Securing the Right to Land FULL - ANGOC

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SECURING THE RIGHT TO LAND Acknowledgments 92 This paper is an abridged version of the original Indonesia Land Watch Country Paper “The Inequality of Agrarian Structures and its Impact to the Rural Poor Livelihoods”. This is a collective effort of many civil society organizations, and also individuals in Indonesia. The author, Erpan Faryadi, would like to acknowledge the following for their assistance in the preparation of this study. For encouragement and support: Andrew Fuys (International Land Coalition); Rasmiati Handriani; Nathaniel Don Marquez (ANGOC) For English translation from Indonesian version: Andrew Fuys (International Land Coalition); Syamsul Ardiansyah (INDIES); Subhan Hamid For documents, setting-up interviews and meetings: Bina Desa; KPA (Konsorsium Pembaruan Agraria); AGRA (Aliansi Gerakan Reforma Agraria) For information, interview, and feedback: Rahmat Ajiguna (AGRA); Dwi Astuti (Bina Desa); Syaiful Bahari; Gunawan (IHCS); Tina Napitupulu (Bina Desa); M. Nuruddin (Aliansi Petani Indonesia); Donny Perdana (Serikat Tani Nasional); Sediono MP Tjondronegoro; Gunawan Wiradi CSOs: Front Mahasiswa Nasional (FMN); Gabungan Serikat Buruh Independen (GSBI); INFID; Lembaga Bantuan Hukum Bandung; Members of National Council of KPA; Members of National Leadership of AGRA; RACA Institute; WALHI Government Institutions: Department of Agriculture; Department of Finance; Department of Forestry; Dirjen Perkebunan; Indonesian Central Bureau of Statistics; National Land Agency; National Human Rights Commission Newspapers and magazines: Kompas daily newspaper; Radar Lampung daily newspaper; Suara Pembaruan daily newspaper; Tempo weekly magazine; Trust weekly magazine Others related indirectly to the study, as I cited for their references and comments. This abridged paper is made possible with the support of ActionAid International (AAI), International Land Coalition (ILC), and MISEREOR. The views and the information provided in this paper are those of the author and do not necessarily reflect the views or policies of AAI, ILC, and MISEREOR. Glossary and Acronyms ADB Asian Development Bank. Agrarische Wet Agrarian Act of 1870; land law during the Dutch colonial system in Indonesia. APBN Indonesian national budget or Anggaran Pendapatan dan Belanja Negara. BPN Badan Pertanahan Nasional or National Land Agency BPS Central Bureau of Statistics. Bulog National Logistics Agency. FAO Food and Agriculture Organization of United Nations. HGU Hak Guna Usaha or long lease rights or plantation concession rights. HMN Hak Menguasai dari Negara or the State Rights to Control the Land all over Indonesia. HPH Hak Pengusahaan Hutan or Forest Concession Rights. HTI Hutan Tanaman Industri or Industrial Timber Plantations. IMF International Monetary Fund. Inhutani State-owned enterprise in the timber sector; usually operates outside Java island. MPR Majelis Permusyawaratan Rakyat or the Indonesian People’s Consultative Assembly; one of the highest decision making bodies in Indonesia. Orde Baru New Order, related with Suharto administration in Indonesia (1966–1998). Orde Lama Old Order, related with Sukarno administration in Indonesia (1959–1965). Perhutani State-owned enterprise in the timber sector; usually operate in Java island. PIR-Bun Perusahaan Inti Rakyat-Perkebunan or contract growing; or NES (Nucleus Estate and Small Holder Scheme); a program for the expansion of large plantations supported by the World Bank in Indonesia from 1970–1980. RPPK Revitalisasi Pertanian, Perikanan, dan Kehutanan or Revitalization of Agriculture, Fisheries, and Forestry; an official policy document of the current Government of Indonesia under President Yudhoyono (2004–2009) on land, water, forestry, and food issues. TAP MPR The Indonesian People’s Consultative Assembly Decree. UUPA Undang-Undang Pokok Agraria or 1960 Basic Agrarian Law (BAL). WB World Bank. WTO World Trade Organization.
INDONESIA QUICK FACTS Overview of Agricultural Development in Indonesia Indonesia’s agricultural development has progressed in six phases. The first phase was the revolutionary phase (1945-1965), during which then President Sukarno sought to develop agriculture by nationalizing plantations and companies formerly owned by the Dutch and Japanese colonial governments. Until the late 1950s, food production had not increased enough to improve the conditions of households dependent on farming. Rice production and agricultural productivity began to improve only after intensive production was adopted broadly in the early 1960s as part of the Mass Guidance program. The new intensification movement gained momentum following the establishment of demonstration plots, organized by researchers and students at the Bogor Institute of Agriculture with the participation of farmers on the north shore of Java. 1 The second phase was consolidation (1967–1978). During this period, the agricultural sector grew 3.4%. Growth was primarily THE PERSISTENCE OF POPULAR WILL 93 ➤ In 1993, 10.8 million farming households owned less than a hectare of land. By 2003, this number had increased to 13.7 million, or an increase of 2.6% a year. ➤ In 1993, over half (52.7%) of the country’s farming households were considered poor; by 2003, the proportion was 56.5%. ➤ The number of families that make their living from agricultural activities increased from 20.8 million in 1993 to 25.4 million in 2003, or an increase of 2.2% a year. ➤ Of the 25.4 million farming families recorded in 2003, 54.4% lived in Java, and the rest (45.6%) in outer Java. Poverty among Javanese farming families rose from 69.8% to 74.9% during the period 1993-2003. In outer Java, the number of poor farming families increased from 30.6% to 33.9% during the same period, representing an increase of 3.3% a year. driven by the food crop and plantation sub-sectors. Rice production increased by more than two million tons during the 1970s, and productivity more than doubled since 1963, to more than 2.5 million tons per hectare. Three key policies—intensification, extension and diversification—were adopted during the second phase and were supported by the ability to increase production and productivity in agriculture. During this phase, a strong foundation for high growth in the sector was established. Great attention was given by the government toward construction of infrastructure vital to agriculture, such as irrigration, roads, and supporting industries, e.g., cement and fertilizer. The third phase was that of high growth (1978–1986). This period was significant in Indonesia’s agricultural economy. The agricultural sector grew by more than 5.7% percent, because of an economic development strategy that was based on agriculture. Production of food, plantation crops, fish, and livestock all increased, with a growth of 6.8%; research and technological ASIAN NGO COALITION FOR AGRARIAN REFORM AND RURAL DEVELOPMENT
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