RA 6657, as amended
Declaration of Principles and Policies
Ammended by RA 9700 (August 7,2009)
SECTION 2. Declaration of Principles and Policies. — It is the policy of the State to pursue a
Comprehensive Agrarian Reform Program (CARP). The welfare of the landless farmers and farmworkers
will receive the highest consideration to promote social justice and to move the nation toward sound rural
development and industrialization, and the establishment of owner cultivatorship of economic-size farms
as the basis of Philippine agriculture.
"The State shall promote industrialization and full employment based on sound agricultural
development and agrarian reform, through industries that make full and efficient use of human and natural
resources, and which are competitive in both domestic and foreign markets: Provided, That the conversion
of agricultural lands into industrial, commercial or residential lands shall take into account, tillers' rights and
national food security. Further, the State shall protect Filipino enterprises against unfair foreign competition
and trade practices.
"The State recognizes that there is not enough agricultural land to be divided and distributed to
each farmer and regular farmworker so that each one can own his/her economic-size family farm. This
being the case, a meaningful agrarian reform program to uplift the lives and economic status of the farmer
and his/her children can only be achieved through simultaneous industrialization aimed at developing a
self-reliant and independent national economy effectively controlled by Filipinos.
"To this end, the State may, in the interest of national welfare or defense, establish and operate
vital industries.
"A more equitable distribution and ownership of land, with due regard to the rights of landowners
to just compensation, retention rights under Section 6 of Republic Act No. 6657, as amended, and to the
ecological needs of the nation, shall be undertaken to provide farmers and farmworkers with the opportunity
to enhance their dignity and improve the quality of their lives through greater productivity of agricultural
lands.
"The agrarian reform program is founded on the right of farmers and regular farmworkers, who are
landless, to own directly or collectively the lands they till or, in the case of other farmworkers, to receive a
just share of the fruits thereof. To this end, the State shall encourage and undertake the just distribution of
all agricultural lands, subject to the priorities and retention limits set forth in this Act, taking into account
ecological, developmental, and equity considerations, and subject to the payment of just compensation.
The State shall respect the right of small landowners, and shall provide incentive for voluntary land-sharing.
"As much as practicable, the implementation of the program shall be community-based to assure,
among others, that the farmers shall have greater control of farmgate prices, and easier access to credit.
"The State shall recognize the right of farmers, farmworkers and landowners, as well as
cooperatives and other independent farmers' organizations, to participate in the planning, organization, and
management of the program, and shall provide support to agriculture through appropriate technology and
research, and adequate financial, production, marketing and other support services.
"The State shall recognize and enforce, consistent with existing laws, the rights of rural women to
own and control land, taking into consideration the substantive equality between men and women as
qualified beneficiaries, to receive a just share of the fruits thereof, and to be represented in advisory or
appropriate decision-making bodies. These rights shall be independent of their male relatives and of their
civil status.
"The State shall apply the principles of agrarian reform, or stewardship, whenever applicable, in
accordance with law, in the disposition or utilization of other natural resources, including lands of the public
domain, under lease or concession, suitable to agriculture, subject to prior rights, homestead rights of small
settlers and the rights of indigenous communities to their ancestral lands.
"The State may resettle landless farmers and farmworkers in its own agricultural estates, which
shall be distributed to them in the manner provided by law.
"By means of appropriate incentives, the State shall encourage the formation and maintenance of
economic-size family farms to be constituted by individual beneficiaries and small landowners.
"The State shall protect the rights of subsistence fishermen, especially of local communities, to the
preferential use of communal marine and fishing resources, both inland and offshore. It shall provide
support to such fishermen through appropriate technology and research, adequate financial, production
and marketing assistance and other services. The State shall also protect, develop and conserve such
resources. The protection shall extend to offshore fishing grounds of subsistence fishermen against foreign
intrusion. Fish workers shall receive a just share from their labor in the utilization of marine and fishing
resources.
"The State shall be guided by the principles that land has a social function and land ownership has
a social responsibility. Owners of agricultural land have the obligation to cultivate directly or through labor
administration the lands they own and thereby make the land productive.
"The State shall provide incentives to landowners to invest the proceeds of the agrarian reform
program to promote industrialization, employment and privatization of public sector enterprises. Financial
instruments used as payment for lands shall contain features that shall enhance negotiability and
acceptability in the marketplace.
"The State may lease undeveloped lands of the public domain to qualified entities for the
development of capital-intensive farms, and traditional and pioneering crops especially those for exports
subject to the prior rights of the beneficiaries under this Act."
“The State shall promote industrialization and full employment based on sound agricultural
development and agrarian reform, through industries that make full and efficient use of human and natural
resources, and which are competitive in both domestic and foreign markets: Provide, that the conversion
of agricultural lands into industrial, commercial or residential lands shall take into account, tiller’s rights and
national food security. Further, the state shall protect Filipino Enterprises against unfair foreign competition
and trade practices.”
Definitions
SECTION 3. Definitions. —For the purpose of this Act, unless the context indicates otherwise:
(a) Agrarian Reform means redistribution of lands, regardless of crops or fruits produced, to farmers and
regular farmworkers who are landless, irrespective of tenurial arrangement, to include the totality of factors
and support services designed to lift the economic status of the beneficiaries and all other arrangements
alternative to the physical redistribution of lands, such as production or profit-sharing, labor administration,
and the distribution of shares of stocks, which will allow beneficiaries to receive a just share of the fruits
of the lands they work.
(b) Agriculture, Agricultural Enterprise or Agricultural Activity means the cultivation of the soil, planting
of crops, growing of fruit trees, raising of livestock, poultry or fish, including the harvesting of such farm
products, and other farm activities and practices performed by a farmer in conjunction with such farming
operations done by person whether natural or juridical.
(c) Agricultural Land refers to land devoted to agricultural activity as defined in this Act and not classified
as mineral, forest, residential, commercial or industrial land.
(d) Agrarian Dispute refers to any controversy relating to tenurial arrangements, whether leasehold,
tenancy, stewardship or otherwise, over lands devoted to agriculture, including disputes concerning
farmworkers' associations or representation of persons in negotiating, fixing, maintaining, changing,
or seeking to arrange terms or conditions of such tenurial arrangements.
It includes any controversy relating to compensation of lands acquired under this Act and other terms and
conditions of transfer of ownership from landowners to farmworkers, tenants and other agrarian reform
beneficiaries, whether the disputants stand in the proximate relation of farm operator and beneficiary,
landowner and tenant, or lessor and lessee.
(e) Idle or Abandoned Land refers to any agricultural land not cultivated, tilled or developed to produce
any crop nor devoted to any specific economic purpose continuously for a period of three (3) years
immediately prior to the receipt of notice of acquisition by the government as provided under this Act, but
does not include land that has become permanently or regularly devoted to non-agricultural purposes. It
does not include land which has become unproductive by reason of force majeure or any other fortuitous
event, provided that prior to such event, such land was previously used for agricultural or other economic
purpose.
(f) Farmer refers to a natural person whose primary livelihood is cultivation of land or the production of
agricultural crops, livestock and/or fisheries either by himself/herself, or primarily with the assistance of
his/her immediate farm household, whether the land is owned by him/her, or by another person under a
leasehold or share tenancy agreement or arrangement with the owner thereof.
(g) Farmworker is a natural person who renders service for value as an employee or laborer in an
agricultural enterprise or farm regardless of whether his compensation is paid on a daily, weekly, monthly
or "pakyaw" basis. The term includes an individual whose work has ceased as a consequence of, or
in connection with, a pending agrarian dispute and who has not obtained a substantially equivalent and
regular farm employment.
(h) Regular Farmworker is a natural person who is employed on a permanent basis by an agricultural
enterprise or farm.
(i) Seasonal Farmworker is a natural person who is employed on a recurrent, periodic or intermittent basis
by an agricultural enterprise or farm, whether as a permanent or a non-permanent laborer, such as
"dumaan", "sacada", and the like.
(j) Other Farmworker is a farmworker who does not fall under paragraphs (g), (h) and (i).
(k) Cooperatives shall refer to organizations composed primarily of small agricultural producers, farmers,
farmworkers, or other agrarian reform beneficiaries who voluntarily organize themselves for the purpose of
pooling land, human, technological, financial or other economic resources, and operated on the principle
of one member, one vote. A juridical person may be a member of a cooperative, with the same rights and
duties as a natural person.
(l) Rural women refer to women who are engaged directly or indirectly in farming and/or fishing as their
source of livelihood, whether paid or unpaid, regular or seasonal, or in food preparation, managing the
household, caring for the children, and other similar activities."
(Note: text underlined and in black font are the amendments made to Section 3. Definitions. of RA 6657)
Coverage
SECTION 4. Scope. — The Comprehensive Agrarian Reform Law of 1988 shall cover, regardless of
tenurial arrangement and commodity produced, all public and private agricultural lands as provided in
Proclamation No. 131 and Executive Order No. 229, including other lands of the public domain suitable for
agriculture: Provided, That landholdings of landowners with a total area of five (5) hectares and below shall
not be covered for acquisition and distribution to qualified beneficiaries. IHAcCS "More specifically, the
following lands are covered by the CARP: "(a) All alienable and disposable lands of the public domain
devoted to or suitable for agriculture. No reclassification of forest or mineral lands to agricultural lands shall
be undertaken after the approval of this Act until Congress, taking into account ecological, developmental
and equity considerations, shall have determined by law, the specific limits of the public domain; "(b) All
lands of the public domain in excess of the specific limits as determined by Congress in the preceding
paragraph; "(c) All other lands owned by the Government devoted to or suitable for agriculture; and "(d) All
private lands devoted to or suitable for agriculture regardless of the agricultural products raised or that can
be raised thereon. "A comprehensive inventory system in consonance with the national land use plan shall
be instituted by the Department of Agrarian Reform (DAR), in accordance with the Local Government Code,
for the purpose of properly identifying and classifying farmlands within one (1) year from effectivity of this
Act, without prejudice to the implementation of the land acquisition and distribution."
(Note: text underlined and in red font are the amendments made to Section 4. Coverage. of RA 6657)
Implementation
SECTION 5. Schedule of Implementation. — The distribution of all lands covered by this Act shall be
implemented immediately and completed within ten (10) years from the effectivity thereof.
(This should be deemed amended by Section 7 of RA 9700 which expressly stipulates that “the final
acquisition and distribution of all remaining and unacquired and undistributed agricultural lands” shall be
completed until June 30, 2014.)
Retention Limits
SECTION 6. Retention Limits. — Except as otherwise provided in this Act, no person may own or retain,
directly or indirectly, any public or private agricultural land, the size of which shall vary according to factors
governing a viable family-size farm, such as commodity produced, terrain, infrastructure, and soil fertility as
determined by the Presidential Agrarian Reform Council (PARC) created hereunder, but in no case shall
retention by the landowner exceed five (5) hectares.
Three (3) hectares may be awarded to each child of the landowner, subject to the following qualifications:
(1) that he is at least fifteen (15) years of age; and (2) that he is actually tilling the land or directly managing
the farm: Provided, That landowners whose lands have been covered by Presidential Decree No. 27 shall
be allowed to keep the areas originally retained by them thereunder: Provided, further, That
original homestead grantees or their direct compulsory heirs who still own the original homestead at the
time of the approval of this Act shall retain the same areas as long as they continue to cultivate said
homestead.
The right to choose the area to be retained, which shall be compact or contiguous, shall pertain to the
landowner: Provided, however, That in case the area selected for retention by the landowner is tenanted,
the tenant shall have the option to choose whether to remain therein or be a beneficiary in the same or
another agricultural land with similar or comparable features. In case the tenant chooses to remain in the
retained area, he shall be considered a leaseholder and shall lose his right to be a beneficiary under this
Act. In case the tenant chooses to be a beneficiary in another agricultural land, he loses his right as a
leaseholder to the land retained by the landowner. The tenant must exercise this option within a period of
one (1) year from the time the landowner manifests his choice of the area for retention.
In all cases, the security of tenure of the farmers or farmworkers on the land prior to the approval of this Act
shall be respected.
Upon the effectivity of this Act, any sale, disposition, lease, management, contract or transfer of possession
of private lands executed by the original landowner in violation of the Act shall be null and void: Provided,
however, That those executed prior to this Act shall be valid only when registered with the Register of
Deeds within a period of three (3) months after the effectivity of this Act. Thereafter, all Registers of Deeds
shall inform the Department of Agrarian Reform (DAR) within thirty (30) days of any transaction involving
agricultural lands in excess of five (5) hectares.
Exception to Retention Limits
SECTION 6-A. Exception to Retention Limits. — Provincial, city and municipal government units
acquiring private agricultural lands by expropriation or other modes of acquisition to be used for actual,
direct and exclusive public purposes, such as roads and bridges, public markets, school sites, resettlement
sites, local government facilities, public parks and barangay plazas or squares, consistent with the approved
local comprehensive land use plan, shall not be subject to the five (5)-hectare retention limit under this
Section and Sections 70 and 73(a) of Republic Act No. 6657, as amended: Provided, That lands subject to
CARP shall first undergo the land acquisition and distribution process of the program: Provided, further,
That when these lands have been subjected to expropriation, the agrarian reform beneficiaries therein shall
be paid just compensation. (A new provision under RA 9700).
" "SEC. 6-B. Review of Limits of Land Size. — Within six (6) months from the effectivity of this Act, the DAR
shall submit a comprehensive study on the land size appropriate for each type of crop to Congress for a
possible review of limits of land sizes provided in this Act."
Acquisition and Distribution Scheme
SECTION 7. Priorities. — The Department of Agrarian Reform (DAR) in coordination with the Presidential
Agrarian Reform Council (PARC) shall plan and program the final acquisition and distribution of all
remaining unacquired and undistributed agricultural lands from the effectivity of this Act until June 30, 2014.
Lands shall be acquired and distributed as follows:
"Phase One: During the five (5)-year extension period hereafter all remaining lands above fifty (50)
hectares shall be covered for purposes of agrarian reform upon the effectivity of this Act. All private
agricultural lands of landowners with aggregate landholdings in excess of fifty (50) hectares which have
already been subjected to a notice of coverage issued on or before December 10, 2008; rice and corn lands
under Presidential Decree No. 27; all idle or abandoned lands; all private lands voluntarily offered by the
owners for agrarian reform: Provided, That with respect to voluntary land transfer, only those submitted by
June 30, 2009 shall be allowed: Provided, further, That after June 30, 2009, the modes of acquisition shall
be limited to voluntary offer to sell and compulsory acquisition: Provided, furthermore, That all previously
acquired lands wherein valuation is subject to challenge by landowners shall be completed and finally
resolved pursuant to Section 17 of Republic Act No. 6657, as amended: Provided, finally, as mandated by
the Constitution, Republic Act No. 6657, as amended, and Republic Act No. 3844, as amended, only
farmers (tenants or lessees) and regular farmworkers actually tilling the lands, as certified under oath by
the Barangay Agrarian Reform Council (BARC) and attested under oath by the landowners, are the qualified
beneficiaries. The intended beneficiary shall state under oath before the judge of the city or municipal court
that he/she is willing to work on the land to make it productive and to assume the obligation of paying the
amortization for the compensation of the land and the land taxes thereon; all lands foreclosed by
government financial institutions; all lands acquired by the Presidential Commission on Good Government
(PCGG); and all other lands owned by the government devoted to or suitable for agriculture, which shall be
acquired and distributed immediately upon the effectivity of this Act, with the implementation to be
completed by June 30, 2012;
"Phase Two: (a) Lands twenty-four (24) hectares up to fifty (50) hectares shall likewise be covered
for purposes of agrarian reform upon the effectivity of this Act. All alienable and disposable public
agricultural lands; all arable public agricultural lands under agro-forest, pasture and agricultural leases
already cultivated and planted to crops in accordance with Section 6, Article XIII of the Constitution; all
public agricultural lands which are to be opened for new development and resettlement; and all private
agricultural lands of landowners with aggregate landholdings: above twenty-four (24) hectares up to fifty
(50) hectares which have already been subjected to a notice of coverage issued on or before December
10, 2008, to implement principally the rights of farmers and regular farmworkers, who are landless, to own
directly or collectively the lands they till, which shall be distributed immediately upon the effectivity of this
Act, with the implementation to be completed by June 30, 2012; and
"(b) All remaining private agricultural lands of landowners with aggregate landholdings in excess of
twenty-four (24) hectares, regardless as to whether these have been subjected to notices of coverage or
not, with the implementation to begin on July 1, 2012 and to be completed by June 30, 2013;
"Phase Three: All other private agricultural lands commencing with large landholdings and
proceeding to medium and small landholdings under the following schedule:
"(a) Lands of landowners with aggregate landholdings above ten (10) hectares up to twenty-four
(24) hectares, insofar as the excess hectarage above ten (10) hectares is concerned, to begin on July 1,
2012 and to be completed by June 30, 2013; and
"(b) Lands of landowners with aggregate landholdings from the retention limit up to ten (10)
hectares, to begin on July 1, 2013 and to be completed by June 30, 2014; to implement principally the right
of farmers and regular farmworkers who are landless, to own directly or collectively the lands they till.
"The schedule of acquisition and redistribution of all agricultural lands covered by this program shall
be made in accordance with the above order of priority, which shall be provided in the implementing rules
to be prepared by the PARC, taking into consideration the following: the landholdings wherein the farmers
are organized and understand the meaning and obligations of farmland ownership; the distribution of lands
to the tillers at the earliest practicable time; the enhancement of agricultural productivity; and the availability
of funds and resources to implement and support the program: Provided, That the PARC shall design and
conduct seminars, symposia, information campaigns, and other similar programs for farmers who are not
organized or not covered by any landholdings. Completion by these farmers of the aforementioned
seminars, symposia, and other similar programs shall be encouraged in the implementation of this Act
particularly the provisions of this Section.
"Land acquisition and distribution shall be completed by June 30, 2014 on a province-by-province
basis. In any case, the PARC or the PARC Executive Committee (PARC EXCOM), upon recommendation
by the Provincial Agrarian Reform Coordinating Committee (PARCCOM), may declare certain provinces as
priority land reform areas, in which case the acquisition and distribution of private agricultural lands therein
under advanced phases may be implemented ahead of the above schedules on the condition that prior
phases in these provinces have been completed: Provided, That notwithstanding the above schedules,
phase three (b) shall not be implemented in a particular province until at least ninety percent (90%) of the
provincial balance of that particular province as of January 1, 2009 under Phase One, Phase Two (a),
Phase Two (b), and Phase Three (a), excluding lands under the jurisdiction of the Department of
Environment and Natural Resources (DENR), have been successfully completed.
"The PARC shall establish guidelines to implement the above priorities and distribution scheme, including
the determination of who are qualified beneficiaries: Provided, That an owner-tiller may be a beneficiary of
the land he/she does not own but is actually cultivating to the extent of the difference between the area of
the land he/she owns and the award ceiling of three (3) hectares: Provided, further, That collective
ownership by the farmer beneficiaries shall be subject to Section 25 of Republic Act No. 6657, as amended:
Provided, furthermore, That rural women shall be given the opportunity to participate in the development
planning and implementation of this Act: Provided, finally, That in no case should the agrarian reform
beneficiaries' sex, economic, religious, social, cultural and political attributes adversely affect the
distribution of lands." (RA 6657 as amended by RA 9700).
Exemption and Exclusions
SECTION 10. Exemptions and Exclusions. —
(a) Lands actually, directly and exclusively used and found to be necessary for parks, wildlife, forest
reserves, reforestation, fish sanctuaries and breeding grounds, watersheds, and mangroves shall be
exempt from the coverage of this Act.
(b) Private Lands actually, directly and exclusive used for prawn farms and fishponds shall be
exempt from the coverage of this Act. Provided, That said prawn farms and fishponds have not been
distributed and Certificate of Land Ownership Award (CLOA) issued to agrarian reform beneficiaries under
the Comprehensive Agrarian Reform Program.
In cases where the fishponds or prawn farms have been subjected to the Comprehensive Agrarian
Reform Law, by voluntary offer to sell, or commercial farms deferment or notices of compulsory acquisition,
a simple and absolute majority of the actual regular workers or tenants must consent to the exemption
within one (1) year from the effectivity of this Act. When the workers or tenants do not agree to this
exemption, the fishponds or prawn farms shall be distributed collectively to the worker-beneficiaries or
tenants who shall form a cooperative or association to manage the same.
In cases where the fishponds or prawn farms have not been subjected to the Comprehensive
Agrarian Reform Law, the consent of the farm workers shall no longer be necessary, however, the provision
of Section 32-A hereof on incentives shall apply.
(c) Lands actually, directly and exclusively used and found to be necessary for national defense,
school sites and campuses including experimental farm stations operated by public or private schools for
educational purposes, seeds and seedlings research and pilot production centers, church sites and
convents appurtenant thereto, mosque sites and Islamic centers appurtenant thereto, communal burial
grounds and cemeteries, penal colonies and penal farms actually worked by the inmates, government and
private research and quarantine centers and all lands with eighteen percent (18%) slope and over, except
those already developed shall be exempt from the coverage of this Act. (As amended by RA 7881 [1995]).
Tenurial and Labor Relations
CHAPTER III
Improvement of Tenurial and Labor Relations
SECTION 12. Determination of Lease Rentals. —In order to protect and improve the tenurial and
economic status of the farmers in tenanted lands under the retention limit and lands not yet acquired under
this Act, the DAR is mandated to determine and fix immediately the lease rentals thereof in accordance
with Section 34 of Republic Act No. 3844, as amended: Provided, That the DAR shall immediately and
periodically review and adjust the rental structure for different crops, including rice and corn, or different
regions in order to improve progressively the conditions of the farmer, tenant or lessee.
SECTION 13. Production-Sharing Plan. — Any enterprise adopting the scheme provided for in Section
32 or operating under a production venture, lease, management contract or other similar arrangement and
any farm covered by Sections 8 and 11 hereof is hereby mandated to execute within ninety (90) days from
the effectivity of this Act, a production-sharing plan, under guidelines prescribed by the appropriate
government agency.
Nothing herein shall be construed to sanction the diminution of any benefits such as salaries,
bonuses, leaves and working conditions granted to the employee-beneficiaries
under existing laws, agreements, and voluntary practice by the enterprise, nor shall the enterprise and its
employee-beneficiaries be prevented from entering into any agreement with terms more favorable to the
latter.
