Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation. FAO s Experience with Land Development Instruments in Europe

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Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation FAO s Experience with Land Development Instruments in Europe Santiago de Compostela Galicia 9-11 of February 2009 Richard Eberlin Land Tenure and Rural Development Officer FAO Regional Office for Europe and Central Asia Budapest, Hungary Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Overview FAO s mandate and role First wave of land reform The current situation Second wave of land reform land consolidation Land consolidation and rural development Land consolidation and development strategies FAO s work in land consolidation FAO s approach Armenia, Lithuania and Serbia examples 2 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 1

FAO s mandate and role Mandate: Food security, poverty alleviation and rural development Role: To provide advice to governments, development assistance, information, neutral venue 3 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 First wave of land reforms Privatization and restitution of land: Reallocating land rights through actions of the state Creation of land markets Land administration (mainly land registration & cadastre) Changing the state s role from controlling land to protecting rights of citizens 4 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 2

The first wave... Country Albania Armenia Azerbaijan Belarus Bosnia & Herzegovina Bulgaria Croatia Czech Republic Estonia Georgia Hungary Latvia Lithuania privatization & restitution registration & cadastre land markets 5 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 The first wave... Country privatization & restitution registration & cadastre land markets Kazakhstan Kyrgyzstan Macedonia Moldova Poland Romania Russia Serbia Slovakia Slovenia Tajikistan Turkmenistan Ukraine Uzbekistan 6 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 3

The current situation Restitution Privatization Survival of the old peasant system Bulgaria Latvia Lithuania Romania Armenia Georgia Moldova Bosnia & Herzegovina Croatia Serbia 86% of farms are under 1 ha 14 ha in 2 15 parcels 6.3 ha in 2 parcels 1.7 ha in 3 parcels 1.2 ha in 3-4 parcels 0.9 ha in 4-5 parcels 1.4 ha in 3 parcels 3 ha in 8 10 parcels 1.9 ha in 8 parcels 70% of farms are under 5 ha EU15: 19 ha Greece, Italy, Portugal, Spain: 10 ha Remaining 11 countries: 36 ha (UK: 69 ha) 7 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 The initial policies that created small, fragmented farms were not wrong 1. social equity: to exclude some (or many) would have created social instability 2. food security: access to small land parcels allowed families to feed themselves during the economic problems of the mid-1990s 8 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 4

Second wave of land reform On the agenda... Completing the first wave of land administration reforms: Land markets (ending restrictions on ownership between 2011-16) Land registration (movement to electronic conveyance) Implementing second wave issues of land administration: Land taxation State land management Land consolidation 9 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 The interest in land consolidation Many small and fragmented farms which are not competitive The success of rural development projects depends on how they address the small, fragmented farms There is now wide-spread recognition of the potential role of land consolidation as a tool to improve rural conditions. 10 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 5

Small, fragmented farms require a second wave of land reform land consolidation Land consolidation has been around a long time (Denmark started in the 1750s) Recently the EU has been a major driver Chapter 4 of the acquis communautaire: Free movement of capital => Removal of restrictions on ownership of assets by people from elsewhere in the EU land consolidation is one of fundable measures under EARDF and IPARD 11 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 New EU countries Candidates Potential candidates European neighbours Central Asia Country Bulgaria Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Slovakia Slovenia Croatia Macedonia Turkey Albania Bosnia & Herzegovina Serbia Armenia Azerbaijan Belarus Georgia Moldova Ukraine Kazakhstan Kyrgyzstan Tajikistan Turkmenistan Uzbekistan Land consolidation 12 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 6

13 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 The transition in demography is demanding a new type of land reform National populations are declining Rural to urban migration: villages show increasing numbers of elderly and decreasing numbers of young people The population at working age is declining: the agricultural labour force will continue to decline => Depopulation of rural areas and a shift away from agriculture will have a significant impact on demands to use rural land, and on its ownership 14 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 7

Land consolidation an instrument to implement local rural development traditionally been an instrument to improve local agricultural structures through enlargement of farm sizes and reduction of fragmentation in most countries in Western Europe the purpose of doing land consolidation has shifted in the last 20 years towards a more integrated and multifunctional approach (instrument for integrated rural development, nature and environmental protection, implementation of infrastructure projects etc.) 15 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Rural development & land consolidation basic dimensions increasing capacity of rural families to improve economic status and livelihood through own efforts five principal constraints: 1. human capital 2. social capital 3. public physical capital 4. institutional capital 5. private physical capital land consolidation 16 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 8

Rural development & land consolidation development strategies and policies Strategies on national level => based on overall national development priorities Agricultural competitiveness, agri-environmental schemes Support programs for specific groups (e.g. old farmers - young farmers, natural handicaps) New policy priorities (e.g. EU NATURA 2000, EU Water Framework Directive, HNV areas => land for protection) National physical planning and national infrastructure Abandoned land Land Consolidation Strategies 17 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Rural development & land consolidation development strategies and policies Strategies on local level => based on priorities set by local stakeholders in participatory processes Improve competitiveness of agriculture Implement spatial planning Implement local development strategies Local infrastructure 18 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 9

FAO s work in land consolidation 1950s publications 19 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 FAO s work in land consolidation multi-year program for capacity building Workshops Technical publications Technical projects 20 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 10

FAO s work in land consolidation workshops 2002 Munich Symposium 2002 Rome Workshop 2002 Prague Regional Workshop 2004 Tonder Workshop 2005 2008 Prague Regional Workshop 2009 Galicia Regional Workshop -> land banking and land administration instruments 2009 Prague Regional Workshop -> legal aspects and participatory approaches Early workshops defined the need for guidelines on how to start land consolidation Guidelines were disseminated at later workshops 21 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 FAO s work in land consolidation Policy Papers 22 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 11

FAO s work in land consolidation Land Tenure Studies 23 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 FAO s work in land consolidation Training Manuals The experience of projects was documented for use in other countries 24 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 12

FAO s work in land consolidation technical projects Armenia FAO-TCP project Hungary FAO-TCP project Lithuania FAO-TCP project Serbia FAO-TCP project Moldova WB project BiH TCP under preparation Kosovo EU project Albania TCP in pipeline Croatia SIDA project Azerbaijan TCP-facility 25 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 FAO s approach to land consolidation Lessons to be learned from others => but develop own solutions Many countries compulsory participation of land owners FAO recommends voluntary approaches to: reduce costs implement projects in less time overcome lack of trust when there is a history of coercion introduce participatory approaches FAO recommends to start with pilot projects, including three components: elaboration of a land consolidation strategy implementation of a pilot land consolidation capacity and institution building 26 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 13

Some examples if there is time 27 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Armenia, Lithuania & Serbia land consolidation strategies & pilot projects strategy was prepared by the country and not by foreigners Each project provided funds for: 4 national consultants to help the Government staff to prepare the strategy (People in Government don t have the time to do most of the work to be done.) International experts who gave advice but did not drive the process of defining content 28 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 14

Preparing a good strategy takes time usually longer than initially thought! 12-18 months depending on the review period Team work takes time! National consultants were encouraged to work as a team and not produce individual reports Government staff worked with national consultants to make sure the output met the needs of Government A good strategy is based on thinking and good thoughts takes time! Strategies went through at least 3 drafts 29 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 The strategies were presented in a forward-looking way Setting out the vision what is wanted Describing the current situation where the country is now Recommendations what is needed to make the vision a reality Before such a strategy can be written, some research had to be done... 30 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 15

Analysis of the current situation Economic and social Environmental Legal and organizational Policy - relationship to other strategies: agricultural and rural development water development forestry development tourism development poverty reduction EU programmes SWOT analysis 31 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Statement of principles, goals, objectives, outcomes Principles and goals Overall and specific objectives Beneficiaries Approaches: voluntary participation (Lithuania & Armenia) voluntary and compulsory (Serbia) use of land banks / land funds 32 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 16

Measures to implement the strategy * Institutional and organizational: Roles and responsibilities of central, regional and local governments and private sector * Legislation: * Funding: Amendments, new laws, regulations EU, national, municipal, other programmes * Increasing the participation of landowners: - incentives (credit, tax privileges, subsidized fees). - public awareness. * Capacity building: Short-courses, university degrees 33 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 Finally... Criteria for evaluating success Assessment methodology to measure the implementation Action plan Plan identifying what will be done when and by whom 34 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 17

Building capacity: moving from pilot projects to a long-term programme Major new legislation usually does not work well if it is not built on practical experience FAO recommends that countries introduce modern land consolidation in phases A first step is a pilot project 35 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 A pilot project serves several objectives To design and test approaches to be used in a long-term programme To identify issues to be addressed some issues are discovered only when the project starts To allow people to get practical experience To have the community serve as a successful model for other communities 36 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 18

A pilot project is a learning experience The lessons provide practical guidance to problems to be addressed in the strategy and new legislation Learning the lessons requires a commitment to spend time to analyze the results of the project It is important to learn the lessons well in order to avoid making mistakes with new legislation 37 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 A pilot project lays the foundation for a long-term programme Programmes require stable funding EU provides a framework for funding land consolidation by member states 2007-13: EAFRD (European Agricultural Fund for Rural Development) For candidate countries, the EU provides IPA (Instrument for Pre-Accession) which allows for EAFRD-like pilot projects 38 Galicia 2009 Regional Workshop on Land Tenure and Land Consolidation; 9-11 February 2009 19