Formalisation of land rights: Some empirical evidence from Mali, Niger and South Africa

In this paper, we re-interpret three cases of research previously carried out in Mali, Niger and South Africa in light of the recent debate about formalisation of land rights that has emerged since the publication of Hernando de Soto's ‘Mystery of Capital’. The Malian case shows that lack of broad access to formalisation processes in high-pressure areas may play into the hands of those with power, information, and resources. The case also demonstrates that timing of formalisation efforts in urban areas characterised by rapid expansion is crucial in terms of distributive outcomes. The Nigerien case demonstrates how impending formalisation led to a scramble for land and increased conflicts in a context of institutional competition and limited administrative capacity. The South African case shows that the very process of surveying and registering rights may also change the rights themselves. Formalisation procedures may also amplify the tension between individual and communal rights, and boost privatisation.     

Accounting for farmers’ production responses to environmental restrictions within landscape planning

Environmental planning aims to safeguard and foster the ecological functionality of agricultural landscapes. In order to reach a sustainable development of agricultural landscapes, in addition to ecological objectives socio-economic ones also need to be considered. In this context, the authors draw attention to three points. First, whenever ecologically sensitive areas (“ecological sites”) are used for agricultural production, it is necessary to take account of the fact that farmers tend to adapt to environmental requirements by production responses outside the ecological site itself. Second, in order to identify the socially most “desirable” land-use responses it is necessary to supplement the above-mentioned environmental objectives by socio-economic ones. Third, when choosing an appropriate model for such multi-criteria decision analysis, the question of substitutability between criteria is of utmost importance. The paper discusses the above-mentioned issues against the background of a case study of environmental planning for an ecologically very valuable agricultural landscape in Germany, the Bayerisches Donauried. Two models of multi-criteria decision analysis (MCDA) are applied, one based on the “single synthesizing criterion” method, and the other one based on the “synthesis by outranking” method. The models serve to evaluate four different land-use options, using criteria mainly derived from landscape functions and weights gained from interviews with major stakeholders. The paper presents the models’ results concerning the ranking of the different land-use options and discusses the implications for agri-environmental policies and rural development planning.     

Lessons from approaches to informal housing and non-compliant development in Turkey: An in-depth policy analysis with a historical framework

This article examines informal housing/non-compliant development and related formalisation practices in Turkey. An in-depth policy analysis is conducted within a historical framework to underline outcomes and policy performance of approaches and formalisation initiatives. The analysis was conducted by taking the earlier studies focusing on the formalisation practices and debates in the international literature into consideration in order to understand how the case of Turkey confirms, contradicts or adds to the existing body of the literature. Formalisation practices in Turkey, especially the recent one implemented in 2018, have been successful to secure land tenure rights to a certain extent. However, these attempts have not addressed the issues such as mitigating hazard risks, enabling public participation, managing the processes transparently and inspecting the non-compliant development put forward by the scholars. The outcomes of the policy analysis are compared with the approaches of transition and developed economies in Mediterranean Basin. As a result of these comparisons, remarkable similarities were found. The findings of the analysis can be a harbinger of the future for other countries on a rapid development path by means of a considerable policy exchange between countries with similar population and GDP.     

Modeling farm households for estimating the efficiency of policy instruments on sustainable land use in Haiti

Degradation of natural resources in Haiti has been a growing concern to foresters, environmentalists, and local populations. Various approaches based on “participatory”, “fines and taxes” and “command and control” regulations, have been unsuccessfully implemented to persuade farm households to adopt conservation measures. Negative impacts on the welfare of farmers limit the efficiency of these approaches for forest conservation. This paper investigates alternative solutions to the problem of deforestation of Haiti using linear programming (LP) models. More specifically, this study evaluates the role of various policy instruments on large-income farm households and low-income farm households’ welfare and forest conservation in Haiti. Data from 243 farmers inside the Forêt of the Forêt des Pins Reserve are used in the empirical analysis. Results suggest that agricultural subsidies tied to environmental conservation would promote a more sustainable resource use in Forêt des Pins Reserve.     

Urban spill over vs. local urban sprawl: Entangling land-use regulations in the urban growth of China's megacities

Rather than a bad case of urban sprawl, the physical expansion of China's megacities may be viewed as a combination of ‘urban spill over’ and ‘local urban sprawl’. This paper reviews land use regulations in their institutional context and argues that conflicts in land use regulation are related to ideologies of land ownership and embedded in different planning doctrines. These hypotheses are investigated with special reference to Guangzhou, the capital of Guangdong Province in southern China. The evidence suggests that entangled land use regulations for “urban” and “rural” land have imposed serious constraints on urban growth, while the contradictions of different policies and regulations in the use of rural lands for urban construction have led to intensive and unhealthy competition among stakeholders. As a result, not only have the costs of land conversion from rural to urban uses increased, but the spatial development of Guangzhou has been distorted. The implications of these failures for future policy are discussed with emphasis on the reform of the land use regulation system.     

Urban land administration and planning in China: Opportunities and constraints of spatial data models

China's economic reforms over the past decades have given rise to the development of a rudimentary urban land market. Although one cannot speak of a land “market” in the strict sense of the word, there is an urban land allocation system in which land lease rights can be acquired through the payment of a land-use fee. If the urban land market is to develop in a sustainable manner, new credible institutions need to be established that can safeguard greater legal security and transparency. For these purposes, it is necessary to establish a management system that can support the legal (tenure security), economic (leases, taxes) and broader aspects (spatial and environmental land use policies) of land administration. To make an urban land administration system socially credible and functional, land-related information should be registered and structured at a detailed spatial level, such as parcels. There is no parcel-based information system in China, but the country has developed a population registration system at a detailed spatial level that could be a starting point to develop integrated information systems, or a so-called “local spatial data infrastructure”. This paper reviews China's population registration system and their spatial units and presents a proposal for an information system that can be expanded or adapted to meet the requirements of an effective land administration system.     

Formalisation of land rights in the South: An overview

Formalisation of property rights has recently been proposed as a way of reducing poverty. The poor, it is said, do not lack assets, they lack only the formal, protected rights necessary to make these assets engines of entrepreneurship, thriving markets, and information networks. Historical evidence with regard to formalisation programmes is, however, mixed at best, and current universalist proposals contain numerous flaws. A more context-specific and flexible approach is needed, with greater attention to local settings and specific objectives and tools. Property formalisation should not be considered merely a technical tool but must take account of politics and culture.     

Land administration “best practice” providing the infrastructure for land policy implementation

Land administration systems, and particularly their core cadastral components, are an important infrastructure which facilitates the implementation of land use policies. While most land administration systems traditionally have a primary objective of supporting the operation of land markets, they are increasingly evolving into a broader land information infrastructure which supports economic development, environmental management and social stability in both developed and developing countries. While a great deal of attention is given to land use policies worldwide concerned with such areas as forest management, coastal zone management, environmental sustainability and managing the urban environment, less attention is given to the infrastructures which facilitate the implementation of the associated policies and programmes. Importantly, all these activities rely on some form of land administration infrastructure which permits the complex range of rights, restrictions and responsibilities in land to be identified, mapped and managed as a basis for policy formulation and implementation. As a result, there is an increasing interest in the concept of land administration infrastructures and their core cadastres, in the principles and policies concerned with establishing such infrastructures and in “best practices”. In addressing this need, this paper attempts to explain the evolving concept of land administration infrastructures, the concept of “best practice” and the concept of a land administration “tool box” of principles, policies, laws and technologies which are useful in reforming or re-engineering land administration systems in support of a broader land policy agenda.     

Whose land? The political economy of land titling in transitional economies

During processes of economic reform and transition, decision-makers are facing questions with potential far-reaching consequences, such as what institutions should be established, how to determine the relationship between state and market, and in what time frame and order. Against this background, this special issue has brought together four articles that analyze the type of institutional arrangements that emerge over time in relation to one of the basic means of production: land. The various contributions pay particular attention to an often-contested institutional development, the registration of land holdings. By proceeding with land titling under conditions of low socio-economic development, the state risks creating what is here termed as an “empty institution” rather than a “credible institution.” In other words, the new institution remains nothing more than a paper agreement or a hollow shell with little or even a negative effect on the actions of social actors. It is what might be called the “collective trust” in the system. As land becomes increasingly marketized and commodified, the state should ensure that the emerging land market does not result in a rapid concentration of land in the hands of a mighty few. This implies the control of market forces through the restriction or prohibition of land sales or land rental. In this context, effecting institutional change through land titling should be done with the utmost care.     

Credibility of institutions: Forestry, social conflict and titling in China

In the reform of a forestry sector governed by centralist, socialist principles towards a sector suited to the challenges of the market economy, the Chinese government needs to establish institutions that can be perceived as credible by social actors. In other words, the creation of institutions that rally sufficient social and political support in order to be effective. Against this backdrop, this article consciously opts to refer to institutional “credibility” instead of the more fashionable concept of institutional “trust”. Whereas scholarly discussions about trust focus more on the relation of trust between social actors, credibility puts more emphasis on the institution itself, and the role of government in its successful creation or failure. Failure to effectively undertake institutional reform might put the social acceptability or credibility of institutions at risk, and can lead to the emergence of “empty institutions” with little, or even, a negative effect on social and political actors. Applying this concept to China's forestry sector, this article identifies three critical areas that call for careful rethinking how to “get institutions right”: the titling of forest holdings; the restructuring of the forest administration; and the design of forest laws and policies with particular reference to lease and ownership.     

Brownfield redevelopment in Toronto: an examination of past trends and future prospects

Although the development of greenfield sites in suburban peripheries is still the predominant trend in Canada, in the decade of the 1990s a growing inclination to redevelop under-utilized urban brownfield sites emerged. This study describes brownfield redevelopment patterns in the former “City of Toronto” during the 1990s and examines the key factors shaping them. The relevant data for the study were compiled from a City of Toronto land-use database, the appurtenant policy and planning studies, interviews with stakeholders, and case studies. Toronto's redevelopment experience has obvious implications for cities of similar socio-cultural and socio-economic character undergoing redevelopment planning and can thus be viewed as a “case-in-point” in brownfield redevelopment planning and policy.     

Land Invasions,Insecure Property Rights and Production Decisions

This paper investigates empirically the effect of land invasions on farm production decisions. The main hypothesis is that more invasions in a region are associated with lower investment, and in particular a bias towards annual crops as opposed to long‐term crops. We use a county‐level dataset for the state of Paraná, Brazil, from 2003 to 2007, with 1,995 observations. The panel data structure allows us to control for fixed effects, such as the formalisation of land titles and land concentration, which might be correlated with the intensity of invasions. An instrumental variable fixed effects model was estimated to avoid other sources of bias. Our main finding is that land invasions are associated with lower long‐term crop production and a higher percentage of annual crops, which could accelerate land degradation, and undermine environmental sustainability.     

Customary vs Private Property Rights? Dynamics and Trajectories of Vernacular Land Markets in Sub‐Saharan Africa

Contemporary discourse on land in Africa is polarized between advocates of tenure reform through state registration of individual titles to land and others who claim that customary or 'communal' tenure is the only check against landlessness among the poor in the African countryside, and that 'pro-poor' land policy should therefore strengthen customary rights to land. This paper draws on a growing body of evidence on the emergence of vernacular rural land sales and rental markets to question assumptions that underlie the non-market 'ideal type' communal tenure model that has historically dominated policy thinking in Africa, and continues to be shared by both sides of the current land tenure reform debate. The paper argues that recognition of the specific characteristics of 'vernacular land markets'– commoditized transfers of land within the framework of customary tenure – is essential if state land policies are to succeed in promoting the interests of the poor.     

Land Tenure,Tenure Security and Farm Efficiency: Panel Evidence from the Philippines

This article tests the relationships among formalised property rights, land tenure contracts and productive efficiency in farming. Using four rounds of panel data from 230 rice farms in the Philippines, we measure the effects of land tenure arrangements on farm efficiency using a stochastic production frontier model. We test for the allocative efficiency of observed land rental markets. We also test how land tenure security affects farmers' investment decisions. Results suggest that, despite the presence of formalised titles, the rental market remains inefficient at allocating land. In contrast, the unformalised tenure contracts used by farmers appear to provide tenure security.     

Are urban land tenure regulations in Namibia the solution or the problem?

Land tenure in Namibia is regulated by a variety of Acts, some of which date back to as far as 1937, and some of which are yet to be approved by Cabinet. This variety of Acts makes it difficult to evaluate the performance of land administration as a whole, and the appropriateness of coercive instruments with regards to urban land tenure in particular. In this article we evaluate how urban land tenure regularization practices are conducted in Namibia, and to compare new formal procedures, designed to address problems of efficiency and efficacy, to older existing procedures, supposedly not efficient or effective. This evaluation uses a theoretical framework of Pritchett and Woolcock [Pritchett, L., Woolcock, M., 2004. Solutions when the solution is the problem: arraying the disarray in development. World Development 32 (2), 191–212], which deals with public service delivery and transaction-intensive services. Applying this framework for a comparative analysis of 5 different land subdivision practices – each relying on a different land-related act – we conclude that the degree of regulation and regularization is perhaps not so much a solution for urban land tenure problems but more of a problem in itself.     

Attitudes of farmers in China's northern Shaanxi Province towards the land-use changes required under the Grain for Green Project, and implications for the project's success

To restore China's degraded environment, the government launched an environmental restoration project named the “Grain for Green” Project (GGP) in 1999. From 1999 to 2010, the government will spend US$ 40 billion to convert 147 million ha of farmland into forest and grassland and 173 million ha of wasteland (including abandoned farmland) into forest in 25 provinces. A primary focus is to replace farming and livestock grazing in fragile areas with reforestation and planting of forage crops. Given the project's tremendous size and number of participants, the attitudes of the affected farmers will strongly influence the GGP's success. To learn their attitudes, we surveyed 2000 farmers in 2005 to quantify their opinions of the GGP and how it has affected their livelihoods, and we discuss the concerns raised by these attitudes. Farmers appreciated the grain and financial compensation offered by the GGP, but few considered planting of trees (8.9%) or forage species (2.2%) to be a priority. Although only 19.1% felt that their livelihoods had been adversely affected by the GGP and 63.8% supported the project, a large proportion (37.2%) planned to return to cultivating forested areas and grassland once the project's subsidies end in 2018. Therefore, much of the restored vegetation risks being converted into farmland and rangeland again, compromising the sustainability of the environmental achievements. To succeed, strategies such as the GGP must compensate farmers fairly for their costs, create new agricultural products and techniques for use on more suitable land, and create job and training programs that account for the needs and desires of farmers and give them alternatives to returning to old land-use practices.     

Editorial - Decision rules, government rules, and the costs of vegetation protection in New South Wales

Governments regularly spend public funds to purchase environmental amenities. They might purchase land to add to the public estate, pay to fence stock out of endangered native forest, or offer stewardship payments as incentives to conservation. Governments also regularly introduce policies to achieve environmental goals, even though these policies impose costs on firms, households or farms. The basic decision rule, to maximise environmental benefits from a given budget, in all these cases is received wisdom within the economics profession. In the case of purchase of land to add to the public estate:Maximise environmental benefits by purchasing land in descending order of the ratio of benefit to cost until the budget is exhausted.More generally, funds should be allocated to individual activities within a programme in order of the decreasing ratio of benefits to costs until the budget is exhausted. This rule can be applied when benefits can be measured in any monetary or non-monetary quantitative index. In the case of conservation of vegetation, it can be applied relatively simply in the field when vegetation types and land values can be mapped jointly through GIS techniques.This simple decision rule is not always followed by government agencies that manage environmental programmes. Consider the protection of native vegetation, which is defined to include native forest, native woodland and native grassland. To meet international obligations to protect this kind of environment, most countries must involve private landholders in conservation because there are insufficient government reserves to meet the international commitments. Indeed, most countries have already introduced many policies to encourage private landholders to protect native vegetation on their forests and farms.The New South Wales state government, in Australia, has introduced the Native Vegetation Conservation Act (1998) to ensure that private landholders protect vegetation. The Act constrains farmers to retain all the native forest, native woodland, and native grassland, on their land irrespective of the costs to them. Farmers can then apply for consent to clear and crop this land, but consent is rarely granted in full and often not at all. The Act is consistent with a decision rule of “maximise-benefits-only” - protect all vegetation irrespective of the costs to those who have to conserve it.Constraints of this kind will inevitably lead to a loss of income and land value when they restrict the farm enterprises, and so will impose opportunity costs on the farmer. There is already ample published evidence on the sizes of these costs - from publications of the relevant state agency itself, consultants' reports, farmer submissions and independent research. For example, in a large region in the northwest of New South Wales, where land could be cropped very productively:- some farmers bear only small losses (a quarter lose less than five per cent of their potential income),- some farmers bear very large losses (another quarter lose more than half of their potential income),- the overall losses of income per farm are high (an average loss of almost 30 per cent of potential income across the region), and- the losses are highest for those who have already conserved most woodland.Consider now the problem of reducing these costs by applying the benefit-cost rule as opposed to the maximise-benefits-only rule that has led to this position. There are three economic decision rules that might be used to rank projects or activities.The benefit-cost rule: Impose the constraint on the farm with the highest ratio of environmental benefit per dollar of opportunity cost first, then on the farm with the next highest ratio, etc., until the environmental goal is met. And so maximise the ratio of benefits to opportunity costs.The benefit-only rule: Impose the constraint on the farm with the highest environmental benefits first, then on the farm with the next highest benefits, etc., until the environmental goal is met. And so maximise benefits.The cost-only rule: Impose the constraint on the farm with the lowest opportunity costs first, then the next lowest cost, etc, until the environmental goal is met. And so minimise opportunity costs.But do these rules normally lead to different outcomes? If the “budget” or willingness to impose opportunity costs were large enough, all three would lead to the same outcome because constraints would be imposed on all suitable land. Otherwise the outcomes differ - that is the different rules lead to different levels of environmental benefit from the imposition of a given level of opportunity cost (or from the expenditure of a given budget).Both the benefit-only and cost-only rules lead to inefficiencies (see Babcock et al (1997) and Wu et al (2000) for a discussion of the associated statistical issues). Benefit-only targeting leads to the retirement of highly-productive land from agricultural uses - which is a major reason why opportunity costs are often high when native vegetation is conserved under the Act in New South Wales. The cost-only rule can lead to the reservation or purchase of land with few environmental benefits, even though expenditure or opportunity cost is minimised.A comparison of the benefit-cost rule and the benefit-only rule in the northwest of New South Wales illustrates the problem. The region is potentially highly-productive crop land but large areas of it are presently covered by native forest and woodland which cannot now be cleared. Much of this vegetation is under various degrees of threat even though it is not rare or endangered. The farm is the unit of assessment under the Act, so is used in the example. Benefits are measured as the percentages of species that are saved on each farm when its vegetation is protected rather than cleared to crops. The total benefit is the aggregate of percentage species saved across the farms - again following the present administration of the Act. The opportunity costs are measured as the losses in land value because land cannot now be cleared due to the Act.The comparison of the two rules indicates substantial savings with the benefit-cost rule. For example, 90 per cent of the total benefits can be obtained by imposing 93 per cent of the total opportunity costs with the benefit-only rule, and by imposing only 54 per cent of the total opportunity costs with the benefit-cost rule. The benefit-cost rule saves 39 per cent of the total costs at this level of benefits. Again, 80 cent of the total benefits can be obtained by imposing 86 per cent of the total opportunity costs with the benefit-only rule, but by imposing only 46 per cent of the total opportunity costs with the benefit-cost rule. The benefit-cost rule saves 40 per cent of costs at this level of benefits.While such results can only be indicative of the magnitudes, they do serve to highlight the inefficiencies of decision rules used by government agencies. In New South Wales, the Native Vegetation Conservation Act imposes high opportunity costs on farmers, partly because it is implemented through a high-cost decision rule. Now that suitable GIS technology, vegetation maps, and spatial land value data, are becoming available, these costs can be lowered with a more rational decision rule to guide choices in the field.The environmental goal is not at issue, but the cost of achieving it is. We can identify who bears the opportunity costs of environmental conservation, and often value the magnitude of these costs. Now we can also reduce the levels of these costs with the use of the benefit-cost decision rule.Jack SindenAgricultural and Resource EconomicsUniversity of New EnglandArmidale, New South WalesReferencesBabcock Bruce A, Lackshminarayan PG, Wu JunJie and Silberman D (1997) “Targeting Tools for the Purchase of Environmental Amenities”, Land Economics, 73, 325-339.Wu JunJie, Adams Richard M., Zilberman David, and Bruce Babcock (2000) “Targeting Resource Conservation Expenditures”, Choices, Second Quarter, 2000, 3-8.     

Tenure,land rights,and farmer investment incentives in China

The goal of this paper is to understand the nature of the property rights associated with China's land tenure systems and to study the impact of these property rights on agricultural production efficiency. The results show that land tenure and associated property rights in rural China affect the production behavior of farmers. The most robust finding is that the right to use land for long periods of time encourages the use of land-saving investments. While the results show that land tenure affects agricultural production decisions, the difference between collective and private plots, however, is small compared to the private plot - communal productivity gap that existed in the pre-reform period.     

Analyzing Factors Affecting U.S. Food Price Inflation

Since the summer of 2007, U.S. food price inflation has increased dramatically. Given public anxiety over fast-rising food prices, this study attempts to analyze the effects of market factors—prices of energy and agricultural commodities and exchange rate—on U.S. food prices using a cointegration analysis. Results show that the agricultural commodity price and exchange rate play the key roles in determining the short- and long-run movement of U.S. food prices. It is also found that in recent years, energy price has been a significant factor affecting U.S. food prices in the long run, but has little effect in the short run. This implies the strong linkage between energy and agricultural markets in the long run over the recent years. Depuis l’été 2007, l’inflation des prix des aliments aux États-Unis a augmenté considérablement. En raison de l’anxiété que la hausse rapide des prix des aliments suscite au sein de la population, nous avons tenté d’évaluer, à l’aide d’une analyse de co-intégration, les répercussions de certains facteurs de marché– le prix de l’énergie, le prix des produits agricoles primaires et le taux change – sur les prix des aliments aux États-Unis. Les résultats ont montré que les prix des produits agricoles primaires et le taux de change jouent un rôle important dans la détermination des tendances à court et à long terme des prix des aliments aux États-Unis. Nous avons également constaté que, au cours des dernières années, le prix de l’énergie a eu une forte influence sur les prix des aliments aux États-Unis à long terme, mais peu d’influence à court terme. Cette observation montre l’étroit lien à long terme des marchés de l’énergie et des produits agricoles au cours des dernières années.     

Detecting the impact of the “Grain for Green” program on the mean annual vegetation cover in the Shaanxi province, China using SPOT-VGT NDVI data

In order to reduce the soil erosion rate on the Chinese Loess Plateau, the Chinese government launched in 1999 the “Grain for Green” program (GfG). The objective of this program was to increase the forest cover on steep slopes in the landscape by planting trees and sowing grasses on former cropland. The program was a massive investment by the Chinese government. By the end of 2005 the GfG-program was implemented in an area of 87,000 km² in which about 400–600 million trees were planted. At present it is not known to what extent this program was successful. This paper examines the effects of the GfG-program on the mean annual vegetation cover in the Shaanxi province. A decadal time series of SPOT VEGETATION imagery from 1998 till 2005 were used to calculate NDVI-values in four counties with different rainfall regimes. By means of a regression between preceding rainfall and NDVI-values the effects of rainfall variability were filtered out. A trend analysis of the corrected NDVI time series pointed out that the GfG-program resulted in a significant increase of the vegetation cover on farmland in the northern part of Shaanxi province. In the southern part of the province, which has a more humid climate and large areas of irrigation farmland no significant increase of the vegetation cover on farmland could be detected.