From Possession to Ownership Expanding the Access of Small-Scale Farmers to Land Ownership in Piauí, Brazil José Osmar Alves (INTERPI) Regina Lourdes (INTERPI) Alzir Felippe Buffara Antunes (UFPR) Camille Bourguignon (World Bank)

Outline Rural poverty and land tenure in Piauí State Land Tenure Regularization Program Land Tenure Regularization Process Sample of processes Case study of “Serra do Algodeiro” Processing of the requests The issue of State Land Registration Conclusions and Recommendations

Rural poverty and land tenure in Piauí Population of 3.2m Area of 252,000 km2 Agrarian Structure Prevalence of small-scale farming 90% of farms / Mostly subsistence farming Rapidly growing agribusiness sector Highly mechanized and productive Widespread land tenure informality State owns (or has claims over) millions of hectares Occupation often informal Land conflicts / Limited economic opportunities One of the most impoverished states in Brazil 27.4 % live in poverty and 9.1 % in extreme poverty One of the most unequal states in Brazil Gini Coefficient of 0.57 (Brazil: 0.52)

Small-scale farming in the semi-arid region

Agribusiness in the Cerrado

State Land Tenure Regularization Program A high priority of the State Government On and off the development agenda since 1980 Law 4.678/1994 Revision of the legal framework Law 6.127/2011 Law 6.709/2015 State Land Tenure Regularization program (2016-2019) Designed and implemented by the INTERPI Regularization through land grants (11,000 small-scale farmers) Regularization through sale (4m hectares / BRL 1bn) Modernization program for the INTERPI Many challenges Less than 4,000 titles issued over the last 5 years Many farmers are on unregistered state land Limited human and financial capacities within the INTERPI History of lack of transparency

Land Tenure regularization process Random selection of processes Since 2010, INTERPI has received 10,000 requests 36 % full ownership requests 23 % Real Rights of Use requests 8% state land acquisition requests 4% regularization requests from “posseiros” 29% others (copy of title, transfer, surveying services …) Regularization of 48ha lot in “Serra do Algodeiro” Request filed in December 2012 Part of broader development program “Entre Rios” Land Reform Settlement / On registered state land Conversion Real Rights of Use to full ownership No cost for beneficiaries 14 months from filing to decision to issue the title Title delivery pending

Land Tenure regularization process Selection of the adequate state land tenure regularization mechanisms (grants, sale …) Submission of regularization requests by beneficiaries or decision by public authorities to regularize an area Preparation of the Regularization requests ID card, Proof of residence, CPF, Certified map, coordinates and memo; Proof of registration in the Environmental Rural Cadastre (CAR); Valid chain of ownership, etc. Filing and processing by INTERPI Verification that the applicant meets the requirements If land grant: Less than 100 ha, cultivating the land for 5 years, etc Process completed by director's approval Title issuance and signing by State Governor Title delivery Title registration

The issue of State Land Registration To be regularized, lots have to be on private land or on land registered under the name of the state Large areas are “Terras Devolutas” i.e. land that has not been legally transferred from the state to third parties More than 20 areas (450,000 ha) are being registered by the INTERPI and 19 areas contemplated for registration INTERPI demarcates the area and invites those who claim to have legitimate rights to prove them All these processes have been ongoing for more than 10 years and were at an impasse New negotiation mechanisms introduced by law 6.709/2015

Registration of the Serra do Quilombo Cerrado Piauiense Initiated in 2002 150,000 ha More than 200 claims 500 to 2500 ha Full titles, temporary titles CDRUs, possessions …

Bom Jesus Agrarian Court

Conclusions and Recommendations Regularization is once again a priority in Piauí Legal framework in place and political will Regularization mechanisms in place but implementation pace largely depends on the capacity of the INTERPI Necessity to reform the INTERPI Created in 1980 (law 3783 / 1980) Some important achievements 174 land reform settlements since 1980s Issuance of thousands of titles (full ownership, CDRUs…) Also some strong criticisms “One of the worst State Land Institute” (WB 1990) “Responsible for the worsening of the agrarian structure” (CPI 1998) “ benefits businesses and political groups …” (CPI 1998) Mismatch between mandate and resources Currently does not have the capacity to implement the State Land regulations program

Processing Regularization Requests

Conclusions and Recommendations The success of the state land regularization program will largely depend on the capacity to reform the INTERPI Staffing and equipment: e.g. need to increase the number of field teams from 2 to 10and need for additional lawyers; Computerization: System for request management and digitalization of archives; Cooperating with other key stakeholders such as State Secretary for Environment, INCRA, Notaries, NGOs… Need for a strategic vision for the INTERPI Could be highly profitable: INTERPI expects to be able to generate BRL1bn from sale of state land over the next 4 years; Ensure that state land is sold at a fair price; Possible promotion of alternative modes of production in the Cerrado (e.g. pilot highly productive family-scale farming)