Spanish Agricultural Land: Ownership, Structure, Tenure

Land Ownership Regimes in Spain

Property allows for the free use and exploitation of land. The dominant form of property in Spain is private, characterized by a duality: a very high number of small owners with little land, and a small number of large owners who concentrate much of the land. One significant problem is the fragmentation of land into a multitude of small parcels. Small properties dominate the northern half, the Levante, and the Mediterranean coast, while extremely large farms are prevalent in Andalusia and western Castilla-La Mancha.

Historically, there were three main types of land ownership:

• Collective Ownership: Land whose ownership corresponded to villages and municipalities, integrated by communal lands (or bienes comunales).
• Estates (Entailed Property): Belonging to the Church and nobility. Land belonging to the nobility comprised the manors (señoríos). Church property came from purchases and donations. Both types of property could not be sold, having been 'tied up' (manos muertas – literally 'dead hands').

The disentailment (desamortización) of Church and civil properties began with Mendizábal in 1836, involving the seizure and sale of Church lands. This was followed by Madoz's disentailment in 1855, which led to the privatization of communal and municipal lands. These processes resulted in a remarkable concentration of property and the proletarianization of the peasantry.

Farm Structure and Classification

Farm structures are characterized by their relationship to ownership, distinguishing between smallholdings (minifundios) and large estates (latifundios). In Spain, half of all farms are minifundios. Since the first agricultural census in 1962, the number of farms has decreased due to rural exodus.

Holdings are classified into small, medium, and large (latifundia). The importance of a holding does not solely depend on its surface area, and therefore its economic profitability. Very large holdings may be unprofitable, while medium-sized ones can generate significant income. To standardize comparison, the ESU (European Size Unit) is used, equivalent to 1,000 euros of standard gross margin. Spanish farms are generally smaller than the European average.

Land Tenure Regimes

Land tenure regimes distinguish between direct and indirect exploitation:

• Direct Exploitation: The holder of the farm owns the land.
• Indirect Exploitation: The operator of the farm does not own the land.

The main forms of indirect tenure are:

• Leasing (Arrendamiento): Provides a fixed and stable income through payment in cash or kind, regardless of the harvest outcome.
• Sharecropping (Aparcería): A partnership where the landowner provides the land and the tenant provides the labor. Costs and benefits are distributed as agreed, often 50/50.

These indirect tenure schemes have historically been very important in the Spanish agricultural sector. Today, direct exploitation is increasing, while leasing and sharecropping are decreasing.