Land banking/land Funds important catalysts for Land Consolidation in Sweden
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1 Land banking/land Funds important catalysts for Land Consolidation in Sweden Mats Backman November 9th 2010 Personal presentation Land Consolidation work in Sweden 44 years Consultant in matters regarding real properties 3 years Rural development, transactions, valuator Consultant EU Pilot project in Romania 0,5 year 1
2 Important issues for a successful Land Reform Working concept and project management Opinion Partnership Political/legal targets for consolidated properties Trimming of implementation-time and costs Technical development (valuation, GIS, GPS) Financing available subsidies Available Land Bank/Land Fund Review regarding Land Consolidation and fragmentation Laws on Land Consolidation 1757, 1807,1827, 1926 and 1972 Land Consolidation of the whole nation Consolidated area 20 M hectares holdings concerned Resettlement for farmers BUT. Private subdivision of real properties after Land Consolidation deteriorated the good result Bad fragmentation of properties and uncertain ownership conditions Difficulties to get titles and mortgages 2
3 Review of Land Consolidation and Land Banking/Land Funds in Sweden Voluntary or gradual Land Consolidation Radical or compulsory Land Consolidation Work done since 1930 Adjudication hectares Land consolidation hectares Urgent need of Land Consolidation hectares Land Fund in the county of Dalarna hectares Purpose of the Land Fund Facilitates the Land Consolidation procedure Contributes to viable family farms Performance indicators, monitoring Promotion of a land reform Investigation of land use Needs of land reform Role and importance of agriculture/forestry Extent of fragmented arable/forest land Available Land Bank/Land Fund Degree of fragmentation, joint properties, joint ownership Characteristics of the farmers Type of production Possible needs of road construction Choice of appropriate Land Consolidation procedure Time/cost estimates Available subsidies 3
4 Performance indicators, monitoring (cont.) Monitoring by Swedish Board of Agriculture Objectives for agriculture Promote food production, compatible with environment & animal welfare, beneficial to consumers Administer the CAP according to EU-legislation Ensure food supply in the event of crises of national security Monitoring by National Board of Forestry Supervision of the Forestry Act Advisory services Inventories of natural values on forest land Monitoring of Land Consolidation by National Land Survey Supervision of the Property Formation Act Instructions to the regional/local cadastral authorities Supervision of land use County Administration Board (arable land, cultivation, animal welfare, food quality) County Forestry Board (Forestry Act, reforestation, environment considerations, silviculture) Access to Land Bank/Land Fund Objectives of Land Bank/Land Fund Increase of farms Establishment of common valuable nature and culture areas Mediation and negotiation with farmers Lubricating medium Facilitates the re-allotment design in Land Consolidation 4
5 Establishment of a Land Bank/Land Fund Governmental purchase of land, mainly in fragmented areas and will constitute the major part of the Land Fund Municipalities do not own land available for the Land Fund Farmers agree during the Land Consolidation procedure to get money instead of land. Such land will be a part of the Land Fund Available Land Bank/Land Fund in implemented L C projects The available Land Bank/Land Fund in implemented Land Consolidation projects normally varies from 5 to 10 % of the total project area 5
6 Prerequisites for the Land Fund in Dalarna Present size hectares, mainly in the most fragmented areas Approx. value M SEK Target groups of farmers who are entitled to buy land from the Land Fund Farmers with holdings less than 5 hectares Progressive full-timer - farmers Financing of land purchases from Land Bank/Land Fund Farmers who purchase land from the Land Bank/Land Fund normally have the following options Timber sales most common, easy financing Cash payments normally for smaller payments Bank loans for very big payments, often combined with timber sales 6
7 Financing of Land Consolidation Period Subsidies for the re-allotment procedure % % % ? 60 % - has to be decided by the government % ? 0 % Subsidies for infrastructural measures Contributors with subsidies for Land Consolidation in Sweden Swedish government (approx. 30 projects) European Union (4 projects) County Forestry Board (4 projects) 7
8 Amendments and changes in the process of Land Consolidation Approach change from top down Methodology Strategy of a Land Consolidation project Dialogue with the farmers Valuation techniques Elaboration of a re-allotment design Surveying techniques Decision making Progress Methodology Partnership Opinion issues The need of a cost-efficient procedure Technical development Financing Political support bottom up Perspectives of Land Consolidation in Dalarna according to a current investigation Focus on Increased subsidies from 50 to 60 % Preliminary study Identification of areas feasible for Land Consolidation Awareness campaign Surveying of present fragmented properties/parcels Decreased implementation time for a normal size L C project from 5 7 years today to 2 3 years according to the investigation report Target for the implementation of the total fragmented area of hectares 20 years Recruitment and capacitation of staff 8
9 Organisation and institutional framework for Land Consolidation Institutional solution National Land Survey (cadastral issues) Governmental Land Fund agency Promotion of Land Consolidation Coordination committees at central, regional and local level Regional level Thanks for your attention 9
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