DAR turns over Php15M road to LGU-Iguig

The Department of Agrarian Reform (DAR-Region 02) turned over the concreted farm-to-market (FMR) road in favor of the Local Government Unit (LGU) of Iguig, Cagayan on October 4, 2012. The project costs P15,400,643.22 funded by DAR-Agrarian Reform Infrastructure Support Project (DAR-ARISP), Phase III.

Ribbon cutting: L-R: Hon. Juditas Trinidad, DAR Regional Director Atty. Marjorie Ayson-Alzate, PARO Gil Acasili and DAR ASEC  Jose Z. Grajeda. 

The DAR-ARISP III project is funded jointly by the Government of the Philippines through the Department of Agrarian Reform (DAR) and by the Government of Japan through the Japan International Cooperation Agency (JICA). It involves a tripartite approach, a collaboration among the implementing agencies. It involves construction/rehabilitation of rural infrastructure such as irrigation facilities, farm-to-market roads, post harvest facilities, and rural water supply systems, agrarian reform information and marketing center building, development of coop-managed agri-business/rural enterprise/livelihood farmers’ organizations in the Agrarian Reform Communities (ARCs) through appropriate training and capacity building approaches.

The P15 million farm-to-market road (4.5 kms.) at Eastern Iguig Agrarian Reform Community. 

The 4.536-kilometer Farm-to-Market Road (FMR) traverses the barangays/villages of Minanga Sur, Sta. Barbara and San Esteban, which are also the component barangays of EASTERN IGUIG AGRARIAN REFORM COMMUNITY (Eastern Iguig ARC). An Agrarian Reform Community (ARC) is a barangay at the minimum or a cluster of contiguous barangays where there is a critical mass of farmers and farm workers awaiting the full implementation of agrarian reform. The farmers and the farm workers will anchor the integrated development of the area.

MARO Arthur Urata (speaking) and DF Edgar Cordova facilitated the realiztion of this DAR-ARISP project.  

The project was facilitated mainly by the DAR Municipal Agrarian Reform Officer, MARO Arthur Urata, presently assigned at DAR Municipal Office at Iguig, Cagayan and Edgar Cordova, the Development Facilitator (DF) at DARMO-Iguig. The project was strongly supported by the Local Government of Iguig led by the Mayor Hon. Juditas Trinidad and the Vice-Mayor, Hon. Ferdinand Trinidad as head of the Municipal Council.

Iguig town mayor, Hon. Juditas Trinidad

In the province of Cagayan, Farm-to-Market Roads are some of the support services being implemented under the agrarian reform program which traditionally serves to connect rural or agricultural areas to market towns, such as Tuguegarao City, where the major markets and distribution centers are located.

DAR Regional Director Atty. Marjorie Ayson-Alzate,

          The concrete farm-to-market road will provide the community with an all-weather barangay road and will also significantly help reduce the farmers’ costs of transporting their goods and reduce the travel time to the market and trading centers.

DAR ASEC Jose Z. Grajeda.

Project beneficiaries and stakeholders. 

The turn-over ceremony was attended by no less than DAR ASEC. Jose Z. Grajeda, DAR Regional Director, Atty. Marjorie Ayson-Alzate, PARO Virgilio Acasili, Mayor Juditas Trinidad, Vice-Mayor Ferdinand Trinidad, other public officials, members of the media, farmer-beneficiaries and other stakeholders. The event was facilitated by MARO Arthur Urata. cds/mtb
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DAR-Cagayan Tree Planting

The Department of Agrarian Reform Provincial Office (DARPO) in Tuguegarao City, Cagayan celebrated the 3^rd CARPER (R.A. No. 9700) Anniversary on August, 2012 with a tree planting activity at barangay Maddarulug, Solana, Cagayan wherein approximately 300 mahogany tree and other fruit tree seedlings were planted by the municipal agrarian reform officers (MAROs), division chiefs (CARPOs), and provincial agrarian reform officers (PAROs).   

For our children and our children's children...

The  tree planting activity is in line with the National Greening Program (NGP) pursuant to Executive Order No. 26, dated February 24, 2011 signed President Benigno S. Aquino, III which mandated the DA-DAR-DENR Convergence Initiative to develop a National Greening Program in cooperation with the Department of Education (DepEd), Commission on Higher Education (CHED), Department of Social Welfareand Development (DSWD), Department of Budget and Management (DBM), private sector and other concerned agencies and institutions. The program aims to plant trees on 1.5 million hectares for a period of six years from 2011 to 2016. It is a multi-sectoral project, as such, the project harmonizes all the greening efforts of both public and private sectors, such as the Upland Development Program, LuntiangPilipinas, etc.   

No, that's not an ARB, that's PARO Gil Acasili...

       Under the program, any individual, group, school, organization, or company can be a part of the NGP as a volunteer tree planter, or donor/sponsor of seedlings, planting tools, and other materials such as organic fertilizers. In fact, government employees and students (Grades 5-6, high school, and college) are expected to plant at least 10 seedlings a year.

A little more and we're done for today....

Barangays and state universities and colleges (SUCs) are also encouraged to establish nurseries for the NGP. The DAR is also targeting Agrarian Reform Communities (ARCs) to participate by encouraging them to establish nurseries and to plant fuel wood in order to reduce the need to cut down other trees for fuel.

Fertilizer please...

The NGP aims to plant a variety of trees such as, agroforestry species for the production zones and indigenous/native/endemic species for protection zones and urban areas.  /cds

Eastern Alcala ARC Peanuts at Pav-Vurulun Festival Fair

 Roasted In-Shell Peanuts from Eastern Alcala Agrarian Reform Community (Eastern Alcala ARC) were once again exhibited and sold at the PAV-VURULUN Festival Trade Fair at Tuguegarao City on August 8-16, 2012 at the 3^rd Floor, Mall of the Valley, Tuguegarao City on the occasion of the Patronal City Fiesta of Tuguegarao City, Cagayan (North).

Native peanuts thrive in the fertile soils of the Cagayan Valley Region, but in the municipality of Alcala, Cagayan province, it is grown and processed into a high-end commercial product. The Roasted In-Shell Peanuts of Alcala Rural Improvement Club (RIC) Multi-Purpose Cooperative (MPC) became even more popular when it received an award as one of the best processed food during the 9^th Agraryo Trade Fair held sometime in June, 2010 at the Megatrade Hall, SM Megamall in Mandaluyong City, Philippines.

9th Agraryo Trade Fair Best Processed Food...

Roasted In-Shell (or Inshell) Peanut is a good source of protein and the “good fat” meaning, it has naturally zero Cholesterol. It is now being considered as one of the better alternatives for daily snacks by health-conscious people and those who at risk of developing heart diseases.

AWRIC In-Shell Roasted Peanut 

Would you believe that a peanut is actually not a nut because it is a legume related to the beans and lentils? In fact, a study published in the American Journal of Clinical Nutrition sometime in December 1991 showed that diets high in monounsaturated fats from peanuts (including peanut butter) reduces a person’s risk from cardiovascular disease by as much as 21% compared to the standard American diet. It was also shown that eating a low-fat diet reduced the same risk by only 12%. One cup of In-Shell Roasted Peanuts yields 305 calories (shell not eaten, of course), which is broken down as 73% fat (the good fat), 9% carbohydrate and 18% protein.

This In-Shell Roasted Peanuts is manufactured by the Alcala Rural Improvement Club Multi-Purpose Cooperative located at Centro Sur, Alcala, Cagayan. It is an all-women organization and an agrarian reform beneficiary organization (ARBO) within the Eastern Alacala Agrarian Reform Community. /cds

Eastern Iguig ARC Water Supply System Completed

The Department of Agrarian Reform (DAR) has completed the construction and is ready to turn-over a Potable  Water Supply System (Level II) project at barangay Sta. Barbara, a component barangay of Eastern Iguig Agrarian Reform Community (Eastern Iguig ARC) in Iguig, Cagayan.

The Eastern Iguig ARC  Potable Water Supply project was funded by the Agrarian Reform Infrastructure Project III (ARISP-III)-Department of Agrarian Reform (DAR) and the Local Government Unit (LGU) of Iguig, Cagayan with a total project cost of P3,707,530.73 and is expected to benefit some 647 agrarian reform beneficiary households.

The potable water system in the ARC will significantly decrease the incidence of water-borne diseases among school children. It will also provide water for vegetable gardening activities and opportunities for rural enterprises among farming households in the area resulting to increase in income. cds/mtb

Php15M Farm-to-Market Road Completed in Iguig, Cagayan

The Department of Agrarian Reform (DAR) is scheduled to turn-over sometime in July 2012 in favor of the Local Government Unit (LGU) of Iguig in Cagayan province a 4.536-kilometer Farm-to-Market Road (FMR) traversing the barangays/villages of Minanga Sur, Sta. Barbara and San Esteban, which are also the component barangays of EASTERN IGUIG AGRARIAN REFORM COMMUNITY (Eastern Iguig ARC).

An Agrarian Reform Community (ARC) is a barangay at the minimum or a cluster of contiguous barangays where there is a critical mass of farmers and farm workers awaiting the full implementation of agrarian reform. The farmers and the farm workers will anchor the integrated development of the area.

Farm-to-Market Roads are some of the support services being implemented under the Comprehensive Agrarian Reform Program (CARP) which traditionally serves to connect rural or agricultural areas to market towns. In this case, from Eastern Iguig ARC to Tuguegarao City, where the major markets and distribution centers are located.

The concrete farm-to-market road will provide the agrarian farmer-beneficiaries, the members of their households  and the community in general with an all-weather barangay road and will also significantly help reduce the farmers’ costs of transporting their goods as well as their travel time to the market and trading centers, also, it will substantially increase their income due to savings from transport costs, lesser damage/spoilage to their goods, etc.

There are approximately 1,083 households who will benefit from the project at a cost of P15,498,684.90 funded by the Japan International Cooperation Agency (JICA)-Agrarian Reform Infrastructure Project-III (ARISP-III), Local Government Unit of Iguig (LGU-Iguig) and the Department of Agrarian Reform (DAR).

The completion of the concrete farm-to-market road will not only improve the living conditions of the people in Eastern Iguig ARC and its neighboring barangays/villages but it will also open more opportunities for economic development of the area. cds/mtb

Cooperatives: A New Perspective

I have always believed that one way for the Filipinos to rise from poverty is to be an entrepreneur. But I always hear that a major hindrance to becoming an entrepreneur is the perennial lack of capital for those who are interested to engage in some kind of business enterprise. Maybe unknown to them is the alternative of associating or organizing a pool of people who are similarly interested to pursue a business through a cooperative enterprise. In this way, a core number of individuals could pool money, human resources and talent to build capital, and work together to produce more goods and increase income.

            There are more than twenty thousand cooperatives operating in the Philippines as of October 2011 with a total membership of more than eleven million people composed of farmers, fisherfolk, women, workers, vendors, teachers, government employees, the military, rebel-returnees, and from other sectors who are mostly poor and disadvantaged but they believe in cooperativism and seriously desire to build a better life for them and their families through association and cooperation. These cooperatives in the Philippines have a combined assets of PHP158.6 billion.

            On a global perspective, reports from the International Cooperative Alliance (ICA) indicate that over one billion people are members of cooperatives. In Asia, there are 45.3 million members of cooperatives. In Indonesia, 27.5% of families are members of cooperatives. In Japan, 33% of families are members of cooperatives. In Singapore, 50% of the population are members of cooperatives. Membership in cooperatives have increased because of the benefits they derive from being members.

            The contributions of cooperatives into the national economy are also steadily increasing. Agricultural cooperatives in Japan, for instance, agricultural cooperatives generate outputs equivalent to US$90 billion. This may be due to the fact that 91% of the farmers are members of cooperatives. In South Korea, 90% of farmers are members of agricultural cooperatives which have contributed to an output of US$11 billion. Fishery cooperatives in South Korea have a market share of 71%. In Vietnam, cooperatives contribute 8.6% of the country’s gross domestic product. In the Philippines, the cooperative sector is still a growing sector which contributed 4.2% of the country’s gross regional product in 2007. Cooperatives contribute generating and maintaining employment. Worldwide, around one hundred million jobs are provided by cooperatives, which is 20% more than multinational business enterprises.   In the United States, 30,000 cooperatives provide more than 2 million jobs. In Canada, over 155,000 are employed by the sector. In Indonesia, cooperatives provide jobs to 288,600 individuals. Philippine cooperatives, on the other hand, provided jobs to 102, 977 people in 2007, about 0.30% of the country’s labor force. 

            When I attended the Cooperative Regional Conference in Echague, Isabela sometime in  2012, I was awed by the large number of people who are active members of cooperatives in the Cagayan Valley Region. During that meeting, we were provided with information about what is actually happening in Congress, about the efforts and bills introduced to harness and support the collective efforts to strengthen cooperatives of agrarian reform beneficiaries (ARBs), of agricultural cooperatives, and to consolidate these cooperatives to maximize benefits from economies of scale. There was also a suggestion for the cooperative members to support Senatorial candidates  are sympathetic to the cooperative sector (although in hushed tones).

            However, there are were issues that came out, specially local and national officials who are stifling the growth of cooperatives by disregarding or refusing to honor the tax benefits and privileges that cooperatives are expressly entitled to under the laws of the Philippines. Some agencies of the government like the Bureau of Internal Revenue (BIR) and some officials of Local Government Units (LGUs) have various interpretations of the law and deliberately make it difficult for cooperatives to obtain the Tax Exemption Certificate.

            While it is clear that the spirit of the law is for cooperatives to be given preferential tax treatment as expressed in the law, that is, Republic Act No. 6938, now Republic Act No. 9520, this is not happening in some parts of the Philippines. Even the Supreme Court, in the cases that it has decided ruled that, “cooperatives, including their members, deserve a preferential tax treatment because of the vital role they play in the attainment of economic development and social justice. Thus, although taxes are the lifeblood of the government, the State’s power to tax must give way to foster the creation and growth of cooperatives.”  Justice Isagani A. Cruz, as quoted by Rep. Jose R. Ping-Ay in one of his speeches in Congress, said that: “The power of taxation, while indispensable, is not absolute and may be subordinated to the demands of social justice.” 

         After all, it is true that sovereign power resides in the people, and all government authority emanates from them. Is it really? cds

Agrarian Reform Community Products at Aggaw Trade Fair

TUGUEGARAO CITY, June 23, 2012- Products from the Agrarian Reform Communities (ARCs) in Cagayan province were featured among the various LGUs’ trade fair booths participating in the 429^th Aggaw Nac Cagayan, a celebration of the civil government founding anniversary of Cagayan province from June 23 to 29, 2012. 

An ARC is a barangay at the minimum or a cluster of contiguous barangays where there is a critical mass of farmers and farm workers awaiting the full implementation of agrarian reform. The farmers and the farm workers will anchor the integrated development of the area.

           Among the ARC products on display and also being sold at the trade fair booths are: Banana Vinegar from PATASDA ARC in Allacapan; candied Tamarind Balls and Tamango (tamarind with mango) from Nasuerteca ARC in Amulung; Banana Chips from ESTEMARCONBAGA ARC also from Amulung; Mango puree and Banana Chips from MALULANI ARC in Sto Nino; Bamboo Lamps from ROBA ARC in Enrile; Milk Candies from Southcag ARC in Tuguegarao City; Organic Rice from SOWESFACO ARC in Solana; Roasted Peanuts from Greenfields ARC in Alcala; and a lot more organic fruits and vegetables from various ARCs. Most of the featured ARC products are on display by the LGUs because they are also the One-Town, One-Product (OTOP) adopted by the municipalities where the ARCs are located.

         The Aggaw Nac Cagayan is celebrated at the Cagayan Sports Complex where activities such as talents shows, painting exhibits, livelihood seminars, beauty contests, tournaments (Chess, Billiards, etc), concerts and fireworks. cds

Lighthouse Cooperative Engages Students for Summer Jobs

TUGUEGARAO CITY, SUMMER 2012 - One again, this year’s Sale in the City, a yearly summer sale promo of the Lighthouse Cooperative in Tuguegarao City has engaged a total of seventy (70) student-participants of the Department of Labor and Employment’s (DOLE) Special Program for Employment of Students (SPES) pursuant to Republic Act No. 9547, otherwise known as “An Act Strengthening  And Expanding The Coverage Of The Special Program For Employment Of Students, Amending For The Purpose Provisions Of R.A. No. 7323, Otherwise  Known As The Special Program For Employment Of Students.” The law allows any person or entity employing at least ten (10) persons may employ poor but deserving students fifteen (15) years of age but not more than twenty-five (25) years old, paying them a salary or wage not lower than the minimum wage for private employers and the applicable hiring rate for the national and local government agencies. It also provides a specific sharing of salaries for the SPES participants as follows: Sixty per centum (60%) of the said salary or wage shall be paid by the employers in cash and forty per centum (40%) by the government in the form of a voucher which shall be applicable in the payment for the students' tuition fees and books in any educational institution for secondary, tertiary, vocational or technical education: Provided, That local government units (LGUs) may assume responsibility for paying in full his salary or wages. The amount of the education vouchers shall be paid by the government to the educational institutions concerned within thirty (30) days from its presentation to the officer or agency designated by the Secretary of Finance (Section 2, R.A. 9547).

The Sale in the City is a project of the Lighthouse Cooperative which aims to provide an easy and convenient way to shop for school supplies at reduced prices and with more choices of goods, from notebooks to school uniforms. The Lighthouse Cooperative, for this purpose has installed booths for different items along its corridors inside the Jose Alma Arcade, along Luna corner Taft streets in Tuguegarao City.

It has entered into a partnership with the DOLE so it can help students earn some income during their summer break. The objective of the SPES is  to develop the intellectual capacities of children of poor families and harness their potentials for the country's well being. Specifically, the Program aims to help poor but deserving students pursue their education by providing income or augment their income through encouraging their employment during summer and/or Christmas vacations. The SPES is open to all qualified high school, college or vocational students or drop-outs and interested employers. /cds

SWIP-Based Aquaculture Livelihood Project Launched

Liwan Norte, Enrile, Cagayan -The local government units (LGU) of Cagayan province and Enrile town, in partnership with the Irrigators Association, the Bureau of Soils and Water Management under the Department of Agriculture, established a 20-hectare small water impounding project (SWIP) at Liwan Norte, a once sleepy village in the rural fourth class municipality of Enrile, Cagayan. It has dramatically transformed the lives of subsistence farmers and CARP beneficiaries.

The SWIP supplies irrigation water to some 104 hectares of farmlands and also serves as a fishpond which has increased fish production in the area. Presently, the fishpond has a stocking density of 5,000 fingerlings per hectare with a survival rate of 60%. There are also fish cages in the pond (5 x 10 x 2.5 meters) with a stocking density of 25 pieces of fingerlings per cubic meter with a 90% survival rate. According to the members of the Liwan Norte Irrigators Association, they have harvested more than 700 kilos of fish mainly tilapia from the 50-hectare Liwan Norte Small Water Impoundment Project since the start of fishing operation.

On April 15, 2011, the Small Water Impounding Project (SWIP)-based Aquaculture Livelihood Project was launched here through the Department of Agriculture, represented by Agriculture Assistant Secretary Salvador Salacup, who said that the government will continue to provide financial and technical support to the agricultural producers, but it is the producers who shall have the responsibility to maintain the facilities and sustain production.

Also present during the launching of the SWIP-Based Aquaculture Livelihood Project were Cagayan Gov. Alvaro T. Antonio and Congressman Randolph S. Ting of Cagayan’s 3rd District. They also encouraged the Enrile-LGU to develop the site into an eco-tourism park where boating, mountain biking, hiking, fishing and other tourism activities can be undertaken by quests and tourists especially during the summer. They gave their full support to the project including the development of farm-to-market roads, as the area is around fifteen kilometers from the national highway over winding and hilly gravel roads. /cds

PRIMER On Agricultural Leasehold System

What are the Laws on Leasehold?

Republic Act No. 1199 – An Act to Govern the Relations Between Landowners and Tenants of Agricultural Lands, August 30, 1954. Under this law, the tenant was given the right to choose a leasehold tenancy arrangement.

Republic Act No. 3844 – An Act known as Agricultural Land Reform Code Instituting Land Reform in the Philippines, including the abolition of Share Tenancy and the Channeling of capital Into Industry, August 8, 1963. Declared agricultural share tenancy to be contrary to public policy and was, thereby, abolished.

Republic Act No. 6389 – an Act amending R.A. No. 3844, known as the Agricultural Landreform Code, and other purposes, September 10, 1971. Provided for the automatic conversion of agricultural share tenancy to agricultural leasehold.

Republic Act No. 6657 – The Comprehensive Agrarian Reform Law, June 15, 1998. Mandated DAR to determine and fix immediately the lease rentals. Made all tenanted lands subject to leasehold.

What are the implications of the above-cited laws? The significant implications are: (1) abolition of share tenancy and conversion to agricultural leasehold now covers all agricultural lands without exception; (2) leasehold is no longer just an option, it exists by operation of law; and (3) leasehold can be a preliminary step to land ownership (areas covered by CARP). All share crop tenants were therefore, automatically converted into agricultural lessees as of June 15, 1988 whether or not a leasehold agreement has been executed. Landowners’ share is 25% of the produce while the lessee’s share is 75% of the produce.

What are the conditions set for tenancy relationship to exist? All the following conditions must be present for tenancy relationship to exist: (1) That the parties are the landholder and the tenant; (2) That the subject is agricultural land; (3) That there is consent by the landowner for the tenant to work on the land; (4) That the purpose is agricultural production; (5) That there is personal cultivation or with the help of the immediate farm household; and (6) That there is compensation in terms of payment of a fixed amount in money and/or produce.

What is personal cultivation? There is personal cultivation if the tenant cultivates the land himself/herself or with the aid of the immediate farm household. Immediate farm household refers to the members of the family of the lessee (tenant) and other persons who are dependent upon him/her for support and who usually help him/her in the activities.

What is cultivation? Cultivation is not limited to the plowing and harrowing of the land, but also husbanding of the ground to forward the products of the earth by general industry, the taking care of the land and fruits growing thereon, fencing of certain areas, and the clearing thereof by gathering dried leaves and cutting grasses. In coconut lands, cultivation includes the clearing of the landholding, gathering of coconuts, their piling, husking and handling, as well as the processing thereof into copra, although at times with the aid of hired laborers (Coconut Cooperative Marketing Association, Inc. vs. Court of Appeals, 164 SCRA 568; Hernandez vs. Court of Intermediate Appellate Court, et. Al., 189 SCRA 758).

Is there tenancy relationship where squatters are allowed by the landowner to cultivate the land for free? No, agricultural tenancy does not exist in this case since there is no expressed or implied agreement to undertake the cultivation of the land belonging to the landholder. No agreement exists in terms of share in harvest or payment in a fixed amount. It is, however, possible for the parties to subsequently enter into a leasehold relationship.

When shall tenancy relationship cease to exist? The agricultural leasehold relation is extinguished by any of the following: (1) abandonment of the landholding without the knowledge of the agricultural lessor/landholder; (2) voluntary surrender of the landholding by the tenant-lessee after giving notice to the lessor three (3) months in advance; or (3) absence of an heir to succeed the lessee in the event of his/her death or permanent incapacity. The leasehold relation is likewise extinguished when the lessee’s dispossession of the land is authorized by the DAR Adjudication Board (DARAB) or by the proper court in a judgement that is final and executory, for violations of the leasehold agreement or pertinent provisions of agrarian laws on leashold.

What are the grounds for dispossession/ejectment? (1) The tenant failed to substantially comply with the terms and conditions of the leasehold contract or with laws governing leasehold relations, unless the failure is caused by a fortuitous event or force majeur; (2) He/she planted crops or used the land for a purpose other than what had been previously agreed upon. DAR A.O. No. 05-93, however, now allows the tenant-lessee to intercrop or plant secondary crops after the rentals has been fixed, provided he/she shoulders the expenses; (3) He/she failed to adopt proven farm practices necessary to conserve the land, improve its fertility, and increase its productivity; (4) His/her fault or negligence resulted in the substantial damage, destruction, or unreasonable deterioration of the land or any permanent improvement thereon; (5) He/she does not pay the lease rentals when it falls due except when such non-payment is due to crop failure to the extent of 75% as a result of fortuitous event; or (6) He/she employed a sub lessee. The dispossession shall be by a final and executory judgment.

When is hired labor allowed? The lessee (tenant) can only employ hired labor if he/she is temporarily incapacitated and has no immediate family household who will do the cultivation.

Is the agricultural leasehold relation extinguished by death or permanent incapacity of any of the parties? No, in case the tenant-lessee dies or is permanently incapacitated, the leasehold relation shall continue between the agricultural lessor (landholder) and the member of the lessee’s immediate farm household who can personally cultivate the land. Such person shall be chosen by the lessor within one month from such death or permanent incapacity from the following: (1) the surviving spouse; (2) the eldest direct descendant by consanguinity; or (3) the next eldest descendant or descendants in the order of their age. If the death or personal incapacity of the lessee occurs during the agricultural year, the choice by the lessor shall be done at the end of that agricultural year. If the lessor fails to exercise his choice within the prescribed period, the above-mentioned order of priority shall be followed. In case of death or permanent incapacity of the lessor (landholder), the leasehold relation shall bind his/her legal heirs.

What is the effect of transfer of legal ownership of the land? Leasehold is not extinguished with the transfer of legal ownership of the land from one landowner to another. The law provides that the purchaser or transferee shall be subrogated to the rights and substituted to the obligations of the agricultural lessor. More info at www.dar.gov.ph 

/cds’06