[Free Pass Farmland Qualification⑨] Issued to Soccer Players, LH Employees, and Members of the National Assembly... What Do You Think About 'Gyeongja Yujeon'?

Easy Farmland Acquisition for Non-Farmers...A Breeding Ground for Speculation
Calls to Reconsider the Obsolete 'Gyeongja Yujeon' Principle
98.27% Pass Rate for Farmland Qualification Certificates in Gyeonggi Province Over 5 Years

[Image source=Yonhap News]

[Asia Economy Reporters Chae-eun Koo, Dong-pyo Kim] “The state must strive to ensure the principle of Gyeongja Yujeon (the person who farms owns the land) is achieved regarding farmland, and the tenant farming system (farming on someone else’s land) is prohibited.”

This is stated in Article 121 of the Constitution. The key term is ‘Gyeongja Yujeon (耕者有田)’. The Constitution declares the principle of Gyeongja Yujeon, and detailed regulations are specified in the Farmland Act. However, there is a significant gap between the legal provisions and reality.

The Principle of Gyeongja Yujeon Has Become Ineffective... Many Farmlands Owned by Non-Farmers

Recently, soccer player Ki Sung-yong is suspected of hastily obtaining a farmland acquisition qualification certificate by submitting a farming plan stating he would cultivate field crops. The wife of Jeonju Mayor Kim Seung-su, Choi, the mother-in-law of former Prosecutor General Yoon Seok-yeol, and others who are not farmers have been suspected of violating the Farmland Act by owning farmland. LH employees, who triggered land speculation suspicions, also became problematic for fraudulently obtaining farmland acquisition qualification certificates in places like Gwangmyeong and Siheung to engage in farmland speculation.

Cases of ‘violations of the Farmland Act’ are widespread and are even regarded as customary practice rather than isolated misconduct or illegal acts. According to the Citizens’ Coalition for Economic Justice, among 300 members of the National Assembly, 76 (25.3%) own farmland, and among 1,862 senior government officials, 719 (38%, including spouses) own farmland.

In particular, according to the Citizens’ Coalition for Economic Justice, the 76 members of the 21st National Assembly who own farmland possess a total of approximately 120,968 pyeong (40 hectares) worth 13,361.39 million KRW. On average, each owns about 1,592 pyeong (0.52 hectares) of farmland valued at 175 million KRW.

On the other hand, actual farmers face a severe shortage of land. According to the Korea Rural Economic Institute, the farmland owned by agricultural workers was 944,000 hectares (as of 2015), which is only 56.2% of the cultivated area. Last month, farmers affiliated with the National Farmers’ Federation Busan-Gyeongnam branch held a ‘Press Conference Condemning Farmland Speculation,’ stating, “We are dismayed that farmland is one of the easiest targets for speculation,” and emphasized, “To prevent the recurrence of farmland speculation and prepare for the food crisis, the Farmland Act must be completely revised so that only farmers who cultivate the land can own farmland.”

The Farmland Act Must Be Fully Reexamined to Reflect Reality

On the 10th, saplings such as Salix koriyanagi were planted on a piece of land in Mujinae-dong, Siheung-si, Gyeonggi-do, where allegations of land speculation by some employees of Korea Land and Housing Corporation (LH) in the Gwangmyeong and Siheung new towns have been raised. / Siheung - Photo by Kim Hyun-min kimhyun81@

For this reason, voices are growing for appropriate amendments to the Farmland Act to prevent farmland from being used as a means of land speculation. Although a partial amendment to the Farmland Act, which explicitly states that farmland owned by outsiders must be used only for agriculture, passed the National Assembly in March, discussions in the National Assembly regarding amendments related to strengthening restrictions on non-farmers owning farmland have yet to gain momentum.

Attorney Lim Young-hwan of the Citizens’ Coalition for Economic Justice said, “It is necessary to establish a provision in the Farmland Act mandating a full survey of farmland ownership and use, and to set up a farmland review organization.” Professor Sa Dong-cheon of Hongik University Law School pointed out that the provision allowing farmland acquisition certificates to be ‘leased’ is problematic. Professor Sa explained, “Article 23, Paragraph 1, Item 6 of the Farmland Act contains leasing regulations, and anyone who obtains a farmland acquisition qualification certificate can immediately lease the land without any issues,” adding, “The clause that allows 100% evasion must be amended, and the post-verification system should be strengthened.”

Debate Over the Principle of Gyeongja Yujeon... Ongoing

However, some experts believe that the principle of Gyeongja Yujeon, which does not align with current realities, needs to be reconsidered, so debates surrounding ‘Gyeongja Yujeon’ are expected to continue. While strictly screening non-farmers owning farmland for speculative purposes, they argue that changes in transaction realities such as weekend farms, experiential farming, and smart agriculture should also be taken into account.

Professor Lee Byung-tae of KAIST Business School criticized on Facebook, “The person who owns the most farmland in the United States is Bill Gates,” and said that the regulations on land use and ownership based on the outdated principle of Gyeongja Yujeon are something that only Korea treats as a crime worldwide.

Professor Shim Kyo-eon of Konkuk University’s Department of Real Estate said, “It is nonsense to maintain a principle created when the agricultural population was close to 60%,” and added, “The Farmland Act should be revised to reflect market transaction realities, normalize abnormal practices, and at the same time, a reexamination and discussion of the ‘Gyeongja Yujeon’ principle are necessary.”