%erentiation across co66unities that di%%er in

ter6s o% resource endow6ents and a-ricultural potentialter6s o% resource endow6ents and a-ricultural potential


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/mpact on land mar6et/mpact on land mar6et

$entals ? sharecroppin- relevant %or accessin- land$entals ? sharecroppin- relevant %or accessin- land

0and 6arkets works 6ore poorly in !$Cs0and 6arkets works 6ore poorly in !$Cs

0oss o% productivity and o% returns to specialization0oss o% productivity and o% returns to specialization


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:6pact on access to credit:6pact on access to credit

E %ar6s rationed in %or6al credit 6arketE %ar6s rationed in %or6al credit 6arket &ypothesis lack o% individual title or collective&ypothesis lack o% individual title or collective

C0/! a%%ects ne-atively access to creditC0/! a%%ects ne-atively access to credit

D* ha o% land withD* ha o% land with individual titleindividual title leads to D2Eleads to D2E

probability o% accessin- credit, even a6on- s6allprobability o% accessin- credit, even a6on- s6all

%ar6ers%ar6ers

Cooperative 6e6bership i6proves access to creditCooperative 6e6bership i6proves access to credit

Bein- an !$B has ne-ative i6pact on accessBein- an !$B has ne-ative i6pact on access "i-nals i6pact o% le-al restrictions on land"i-nals i6pact o% le-al restrictions on land

trans%erability on use o% land as collateraltrans%erability on use o% land as collateral


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"ustainability issues"ustainability issues

0ack o% syste6atic data to analyze sales o%0ack o% syste6atic data to analyze sales o%re%or6ed landre%or6ed land

!necdotal evidence su--ests pheno6enon is!necdotal evidence su--ests pheno6enon is

widespreadwidespread :n plantation sector evidence is where:n plantation sector evidence is where

pheno6enon is 6ost dra6aticpheno6enon is 6ost dra6atic

0oopholes in le-islation do not i6pede but0oopholes in le-islation do not i6pede butraise transaction costs o% sellin- landraise transaction costs o% sellin- land

:6plications %or repay6ent o% the a-rarian debt:6plications %or repay6ent o% the a-rarian debt

Gey issue in the debate on C!$P7s e5tensionGey issue in the debate on C!$P7s e5tension


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Conclusions and (hopefully 7ise# policyConclusions and (hopefully 7ise# policy

recommendationsrecommendations

"low pro-ress and typical challen-es %aced by centralized a-rarian"low pro-ress and typical challen-es %aced by centralized a-rarianre%or6 pro-ra6sre%or6 pro-ra6s

Weak land ad6inistration syste6Weak land ad6inistration syste6

"o6e trade>o%% between e%%iciency and e

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