Command and Control: How Does It Work? The Case of Land Market Law Restrictions in Ethiopia. Stein Holden

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Command and Control: How Does It Work? The Case of Land Market Law Restrictions in Ethiopia Stein Holden www.steinholden.com

CENTER FOR LAND TENURE 2

of Land Market Law Restrictions in Ethiopia CENTER FOR The LANDCase TENURE

CENTER FOR The LAND Case TENURE of Land Market Law Restrictions in Ethiopia Tigray landscape

CENTER FOR LAND TENURE Objectives Assess the de jure and de facto land market law restrictions in Tigray Region in Ethiopia introduced in 2006: Not more than 50% of the farm can be rented out Land should be confiscated from households that have been away from their community for more than two years Research questions: To what extent have these law restrictions been implemented? What are the local perceptions and opinions about these law restrictions? What are the impacts on land rental activity of landlord households, especially female-headed households? 5

CENTER FOR LAND TENURE Ethiopia with 9 regions

CENTER FOR LAND TENURE Background The Radical Land Tenure Reform of 1975 and the Derg Period All land is state land All residents in a community have a constitutional right to access land Land was distributed in an egalitarian way within communities Maximum farm size of 10 ha Land and labor markets were illegal Land redistributions to maintain the egalitarian land distribution 1991 Change in Government and More Market Friendly Reforms Land remained state land Land renting and labor markets were allowed Land sales and mortgaging of land remained illegal 7

CENTER FOR LAND TENURE Background, continued Land Registration and Certification 1998-99 Low cost approach Granted user rights to land into perpetuity Enhanced household tenure security, land productivity, investments and land rental activity New Land Law Reforms in Tigray 2006-2010 Established local Land Administration Committees and Land Courts Restriction on land rental at 50% of farm size Confiscation of land from households who have been away for more than two years 8

CENTER FOR LAND TENURE Data Panel household survey 1998-2010 (500 households) Conflict mediator survey 2007, 2011 (panel of 400 mediators) Local Land Administration Committee members 2010 (sample of 160 members) 9

CENTER FOR LAND TENURE Rationale of the new law restrictions? Avoid absentee landlords Avoid that rental contracts are hidden sales Prevent excessive rural-urban migration Get more land for young landless households (their constitutional right) Ensure that all land is utilized properly 10

DETTE ER TITTELEN PÅ PRESENTASJONEN CENTER FOR LAND TENURE 11

CENTER FOR LAND TENURE Factors correlated with area share rented out Renting out share glm1 Land conflict experience -0.490** Sex of household head 1.149**** (1=Female) Education of household -0.299** head Age of household head 0.003 Female labor force -0.003 Male labor force -0.158* Tropical livestock units -0.188** Number of oxen -0.621**** Own farm size 0.046** 12

.5 1 1.5 CENTER FOR LAND TENURE Share of farm rented out by female landlords in 1997 (before land certification) and in 2006.2.4.6.8 1 Share of land rented out Female landlords 1997 Female landlords 2006 13

.4.6.8 1 1.2 1.4 CENTER FOR LAND TENURE Share of farm rented out by male landlords in 1997 (before land certification) and in 2006 0.2.4.6.8 1 Share of land rented out Male landlords 1997 Male landlords 2006 14

DETTE ER TITTELEN PÅ PRESENTASJONEN CENTER FOR LAND TENURE Household perceptions on law restrictions Questions and % of households responding Do you agree that only half of the farm holding should be allowed rented out? 1=Yes, 0=No, 2=Don t know, % by code Do you perceive sharecropping as land renting and to be subject to the same regulations as land renting? 1=Yes, 0=No, sharecropping is not land renting, % by code Do you think that households should be allowed to sharecrop out all their land? 1=Yes, 0=No, % by code Do you think that female-headed households, orphan households and other poor households should be allowed to sharecrop out all their land when they lack resources to cultivate it themselves? 1=Yes, 0=No, % by code Do you agree that land should be taken from households that have been out of the village for more than 2 years but do not have a permanent job? 1=Yes, 0=No, 2=Don t know, % by code Do you think that the landless in the community should be given more of the land through redistribution? 1=Yes, 0=No, 2=Don t know, % by code Responses 0: 40.9 1: 54.4 2: 4.8 0: 33.0 1: 66.3 0: 32.3 1: 67.7 0: 6,1 1: 93.9 1: 19.8 0: 73.0 1: 69.3 0:22.0 15

CENTER FOR LAND TENURE Perceptions and opinions of conflict mediators (CM) and LAC members Questions and Responses in % of respondents Do you agree that only half of the farm holding should be allowed rented out? 1=Yes, 0=No Do you perceive sharecropping as land renting and to be subject to the same regulations as land renting? 1=Yes, 0=No, sharecropping is not land renting, % by code Do you think that households should be allowed to sharecrop out all their land? 1=Yes, 0=No, % by code Do you think that female-headed households, orphan households and other poor households should be allowed to sharecrop out all their land when they lack resources to cultivate it themselves? 1=Yes, 0=No, % by code CM 2007 (n=403) CM 2011 (n=396) LAC 2010 (n=157) 1: 50.8 1: 77.3 1: 70.1 0: 52.3 1: 46.5 0: 27.4 1: 72.3 0: 8.7 1: 91.1 0: 55.9 1: 44.1 0: 46.8 1: 52.9 0: 3.1 1: 95.4 0: 42.0 1: 53.5 0: 43.3 1: 52.3 0: 8.3 1: 87.9 16

0.5 1 1.5 2 CENTER FOR LAND TENURE Share of farm rented out by female landlords in 2006 (before land rental restriction) and in 2010 0.2.4.6.8 1 Share of land rented out Female landlords 2006 Female landlords 2010 17

.4.6.8 1 1.2 CENTER FOR LAND TENURE Share of farm rented out by male landlords in 2006 (before land rental restriction) and in 2010 0.2.4.6.8 1 Share of land rented out Male landlords 2006 Male landlords 2010 18

CENTER FOR LAND TENURE Land takings from migrants: Responses from Conflict Mediators and Land Administration Committee members Questions CM 2007 (n=403) Do you agree that land should be taken from households that have been out of the village for more than 2 years but do not have a permanent job? 1=Yes, 0=No, 2=Don t know Do you think that the landless in the community should be given more of the land through redistribution? 1=Yes, 0=No 1: 36.5 0: 61.5 1: 67.5 0: 32.5 CM 2011 (n=396) 1: 41.9 0: 58.1 1:35.0 0: 65.0 LAC 2010 (n=157) 1: 73.3 0: 20.4 1: 79.0 0: 17.8 19

CENTER FOR LAND TENURE DETTE ER TITTELEN PÅ PRESENTASJONEN Conclusions Command and Control may work but the administrative costs are typically high Local resistance increases the costs It is important to assess the unintended as well as intended effects of such reforms Land rental market restrictions have in many cases had unintended negative effects for the poor that they had aimed to help 20

CENTER FOR LAND TENURE Tigray landscape Where do these law reforms lead us? 21