Agrarian Reform

Government Initiatives on Agrarian Reform

Manuel L Quezon

 Republic Act 4054: The Rice Tenancy Law

It was the first law on crop sharing which legalized the 50-50 share between landlord
and tenant with corresponding support to tenants protecting them against abuses of
landlords. However, this law was hardly implemented because most of the municipal
councils were composed of powerful hacienderos and big landlords. In fact, only one
municipality passed a resolution for its enforcement.

 Commonwealth Act No. 608

It was enacted to establish security of tenure between landlord and tenant. It prohibited
the common practice among landowners of ejecting tenants without clear legal grounds.

Manuel Roxas

 Republic Act No. 34

It established a 70-30 sharing arrangement between tenant and landlord. The 70% of
the harvest will go to the person who shouldered the expenses for planting, harvesting
and for the work animals. It also reduced the interest of landowners’ loans to tenants at
not more than 6%.

Ramon Magsaysay

 R.A. No. 1199: Agricultural Tenancy Act

It governed the relationship between landholders and tenant-farmers. This law helped
protect the tenurial rights of tenant tillers and enforced fair tenancy practices. To
facilitate the implementation of the Agricultural Tenancy Act, President Magsaysay
created the Court of Agricultural Relations and the Agricultural Tenancy Commission.
 The Court of Agricultural Relations was established to improve tenancy security, fix the
land rentals on tenanted farms, and to resolve the many land disputes filed by the
landowners and peasant organizations.

The Agricultural Tenancy Commission was created to administer problems arising from
tenancy. Through this Commission, 28,000 hectares were issued to settlers.

 R.A. No. 1160: An Act establishing the National Resettlement and Rehabilitation
Administration (NARRA).

The National Resettlement and Rehabilitation Administration (NARRA) was established

to pursue the government’s resettlement program and to accelerate free distribution of
agricultural lands to landless tenants and farmers. It particularly aimed to convince
members of the HUKBALAHAP movement to return to a peaceful life by giving them
homelots and farmlands settlement.

 R.A. No. 1400: Land Reform Act

It is also known as “Land to the Landless” Program which sought improvement in land
tenure and guaranteed the expropriation of all tenanted landed estates.

Diosdado Macapagal

 Republic Act No. 3844: The Agricultural Land Reform Code

The Agricultural Land Reform Code is considered the most comprehensive piece of
legislation ever enacted in the Philippines. This was enacted during the incumbency of
President Diosdado Macapagal hence he is considered as the “Father of Agrarian
Reform”. Its aim is to free tenants from the bondage of tenancy and gave hope to poor
Filipino farmers.

The Act abolished share tenancy in the Philippines. It prescribed a program converting
the tenant farmers to lessees and eventually into owner-cultivators. It emphasized owner
cultivatorship and farmer independence, equity, productivity improvement and the public
distribution of land.
 It also provided for the eventual expropriation and subdivision of big landed estates and
their resale at cost and on installment to landless tillers. Landlords can retain up to 75
hectares of land.

To enable the farm workers to enjoy the same rights and opportunities in life as industrial
workers, Chapter 2 of the Act entitled as the “Bill of Rights for Agricultural Labor”
enumerated the rights of farm workers. These are:
1. Right to self-organization;
2. Right to engage in concerted activities;
3. Right to minimum wage;
4. Right to work for not more than eight hours;
5. Right to claim for damages for death or injuries sustained while at work;
6. Right to compensation for personal injuries, death or illness; and
7. Right against suspension or lay-off.

Ferdinand E. Marcos

 Presidential Decree No 2: Proclaiming the entire country as a Land Reform area

 Presidential Decree No. 27: Tenants Emancipation Decree

Presidential Decree No. 27 is the heart of the Marcos reform. The five major
components of President Marcos’ Agrarian Reform Program are:
1. Land Tenure Program
2. Institutional Development
3. Physical Development
4. Agricultural Development ; and
5. Human Resources

The coverage of the Marcos Agrarian Reform Program is limited to private agricultural
lands primarily devoted to rice and corn under a system of share-crop or lease tenancy.
It excluded about 3.5 million landless and tenant farmers under plantation crops. Rice
and corn areas were selected because of the social unrest associated with rice tenancy
in Central Luzon, in some areas in Iloilo, in the Bicol Region and also in some areas of
the North.

Beneficiaries of the Agrarian Reform Program

Tenant-farmers of private agricultural lands primarily devoted to rice and corn under a
system of share-crop or lease tenancy whether classified as landed estate or not.
Landed estates are lands with an area of 24 hectares or above. The size of the land that
a beneficiary can receive depends on whether the land is irrigated or not. If the land is
not irrigated, a tenant-farmer will be awarded 5 hectares of land while tenant-farmer
working on irrigated lands will be awarded 3 hectares. Share tenants on land less than 7
 hectares would become leaseholders while those who worked in landholding which is
over 7 hectares could purchase the land they tilled.

The total cost of the land, including interest at the rate of six (6) per centum per annum,
shall be paid by the tenant in fifteen (15) equal annual payments. Once a farmer-
beneficiary has completed the payment of the annual amortization, the Emancipation
Patent will be issued to the farmer-beneficiary as proof of full ownership of the land.

Retention right by owners

Landowners may retain an area of not more than 7 hectares on condition that such
landowner is cultivating such area or would cultivate it. Even small landowners with 7
hectares or less if determined by the DAR to be absentees, with sources of income other
than their landholdings shall be compelled to transfer to their tenants their landholdings.

Corazon C. Aquino

 Republic Act 6657: The Comprehensive Agrarian Reform Law

The Comprehensive Agrarian Reform Program (CARP) is the cornerstone of the

administration of President Corazon C. Aquino. The CARP is a social justice and poverty
alleviation program which seeks to empower the lives of agrarian reform beneficiaries
(ARBs) through equitable distribution and ownership of the land based on the principle of
land to the tiller. It likewise provides opportunities for a dignified and improved quality of
life of the ARBs through the provision of adequate support services for sound rural
development and the establishment of economic-size farms as the basis of Philippine
agriculture.

RA 6657 or the Comprehensive Agrarian Reform Law (CARL) of 1988 is the basis for
the implementation of CARP. This law embodies the state policy of processing CARP
aimed at liberating the vast potential wealth of Philippine agriculture by giving the
majority of the Filipinos the real and rightful stake in the land.

The essence of CARP is asset reform, i.e., redistribution of wealth thus enabling the
poor and marginalized to have access of capital resources that will provide farmers and
farm workers with the opportunity to enhance their dignity and improve the quality of
their lives. To achieve this goal, the CARP has three key components, namely:
 1. Land Tenure Improvement. This component is geared towards the distribution of
all agricultural lands regardless of tenurial arrangement and commodities
produced in order to make the actual tiller an owner of the land he/she tills.
2. Program Beneficiaries Development. This involves the delivery of appropriate
support services such as intensification of support services; rural enterprise
development, promotion of self-reliant livelihood programs, continuous social
marketing and advocacy campaigns. Section 37 of RA 6657 provide the following
support services to the ARBs:
 Land surveys and titling;
 Liberalized terms on credit facilities and production loans;
 Extension services by way of planting, cropping, production and post-
harvest technology transfer, as well as marketing and management
assistance and support to cooperatives and farmer’s organization;
 Infrastructure services such as access trails, mini dams, public utilities,
marketing and storage facilities; and
 Research, production, and use of organic fertilizers and other local
substances necessary in farming and cultivation
3. Agrarian Justice Delivery. This component aims for the speedy and fair
settlement of agrarian disputes and the delivery of agrarian reform justice (e.g.
legal representation & adjudication of cases).

Coverage and Scope of CARP

All public and private agricultural land regardless of tenurial arrangement and commodity
produced are subject to agrarian reform. This also includes other lands of the public
domain which are suitable for agriculture.

Public land refers to public domain lands as subject to alienation and disposal by the
state in accordance with the Public Land Act or Commonwealth Act No. 141. Included
under public land are:

 unappropriated lands;
 not acquired by private persons, corporations or juridical entities either by grant
or purchase;
 not held back or reserved for any special governmental or public purpose; and
 open to entry and settlement.

On the other hand, private land refers to lands acquired through various mode of land
acquisition; granted by the state; owned by natural or juridical persons or corporation;
and segregated from the lands of the public domain. Only Filipino citizens and Filipino
corporations are qualified to own private lands in the Philippines
Agricultural land refers to land devoted to agricultural activity such as cultivation of soil,
reaping and harvesting of farm products, other operations done by farmers in
conjunction with such farming operations and the planting of crops and growing of fruit
trees.

While CARP covers all agricultural lands, some agricultural lands are not included in the
coverage of CARP. The lands that are exempted from CARP are as follows:

 private lands used for prawn farms and fishponds

 all homesteads cultivated by original homestead grantees or their direct
compulsory heirs;
 lands devoted to raising of livestock, swine and poultry; and
 lands retained by landowners that are covered under leasehold

Agrarian Reform Beneficiaries

According to Section 22 of RA 6657, lands acquired by CARP are to be distributed as

much as possible to landless residents belonging to one barangay or municipality in the
following order of priority:

 Agricultural lessees or share tenants;

 Regular farmworkers;
 Seasonal farmworkers;
 Other farmworkers;
 Actual tillers or occupants of public lands;
 Collectives or cooperatives of the above beneficiaries;
 Others directly working on the land.

To become a CARP beneficiary, the following key requirements must be satisfied:

 Filipino citizen who is landless. Landless is defined as one who owns less than
three hectares of agricultural land;
 at least 15 years old or head of the family at the time the property was
transferred in the name of the Republic of the Philippines; and
 willingness, ability, and aptitude to cultivate the land and make it as productive as
possible.

CARP beneficiary may own up to 3 hectares of agricultural land because this is

considered to be the economic family farm size. A CARP beneficiary will receive a
Certificate of Land Ownership Award (CLOA) as proof of ownership of the land.

Lands that are distributed to the ARBs are not free. The ARBs will pay the Land Bank of
the Philippines for the land awarded to them in 30 equal annual payments at 6% interest
per year. However, if the ARB pays on time, there will be a two percent (2%) interest
deduction.

Land Acquisition

Lands that will be distributed to the ARBs can be acquired by the government using the
following modes of land acquisition:
1. Voluntary Offer to Sell (VOS). A mode of land acquisition where landowners
voluntarily offer their agricultural lands for CARP coverage. These transactions
are exempt from payment of capital gains tax and other taxes and fees.
2. Voluntary Land Transfer (VLT)/Direct Payment Scheme (DPS). This is a direct
transaction between the landowner of an agricultural land covered by CARP and
the qualified beneficiaries of such land. Transactions under this mode are not
exempt from payment of capital gains taxes and other fees.
3. Compulsory acquisition. This is a mandatory land acquisition by the State of all
private agricultural lands in accordance with the procedure as described in
Section 16 of RA 6657. This mode of acquisition is undertaken if the landowner
fails to comply with the requirements for VOS or VLT.
4. Rice and Corn lands (Operation Land Transfer under PD 27 and EO 228). This is
a mode by which the ownership of tenanted rice and corn lands are transferred to
tenant beneficiaries.
5. Executive Order 407 directs all government instrumentalities, including
government financial institutions and government-owned and controlled
corporations to immediately transfer to DAR all their landholdings suitable for
agriculture for immediate distribution to qualified beneficiaries under CARP

Among the five modes of land acquisition, the compulsory acquisition is the preferred
mode of the Department of Agrarian Reform to make the implementation of CARP
faster.

One of the misconceptions about Agrarian Reform is that it is anti-landowner because it

violates the landowners’ right to property and that the government will just get the land
from the landowners.

When a landowner’s land is subject to land reform, it does not mean that the landowner
will lose all his/her landholding. Under Section 6 of RA 6657, an individual landowner is
allowed to retain up to 5 hectares of their land. In addition, each child of the landowner
may be awarded 3 hectares, provided he/she is at least 15 years old and actually tilling
the land or directly managing the farm at the time CARL took effect.
 Landowners of private lands subject to agrarian reform will receive payment partly in
cash and partly in kind/bonds. The proportion of payment in cash to landowners
depends on the total land area. The larger the landholding, the smaller the cash portion.
This is based on the underlying principle that small landowners are presumed to have
greater need for cash to aid them in their bid to shift their capital from agriculture to
industry.

Landowners may be paid in kind through:

 Shares of stocks in government owned and controlled corporations, LBP

preferred shares, assets or qualified investment
 Tax credits
 Land Bank bonds

The Land Bank of the Philippines (LBP) is primarily responsible for the determination of land
valuation and compensation for all private lands under Voluntary Offer to Sell and Compulsory
Acquisition.

Quiz Farm

At a certain and typical learning environment you experiencing. Group your students
Each group have one representative who try to pic-up or search in the classroom the answer written
of a parchment paper scattered in different places on the table in the front or put it somewhere that
may the student to spot theme behind the door, under the chair etc.
The first who find and identify the correct answer correspond to the question given is the point
earner.

List of Words:

RA NO. 3844 R.A. No. 1400 (1995) 70%

President Diosdado Macapagal Executive order No: 355 Commonwealth Act. No. 608
Carlos P. Garcia President Roxas RA 4054 or the Rice tenancy
law
Corazon Aquino President Magsaysay Agrarian reform
Friar lands for the religious Presidential Decree No 2 Presidential Decree No. 27
orders
Comprehensive Agrarian Republic Act 6657 RA 6657
Reform Program

1. What was considered the most comprehensive piece of legislation ever enacted in the
Philippines?
Ans: RA NO. 3844
2. Who is considered the “father of Agrarian reform
Ans: President Diosdado Macapagal

3. Who is the president that was no legislation passed in his term but he continued to
implement the land reform programs of President Magsaysay?
Ans: Carlos P. Garcia
4. What was the program which sought improvement in land tenure and guaranteed the
expropriation of all tenanted landed estates?
Ans: R.A. No. 1400 (1995): Land reform Act or Known as “Land to the Landless”
5. What was the executive that says thet Land Settlement Development Corporation
(LASEDECO) was established to accelerate and expand the peasent resettlement program
of the government?
Ans: Executive order No: 355
6. Who negotiated for the purchase of 8,000 hectatres of lands in batangas owned by the
Ayala-Zobel Family?
Ans: President Roxas
7. How many percent of the harvest will go to the person who shouldered the expenses for
planting, harvesting and for the work animals in Republic act. 34?
Ans: 70%
8. What was enacted to established security of tenure between landlord and tenat. It
prohibited the common practice?
Ans: Commonwealth Act. No. 608
9. What was the first law on crop sharing which legalized the 50-50 shared between land lord
and tenant with corresponding support to tenants protecting them against abuses of
landlords
Ans: RA 4054 or the Rice tenancy law
10. is the overall redirection of the agrarian structure of a country?
Ans: Agrarian Reform
11. One of the factors Root of Land inequality during Spanish pre-colonial era?
Ans: Friar lands for the religious orders.
12. NARRA
Ans: National Resettlement and Rehabilitation Administration
13. Proclaiming the entire country as a Land Reform area
Ans: Presidential Decree No 2
14. Tenants Emancipation Decree
Ans: Presidential Decree No. 27
15. CARP
Ans: Comprehensive Agrarian Reform Program