Land Reform in Bolivia

Demographics

– Bolivian population: 9,119,152 (July ’07 est.)• Ethnic groups:

– Quechua: 30%– Mestizo (mixed white & Amerindian ancestry): 30%– Aymara: 25%– White: 15%

CIA – The World Factbook – Bolivia https://www.cia.gov/library/publications/the-world-factbook/geos/bl.html

Employment

• Labor force: – 4.793 million (2006 est.) (while having a population of

9.119 million)• Unemployment rate:

– 8% in urban areas; widespread underemployment (2006)

• GDP – composition by sector:• Agriculture: 14.5%• Industry: 30.5%• Services: 55% (2006 est.)

CIA – The World Factbook – Bolivia https://www.cia.gov/library/publications/the-world-factbook/geos/bl.html

Bolivia’s economy

• Natural resources:• Tin, natural gas, petroleum, zinc, tungsten,

antimony, silver,iron, lead, gold, timber, hydropower

• Agriculture - products • Soybeans, coffee, cocoa, cotton, corn, sugarcane,

rice, potatoes, timber

• Industries:• Mining, smelting, petroleum, food & beverages,

tobacco, handicrafts, clothing

CIA – The World Factbook – Bolivia https://www.cia.gov/library/publications/the-world-factbook/geos/bl.html

Household income & consumption by % share• Bolivia:

– Household income or consumption by percentage share:

• Lowest 10%: 0.3%

• Highest 10%: 47.2% (2002)

– Population below poverty line:

• 60% (2006 est.)

CIA – The World Factbook – Bolivia, Chile, & Peru https://www.cia.gov/library/publications/the-world-factbook/geos/bl.html

• Chile:• Household income or consumption

by percentage share: • Lowest 10%: 1.4%• Highest 10%: 45% (2003)

• Population below poverty line:• 18.2% (2006 est.)

• Peru:• Household income or consumption

by percentage share: • Lowest 10%: 1.3%• Highest 10%: 40.9% (2003)

• Population below poverty line:• 44.5% (2006 est.)

Brief History of Bolivia

• Pre-Columbian Civilizations (600-1532)– Aymara kingdoms

• Based on systems of extended family and tribal farming cooperatives.

– In around 1460, the Incas conquered the Aymara.• Incan had a socially rigid pyramid structure of classes that

exploited agriculture.• Land was held “in common” and prohibited to be sold.• Incas royal class had monopolies over the forest, mines, and

herds and flocks. • The harvest was divided into three parts: Inca and ruling

caste, the priests, and the ayllu agricultural cooperatives.

Brief History of Bolivia (cont.)

• Spanish Colonial Rule (1532-1809)– Mineral wealth such as silver and mercury deposits in parts of

Bolivia such as Potosi attracted the Spaniards.• 1600s – 1800s: Mining dominated the colonial economy.

– Spanish aristocrats lived in comfort, while massive amount of Indians lived in poverty.

– Encomienda – a colonial institution that served to consolidate the conquest by granting the possession of land tracts and the power to administer the inhabitants of the territories to …

– Loyal adelantados (Spanish governors of provinces)– Solider of the crown

– Mitas – a system of forced tribute labor by the Indians that assured the crown abundant free labor for state & private enterprises

Brief History of Boliva (cont.)

• Encomienda & mitas –• developed into harsh system of colonial control • exploited the Indians turning them into mere serf labor • landowners eventually gained ownership of Indian communal lands

» & exert complete command of Indians labor.

• Encomienda was originally intended for only 1 or 2 generations– But, by the 18th century it became outright land grants– Encomiendas were gradually replaced by large haciendas of land

privately owned by a wealthy colonial aristocracy– while Indians were turned into massive class of serfs & sharecroppers

» permitted to use small subsistence plot in exchange for a portion of the harvest and their labor to the landlord (hacendado).

– Landowning system – represented a feudal or semifeudal society

» hacendado exercised complete political, social, & economic power, often harshly

Brief History of Boliva (cont.)

• Aug. 6, 1825 became the official date of independence & creation of the Republic of Bolivia

Unequal Land Distribution

• Estimated 110 million hectares ( 1 hectare is 2.47 acres) of potentially productive land

• 70% in the hands of 400 individuals who claim over 100,000 hectares each

• 25% in the hands of mid to large sized agricultural producers

• 5% of agricultural land are in the hands of the poor

Land to be distributed

• In May 2006 Morales launched its land reform program

• Morales presented land titles for 3 million hectares to 60 indigenous communities and groups

• 2.5 million rural poor will receive title to 20 million hectares over five years

• Constitutes about 13% of Bolivia's land being given to about 28% of the people

Land conflict in the eastern region

• Fear government will reclaim land

• Program enraged huge landowners– Pledge to form self

defense groups• Concerned of widespread

migration of land recipients from the west to Santa Cruz