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Agrarian Change and the Land System in the Chao Phraya Delta

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Agrarian Change and the Land System in the Chao Phraya Delta DORAS - DELTA : research report n°6 Agrarian change and the land system in the Chao Phraya delta François Molle Thippawal Srijantr DORAS CENTER Kasetsart University IRD 1 DORAS - DELTA : research report n°6 Agrarian change and the land system in the Chao Phraya delta François Molle (DORAS, IRD) Thippawal Srijantr (DORAS, Kasetsart University) DORAS CENTER Kasetsart University IRD 3 Molle, François; Srijantr, Thippawal. 1999. Agrarian change and the land system in the Chao Phraya Delta. Kasetsart University, DORAS Center, Research Report n°6, 184 p. /Thailand / Chao Phraya / agrarian system / agrarian change / land tenure / tenancy / landlessness / population studies / intensification / ISBN 974-553-692-2 Please direct inquiries and comments to: DORAS Center Kasetsart University Administrative building, 10th floor Bangkhen, 10900 Bangkok Thailand [email protected] Kasetsart University, IRD, 1999 Cover: Rice plots in the Borommathad project (Chai Nat Province) Image from NRCT (National Research Council of Thailand) Printed in Bangkok 4 Acknowledgements This work has benefited from comments and discussions with several people. The authors would like in particular to express their appreciation to Ammar Siamwalla, Jacques Amyot, Chatthip Nartsupha, Somporn Isvilanonda and Charles Mehl. 5 Abbreviations, units used ALRO: Agricultural Land Reform Office BAAC: Bank of Agriculture and Agricultural Co-operatives BMA: Bangkok Metropolitan Area DLD: Department of Land Development HYV: High Yield Varieties NRDC: National Rural Development Council RID: Royal Irrigation Department rai 1 ha = 6.25 rai thang 1 thang = 10 kg (for paddy rice in the Central Region) baht 1 US $ = 37 baht (current average value) changwat Province amphoe District tambon Sub-district 6 Abstract Land is the prime resource of agricultural production. Agrarian systems are often subject to historical land fragmentation, along with growing population pressure, and/or to a trend towards a skewed distribution of ownership (small farms are absorbed by large farms which keep growing in size). It is shown that although the Chao Phraya Delta land system has undergone several crises during the 20th century, it has by and large remained rather stable and avoided “crisis” scenarios. The report presents an extensive analysis of historical change based on secondary data and observations made by local studies. Land distribution in both farm size and tenure status, together with landlessness, are analysed along history and desaggregated at the provincial level. High discrepancies between provinces show that undiscriminating analysis based on data at the regional level or on specific areas (e.g. Rangsit) are misleading. Patterns of contractual arrangements in the rental markets are also presented in their temporal and spatial diversities and it is concluded that real rents have been declining in the last 30 years. The overall interpretation of changes in the land system is attempted by analysing in detail how these change relate to concomitant evolutions observed in demographic parameters (fertility revolution, increase in life expectancy, migrations), agricultural change (land development, intensification, diversification), economic change (growth of non-agricultural sectors; regression of the land frontier; land speculation, etc), and cultural factors (patterns of inheritance, attraction of the urban way of life). The linkages between the land market (rent and purchase) and the capital and labour markets are also investigated. The evidence of far-reaching structural and macro transformations is emphasised and serves as a basis for the analysis of current dynamics and for prospectives. 7 Contents 1 INTRODUCTION ................................................................................................ 13 2 THE MAIN ONGOING PROCESSES IN THE AGRARIAN SYSTEM ................ 19 2.1 A DECLINING AGRICULTURAL SECTOR AND A NET LOSS OF AGRICULTURAL LAND .... 19 2.2 DEMOGRAPHIC CHANGES ................................................................................. 20 2.2.1 A net positive out-migration flow ............................................................. 20 2.2.2 Fertility decline ........................................................................................ 25 2.2.3 The ageing farmers’ population............................................................... 26 2.3 PATTERNS OF LAND TRANSMISSION ................................................................... 29 2.4 LANDLESSNESS AND INDEBTEDNESS ................................................................. 34 2.4.1 Landless agricultural wage labourers...................................................... 34 2.4.2 Indebtedness .......................................................................................... 43 2.5 AGRICULTURAL INTENSIFICATION AND DIVERSIFICATION ...................................... 48 2.6 THE LAND MARKET........................................................................................... 50 3 A QUALITATIVE FRAMEWORK OF ANALYSIS .............................................. 54 3.1 STOCKS OF AGRICULTURAL HOLDINGS AND FARM LAND ....................................... 54 3.2 SIGNIFICANT CATEGORIES OF LAND HOLDERS..................................................... 55 4 MAIN QUANTITATIVE CHANGES IN THE LAND SYSTEM ............................. 59 4.1 CHANGE IN THE NUMBER OF FARMS................................................................... 59 4.2 EVOLUTION OF RICE-GROWING FARMS............................................................... 65 4.3 EVOLUTION OF THE AVERAGE FARM AREA .......................................................... 67 4.4 PLOT FRAGMENTATION..................................................................................... 69 5 CHANGE IN LAND OWNERSHIP AND PATTERNS OF LAND TENURE ........ 70 5.1 PERCENTAGES OF DIFFERENT TENURE TYPES .................................................... 70 5.2 CHANGE IN TENANTED FARM LAND .................................................................... 73 5.3 AVERAGE FARM SIZE AND LAND TENURE ............................................................ 76 5.4 LAND TENURE AND FARM SIZE CLASS................................................................. 79 6 LANDOWNER/TENANT RELATIONSHIPS AND RENTAL ARRANGEMENTS81 8 6.1 CONTRACT COVENANTS ................................................................................... 81 6.1.1 Informality ............................................................................................... 81 6.1.2 Contract duration .................................................................................... 82 6.1.3 Other covenants...................................................................................... 82 6.1.4 Modes of payment .................................................................................. 83 6.2 SOCIAL RELATIONSHIPS BETWEEN CONTRACTING PARTIES .................................. 88 6.3 THE VALUE OF RENTS AND THEIR HISTORICAL CHANGES ...................................... 92 6.3.1 Fixed rents in kind................................................................................... 94 6.3.2 Fixed rents in cash.................................................................................. 95 6.4 NOTE ON THE PRECARIOUSNESS OF ARRANGEMENTS ....................................... 100 6.5 LAND RENTAL AND LEGISLATION...................................................................... 102 6.6 LANDOWNERS-TENANTS: CHANGING “TERMS OF TRADE” ................................... 106 6.6.1 Depressions and prosperity .................................................................. 106 6.6.2 Note on capital accumulation ................................................................ 110 6.6.3 Note on spatial mobility and tenancy .................................................... 111 7 RESTATEMENT OF THE PROBLEM.............................................................. 114 7.1 ABRIDGED CHRONOLOGY ............................................................................... 114 7.2 RESILIENCE OF THE DELTA AGRARIAN SYSTEM ................................................. 119 7.2.1 The Malthusian threat ........................................................................... 119 7.2.2 The Marxian threat................................................................................ 122 7.2.3 Note on socio-economic differentiation and class formation ................. 126 7.3 THE SIGNIFICANCE OF TENANCY, LANDLESSNESS AND THE PROCESSES AT WORK 128 7.3.1 The land jigsaw ..................................................................................... 128 7.3.2 Tenancy and landlessness in context ................................................... 132 7.4 LINKAGES BETWEEN FACTOR MARKETS............................................................ 136 7.4.1 Capital and land markets ...................................................................... 136 7.4.2 Labour and land markets ...................................................................... 137 7.5 IS THE TENURE SYSTEM FUNCTIONING WELL ?.................................................. 142 7.5.1 Allocation of production factors ............................................................. 142 7.5.2 Supply/demand on the land market ...................................................... 145 8 CONCLUSIONS ............................................................................................... 151 9 ANNEXES .......................................................................................................
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