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Most transition countries in Central and Eastern Europe face enormous challenges in developing a viable land structure. Due to restitution processes and socially engaged policies of privatization, wide spread land fragmentation is present. The situation in Armenia is comparable with many other countries in the region. Privatization was mainly done in the 1990s but continues until now as state and public land still represent a relatively large share of agricultural land. Figures of Armenia over the last 20 years illustrate minimal change in average farm and plot size. This outline is based on review and analysis of available data and a visit to Armenia in June 2017. It aims to contribute to selecting the policy options and setting the preconditions in Armenia needed to get a well-functioning rural land market to enlarge farms and to reduce fragmentation. As shown in this report, experience in the region is still limited which made it necessary and relevant to refer to experience in Western European countries. Options are not limited to land consolidation but include improved management of state land, land banking, agricultural lease regulation and some other supporting measures. The analysis conducted for this report draws on data collected from the Agricultural Census data of 2014 and data from the Real property cadastre. Qualitative data are based on several reports, presentations and interviews with experts and policy makers listed in the annex. Although further analysis is needed, it is clear that the current situation provides a serious risk for the agricultural sector which jeopardises the impact of any support to the sector. While Western European countries could organically adapt and support the sector to changing market conditions since the 1950s, the situation in Armenia (and other countries in the region) requires a set of measures which is unprecedented in its scale and intensity to speed up this process.
A joint FAO and World Bank study which shows how the farming systems approach can be used to identify priorities for the reduction of hunger and poverty in the main farming systems of the six major developing regions of the world.
Agricultural economics monograph on the interaction between agriculture and other rural areas land utilization in developed countries - includes the traditional approach to agricultural economics, and covers supply and demand, agricultural policy, cost benefit analysis of agricultural land use as compared to competing land use for urban areas, etc. Bibliography pp. 85 to 95, references and statistical tables.
Farm structures in Central and Eastern Europe (CEE) today cover a whole spectrum of forms, which include small subsistence-oriented household plots, medium-sized commercial family farms, and large corporations. The agricultural sector in CEE definitely has not embraced the family farm as the dominant farming structure, thus confounding the original expectations of Western experts. On the other hand, agriculture did not collapse because of fragmentation and privatization, as predicted by conservative doomsayers. To address the concerns of the farming sector in CEE with relation to EU accession, a workshop was held in Warsaw, Poland in June 1999. This volume represents a selection of papers presented at this workshop. It examines the reforms and policy changes necessary in the food and agriculture sectors of the ten countries that have started the accession process for eventual membership in the European Union (Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, and Slovenia). The papers are organized around the following three topics: Evolving farm structures and competitiveness in agriculture; Land laws and legal institutions for development of land markets and farm restructuring; and Development of farm services for improved competitiveness. This volume will be of interest to agricultural policy makers and government officials in the candidate countries, EU officials, World Bank and FAO staff, development scholars, and all others interested in the process of agricultural reform in CEE.
Author : Klaus W. Deininger Publisher : World Bank Publications Page : 49 pages File Size : 45,41 MB Release : 1998 Category : Derechos de propiedad ISBN :
November 1998 Secure property rights to land and well-functioning land rental and sales markets are essential for creating investment incentives, improving the allocation of land, and developing financial markets. Yet regulatory restrictions on land rental and sales and regulatory frameworks providing inadequate tenure security are common. This paper looks at the impact of imperfections in other factor markets and the costs and benefits of government intervention to improve the security of property rights and the functioning of land markets and draws conclusions about land policy issues. In agrarian societies land serves as the main means not only for generating a livelihood but often also for accumulating wealth and transferring it between generations. How land rights are assigned therefore determines households' ability to generate subsistence and income, their social and economic status (and in many cases their collective identity), their incentive to exert nonobservable effort and make investments, and often their ability to access financial markets or to make arrangements for smoothing consumption and income. With imperfections in other markets, the institutions governing the allocation of land rights and the functioning of land markets will have implications for overall efficiency as well as equity. The authors examine how property rights in land evolve from a situation of land abundance. They discuss factors affecting the costs and benefits of individual land rights and highlight the implications of tenure security for investment incentives. They also review factors affecting participation in land sales and rental markets, particularly the characteristics of the agricultural production process, labor supervision cost, credit access, the risk characteristics of an individual's asset portfolio, and the transaction costs associated with market participation. These factors will affect land sales and rental markets differently. Removing obstacles to the smooth functioning of land rental markets and taking measures to enhance potential tenants' endowments and bargaining power can significantly increase both the welfare of the poor and the overall efficiency of resource allocation. Drawing on their conceptual discussion, the authors draw policy conclusions about the transition from communal to individual and more formal land rights, steps that might be taken to improve the functioning of land sales and rental markets, and the scope for redistributive land reform. This paper--a product of Rural Development, Development Research Group--was prepared as background for the forthcoming Handbook on Agricultural Economics. The authors may be contacted at [email protected] or [email protected].
Land consolidation is a highly effective land management instrument that allows for the improvement of the structure of agricultural holdings and farms in a country, which increases their economic and social efficiency and brings benefits both to right holders as well as to society in general. Since land consolidation gives mobility to land ownership and other land rights, it may also facilitate the allocation of new areas with specific purposes other than agriculture, such as for public infrastructure or nature protection and restoration. Land consolidation instruments necessitate a thoroughly elaborated legal regulation that is integrated into the national legal framework. This legal guide provides detailed guidance on legislative issues regarding land consolidation in ways that align with Voluntary Guidelines on Responsible Governance of Tenure of Land, Fisheries and Forests in the Context of National Food Security and international human rights law. It focuses on land consolidation in rural areas and is based on regional good land consolidation legislative practices in Europe, primarily on analysis of the regulatory practices in Denmark, Finland, Germany, Lithuania, the Netherlands, Serbia, Spain (Galicia) and Turkey. It also uses land consolidation regulatory practices in other European countries as a source of information. This legal guide is published in collaboration with the FAO Regional Office for Europe and Central Asia.
Development research and policy aim to improve household welfare by improving access to assets and economic opportunities (Besley & Burgess 2000; Deininger et al. 2003). In rural and agrarian contexts, these goals may be achieved by well-functioning markets for outputs, inputs, off-farm work, and credit. The status of these markets impacts household welfare and resilience, as well as the equity and efficiency of resource use. Designing policies for improving household welfare requires an understanding of markets in rural areas. In particular, policymakers must understand how household and location characteristics impact household participation in markets and how participation impacts welfare. This dissertation contains three essays that address rural household welfare and the role of policy for Southern India. The first essay examines the selection and impact of agricultural marketing channels for farm households in rural villages of Andhra Pradesh, India. The evaluation of agricultural marketing channels in developing countries is becoming more relevant due to the growth of modern food retail (e.g. large grocery stores). This type of supply channel evolution is beginning in India as the supermarket, food processing, and food service sectors have grown rapidly in recent years. For the most part, this growth has not extended beyond the retail end of the supply channel: the traditional wholesale markets (also known as mandis) are still the most significant means for transferring food from rural to urban areas. As such, this paper analyzes current crop and milk marketing channels available to rural households in Andhra Pradesh. The goals of this analysis are to identify how household and location characteristics impact channel choice (ex-ante), if existing channels provide differential returns from one another, and which types of households benefit more or less within a channel (ex-post). The results indicate that household income is higher for households selling crops to brokers and selling milk to co-operatives. Moreover, channel choices and resulting impacts are affected by both transport and search costs. This analysis provides evidence that policy aimed at reducing transport and search costs directly associated with a channel can improve household welfare under current channel structures. Given the likely characteristics of emerging channels, similar policy is expected to improve farmer welfare in the future too. The second essay is an analysis of rural land leasing markets in multiple states across India. Land leasing markets are hypothesized to improve the efficiency of land allocation and provide welfare gains to participating households. However, in developing countries, these markets are commonly impacted by transactions costs, missing or incomplete non-land markets, and insecure property rights. This study assesses how Indian land markets perform in terms of equity and efficiency, identifies land market distortions, and examines how policy can address these distortions. Using a panel dataset of households from rural villages in Andhra Pradesh, Karnataka, Madhya Pradesh, and Maharashtra, this research contributes to previous work by developing conceptual and empirical analyses that are consistent with the specific structure of land leasing decisions in India and provide insights into functioning of land leasing markets. The results confirm that land markets improve factor ratios by transferring land from input-poor to input-rich smallholder households. However, land market functioning is found to be limited by the presence of transactions costs and missing or incomplete non-land markets. From a policy standpoint, the results suggest that, due to the linkages across markets (e.g. input markets), policies that promote rural market development are expected to have the greatest impact on land markets in the short run. The third essay continues to focus on land markets and, in particular, illustrates the role of land markets in household resilience. This study identifies household economic resilience as the ability of a household to avoid low values or loss of economic value in the presence of changing conditions over time. In much of the development literature, research aims to identify ways of improving the well-being of households in developing countries. Understanding resilience adds a new dimension to this by examining a household’s current state of well-being along with possible future states (better or worse) and what factors contribute to these. This is especially relevant for agricultural households that are subject to varying biophysical and economic conditions. Land markets can play a role in household resilience by allowing households to adjust their operated land area as conditions change. This type of adjustment can improve welfare by enabling households to pursue different activities (on or off-farm) with the goal of household income maximization. The relationship between land markets and resilience is examined empirically by predicting land market participation and resulting welfare outcomes under a variety of price and policy scenarios. The goal is to provide evidence that households use land markets to adjust to price changes and that policy addressing land market imperfections can increase that adjustment, in terms of land market participation and resulting welfare. This analysis utilizes estimates from econometric models of land leasing and household welfare, and it focuses on cereal price changes and a market development policy. The results support the hypothesis that land markets contribute to household resilience by enabling households to respond to changing conditions and improve their welfare. Moreover, the results indicate that policy aimed at land market distortions can further increase household resilience.
Since 2014, North Macedonia has developed into the flagship country for FAO support to land consolidation in Europe and Central Asia. The first small technical assistance project began in 2014. During 2017–2022, support to the national land consolidation programme was scaled up with European Union IPA funding through the FAO-implemented MAINLAND project. In August 2022, a second EU IPA-funded and FAO-implemented project “Enhancing land consolidation in North Macedonia” was launched and will continue until 2026 in close collaboration with the Ministry of Agriculture, Forestry and Water Economy. From the beginning, the Government of North Macedonia’s vision has been to build up and implement a fully operational national land consolidation programme. In addition to the mentioned core land consolidation activities and projects, FAO has in North Macedonia in the same period provided technical assistance to a number of land policy-related activities, including to the privatization of state-owned agricultural land, addressing land abandonment and supporting the development of agricultural land markets. This publication aims to document the lessons learned from the introduction of a land consolidation instrument in North Macedonia during the period 2014–2023. The purpose is to share the experiences with land consolidation, which will also be of great relevance for other countries in Europe and Central Asia and beyond that are in the process of introducing land management instruments such as land consolidation and land banking. The structural problems in agriculture with small average farm sizes, excessive land fragmentation, water scarcity, need for modern irrigation systems and weak agricultural land markets are also present in several countries in North Africa, the Near East and South East Asia. In some of these countries, there is also an increased interest in the introduction of land consolidation instruments.
Author : Kevin J. Boyle Publisher : Taylor & Francis Page : 289 pages File Size : 10,77 MB Release : 2017-03-02 Category : Business & Economics ISBN : 135194181X
Public concern over land management has never been greater. This book provides a broad overview of the economics of rural land-use change, drawing attention to the meaningful role economic analysis can play in resolving public concern and supporting future, pro-active land management strategies in rural areas. The book's breadth distinguishes it from other recent texts, as it jointly offers rigorous treatments of theoretical and empirical models of rural land-use change and practical discussions of applications and relevant methods. Chapters are specifically designed to demonstrate the types of land-use questions economic analysis can answer, the types of methods that might be employed to answer these questions, and the types of public policy decisions that may be supported by such analysis. The book makes a significant contribution to contemporary land-use research, highlighting the key methodological and public policy issues that will be central to future research on the economics of rural land-use change.