• TABLE OF CONTENTS
HIDE
 Front Cover
 Title Page
 Table of Contents
 Preface
 Foreword
 Goals
 New lands settlement defined
 Methodological design
 Settlement success defined
 New lands settlement stages
 Basic issues associated with stage...
 Basic issues associated with stage...
 Basic issues associated with stages...
 An ideal settlement process
 Reference
 Back Cover






Group Title: AID program evaluation discussion paper - U.S Agency for International Development - no. 21
Title: development potential of new lands settlement in the tropics and subtropics
CITATION PAGE IMAGE ZOOMABLE PAGE TEXT
Full Citation
STANDARD VIEW MARC VIEW
Permanent Link: http://ufdc.ufl.edu/UF00054774/00001
 Material Information
Title: development potential of new lands settlement in the tropics and subtropics
Series Title: AID program evaluation discussion paper - U.S Agency for International Development - no. 21
Physical Description: Book
Language: English
Creator: Scudder, Thayer
Publisher: U.S. Agency for International Development
Publication Date: 1984
 Subjects
Subject: Farming   ( lcsh )
Agriculture   ( lcsh )
Farm life   ( lcsh )
 Notes
Funding: Electronic resources created as part of a prototype UF Institutional Repository and Faculty Papers project by the University of Florida.
 Record Information
Bibliographic ID: UF00054774
Volume ID: VID00001
Source Institution: University of Florida
Holding Location: University of Florida
Rights Management: All rights reserved by the source institution and holding location.
Resource Identifier: oclc - 11700242

Table of Contents
    Front Cover
        Front Cover
    Title Page
        Title Page 1
        Title Page 2
    Table of Contents
        Page i
        Page ii
        Page iii
    Preface
        Page iv
    Foreword
        Page v
        Page vi
    Goals
        Page 1
    New lands settlement defined
        Page 1
        Introduction
            Page 1
            Page 2
        Types of new lands settlement
            Page 3
            Spontaneous settlement with very little government or other assistance
                Page 3
            Spontaneous settlement facilitated by government and other agencies
                Page 4
            Voluntary settlement sponsored by government and other agencies
                Page 5
            Compulsory settlement sponsored primarily by government agencies
                Page 5
        The magnitude of contemporary settlement
            Page 5
        Current justification for government involvement in new lands settlement
            Page 6
    Methodological design
        Page 7
    Settlement success defined
        Page 7
        Scale
            Page 8
        The spacial layout of settler communities and their relationship to rural towns
            Page 9
        Diversifying farming systems
            Page 9
        Net income of settler families
            Page 10
        Employment generation
            Page 11
            Owner/operators and their families
                Page 12
            Seasonal and permanent laborers
                Page 12
            Nonfarm employment
                Page 13
        National development policies
            Page 14
    New lands settlement stages
        Page 14
        Introduction
            Page 14
        Settlement stages
            Page 14
            Stage one: planning, initial infrastructural development, and settler recruitment
                Page 15
                Feasibility studies, planning, and design
                    Page 15
                Construction of initial infrastructure and settle recruitment
                    Page 16
            Stage two: the transition stage
                Page 16
                Page 17
            Stage three: economic and social development
                Page 18
            Stage four: handing over and incorporation
                Page 19
                Handing over
                    Page 19
                Incorporation
                    Page 19
    Basic issues associated with stage one planning, initial infrastructure development, and recruitment
        Page 20
        Introduction
            Page 20
        Planning
            Page 20
            Keeping the plan as simple as possible
                Page 20
            Keeping financial costs per settler within reasonable limits
                Page 20
                Settlement type
                    Page 20
                Location of settlement
                Involvement of the private sector
                    Page 21
                Worker/settlers
                    Page 21
                Housing
                    Page 21
                Roads
                    Page 22
                The phasing of infrastructure
                    Page 22
                Facilitating the development of existing rural towns
                    Page 22
            Feasibility and planning studies for siting new lands settlements
                Page 22
        Planning farming systems
            Page 23
            Introduction
                Page 23
            The need for research
                Page 23
        Phasing infrastructure
            Page 24
        Settler recruitment and policy
            Page 25
            Introduction
                Page 25
            Settler mix
                Page 25
            Recruitment
                Page 26
            Middle-class settlers
                Page 27
            Exclusions
                Page 28
            Settler homogeneity
                Page 28
            Land acquisition, land tenure, and land use
                Page 29
                Land acquisition
                    Page 29
                Land, tenure and land use
                    Page 29
            Target income and settlement pattern
                Page 30
            Size of the household plot
                Page 30
    Basic issues associated with stage two (the transition stage)
        Page 30
        The dropout problem: Illness and indebtedness
            Page 30
        Dependency and subsidization versus paying for development
            Page 31
            Dependency
                Page 31
            Subsidization, food aid, and paying for development
                Page 31
        Orientation
            Page 32
        Extension
            Page 32
        Courses for settlers and training community extension agents from among settler families
            Page 33
        Local participation and settler organizations
            Page 34
        Short and medium term credit
            Page 34
            The type of credit
                Page 35
            Individuals as sources of credit
                Page 35
            Institutional sources of credit
                Page 35
                Settlement agencies
                    Page 35
                Other government agencies and private institutions
                    Page 36
                Settler organizations
                    Page 36
            Interest rates
                Page 36
            Repayment
                Page 37
            Eviction of settlers
                Page 37
    Basic issues associated with stages three and four economic and social development; handing over and incorporation.
        Page 37
        Management
            Page 37
            Introduction
                Page 37
            Centralized and autonomous government management agencies versus coordinating agencies
                Page 38
                Parastatal management agencies
                    Page 38
                Coordinating settlement agencies
                    Page 39
        Marketing facilities and settler run cooperatives
            Page 40
        Ecological impacts of new lands settlement
            Page 41
        Research
            Page 41
    An ideal settlement process
        Page 42
        Page 43
        Page 44
        Page 45
        Page 46
        Page 47
    Reference
        Page 48
        Page 49
        Page 50
        Page 51
        Page 52
        Page 53
        Page 54
        Page 55
        Page 56
    Back Cover
        Page 58
Full Text
,:24.






A.I.D. Program Evaluation Discussion Paper No. 21

The Development Potential Of New Lands
Settlement In The Tropics And Subtropics:
A Global State-Of-The-Art-Evaluation With
Specific Emphasis On Policy Implications


September 1984
U.S. Agency for International Development (AID)


PN-AAL-039
















The Development Potential Of New Lands Settlement In The Tropics
and Subtropics: A Global State-Of-The-Art Evaluation
With Specific Emphasis On Policy Implications

Executive Summary




A.I.D. Evaluation Discussion Paper No. 21




by




Thayer Scudder
Institute for Development Anthropology
and
California Institute of Technology


U.S. Agency for International Development




September 1984








The views and interpretations expressed in this report are those of the
author and should not be attributed to the Agency for International
Development.

































A.I.D. EVALUATION PUBLICATIONS


A complete list of reports issued in the A.I.D. Evaluation Publications
series is included in the back of this document, together with
information for ordering reports.









-i-


EXECUTIVE SUMMARY CONTENTS


I. GOALS . . . . .


II. NEW LANDS SETTLEMENT DEFINED . .. . .


A. INTRODUCTION . . . . .


B. TYPES OF NEW LANDS SETTLEMENT. . . .


1. Spontaneous Settlement with Very Little
Government or Other Assistance . .
2. Spontaneous Settlement Facilitated by Government
and Other Agencies . . ..
3. Voluntary Settlement Sponsored by Government
and Other Agencies . . . .
4. Compulsory Settlement Sponsored Primarily
by Government Agencies . . . .


C. THE MAGNITUDE OF CONTEMPORARY SETTLEMENT . .


D. CURRENT JUSTIFICATION FOR GOVERNMENT INVOLVEMENT
IN NEW LANDS SETTLEMENT . . . .


III. METHODOLOGICAL DESIGN . . . . .


IV. SETTLEMENT SUCCESS DEFINED . .. . .


A. SCALE . . . . .


B. THE SPACIAL LAYOUT OF SETTLER COMMUNITIES AND THEIR
RELATIONSHIP TO RURAL TOWNS . . .


C. DIVERSIFYING FARMING SYSTEMS . . .


D. NET INCOME OF SETTLER FAMILIES . . .


E. EMPLOYMENT GENERATION . . . .


1. Owner/Operators and Their Families . .
2. Seasonal and Permanent Laborers . .
3. Nonfarm Employment . . . .


F. NATIONAL DEVELOPMENT POLICIES . . .


V. NEW LANDS SETTLEMENT STAGES . . . .


A. INTRODUCTION . . . . .


B. SETTLEMENT STAGES . .. . .






























































- ii -


1. Stage One: Planning, Initial Infrastructural
Development, and Settler Recruitment . .
a. Feasibility Studies, Planning, and Design
b. Construction of Initial Infrastructure
and Settler Recruitment . . .
2. Stage Two: The Transition Stage . .
3. Stage Three: Economic and Social Development
4. Stage Four: Handing Over and Incorporation
a. Handing Over . . . .
b. Incorporation . . .

VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment] .


A. INTRODUCTION . .. . . .


. .
. .


. .


B. PLANNING . . ... . . . .


1. Keeping the Plan as Simple as Possible .
2. Keeping Financial Costs per Settler Family
Within Reasonable Limits.. . ..
a. Settlement Type . . .
b. Location of Settlement . .
c. Involvement of the Private Sector .
d. Worker/Settlers . . .
e. Housing . . . .
f. Roads . . . .
g. The Phasing of Infrastructure . .
h. Facilitating the Development of Existing
3. Feasibility and Planning Studies for Siting
New Lands Settlements . .


. . .


. .
*
* .
* .
* .
* .
* .
* .
Rura


* ,
* .
. .
* .






Towns


. . .


C. PLANNING FARMING SYSTEMS . . . . ..


1. Introduction . . . . . .
2. The Need for Research . . .. . .

D. PHASING INFRASTRUCTURE . . . . .


E. SETTLER RECRUITMENT AND POLICY . . . .


Introduction . .
Settler Mix . .
Recruitment . .
Middle-Class Settlers .
Exclusions . . .
Settler Homogeneity . .
Land Acquisition, Land Tenure,
a. Land Acquisition . .
b. Land Tenure and Land Use .


. .


. .




and Land Use
. .
. .








- iii -


8. Target Income and Settlement Pattern . . .
9. Size of the Household Plot . . . .

VII. BASIC ISSUES ASSOCIATED WITH STAGE TWO [The Transition Stage] .

A. THE DROPOUT PROBLEM: ILLNESS AND INDEBTEDNESS . .

B. DEPENDENCY AND SUBSIDIZATION VERSUS PAYING FOR DEVELOPMENT .

1. Dependency . . . . . .
2. Subsidization, Food Aid, and Paying for Development .

C. ORIENTATION . . . . . . .

D. EXTENSION . . . . . . .

E. COURSES FOR SETTLERS AND TRAINING COMMUNITY EXTENSION
AGENTS FROM AMONG SETTLER FAMILIES . . . .

F. LOCAL PARTICIPATION AND SETTLER ORGANIZATIONS . .

G. SHORT AND MEDIUM TERM CREDIT . . . . .

1. The Type of Credit . .. ..............
2. Individuals as Sources of Credit .. . ......
3. Institutional Sources of Credit . . . .
a. Settlement Agencies . .. . ..
b. Other Government Agencies and Private Institutions .
c. Settler Organizations . . . .
4. Interest Rates . . ...
5. Repayment . . . .
6. Eviction of Settlers . ..... .

VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation].

A. MANAGEMENT .. . . . ............

1. Introduction . . . ...... ..
2. Centralized and Autonomous Government Management


Agencies Versus Coordinating Agencies . .
a. Parastadal Management Agencies . .
b. Coordinating Settlement Agencies . .

B. MARKETING FACILITIES AND SETTLER RUN COOPERATIVES .

C. ECOLOGICAL IMPACTS OF NEW LANDS SETTLEMENT ..

D. RESEARCH . . . . . .

IX. AN IDEAL SETTLEMENT PROCESS . . . .















- iv -


PREFACE


The Center for Development Information and Evaluation's interest in
this paper grew out of our work in both integrated rural development and
irrigation. The lessons and analysis have been useful in our reviews of
both. The paper was written in 1981 for AID's Bureau for Science and
Technology, Office of Rural and Institutional Development. The
continuing interest in resettlement throughout the Agency indicated the
importance of getting this experience widely disseminated. Therefore,
the two offices joined in reprinting this excellent work to exploit the
report's potential to the fullest.

The length of the full report (406pp.,) limits us to reprinting the
executive summary. The Johns Hopkins University Press is publishing a
revised and updated version in book form so the full report soon will be
available to the general public. Meanwhile, we hope the readers find
this summary version useful and interesting.





W. Haven North
Associate Assistant Administrator
Center for Development
Information and Evaluation
Bureau for Program and Policy
Coordination





Eric Chetwynd, Division Chief
Regional and Rural Development
Division
Office of Rural and
Institutional Development
Bureau for Science & Technology








v -
FOREWORD


An earlier edition of this paper was submitted to The Rural
Development Division, Bureau for Science and Technology in October, 1981
as the executive summary of a global evaluation of the development
potential of new lands settlement in the tropics and subtropics
(AID/DSAN-G-0140). The history of that evaluation dates back to 1977
when the Institute for Development Anthropology (IDA) submitted an
unsolicited research proposal to AID. This attracted the interest of Dr.
Alice Morton who played a major role as the responsible project officer
in eliciting the interest of several country missions and in securing
approval and funding during 1979. Evaluatory research began that summer
under my supervision and continued until October, 1981 when a 406 page
report was submitted to AID. Since both the 1981 report and the
executive summary have received only limited circulation, I am delighted
that the A.I.D. Center for Development Information and Evaluation has
decided to publish the summary within its ongoing series of evaluation
reports.

As outlined on page seven, the methodological design of the 1979-1981
evaluation included three components. These were a literature search
which provided systematic information on over 100 settlement areas in 35
countries plus Micronesia and Melanesia; field studies in four countries
in Africa and Asia by grantees funded through the evaluation; and site
visits by myself to those countries and five others in Africa, Asia and
the Middle East.

Though the initial evaluation ended in late 1981, assessment of the
policy implications of new lands settlement as a development intervention
continues today through the Clark University/Institute for Development
Anthropology Cooperative Agreement on Settlement and Resource Systems
Analysis (SARSA) which is also funded through ST/RD/RRD. Since SARSA has
provided continuity to the research started in 1979 as well as the
possibility of new research, it is appropriate that this report should be
considered part of the Cooperative Agreement's published outputs.

Continuity of research continues in Sri Lanka where Kapila P.
Wimladharma and I carried out evaluations of the settlement component of
the Accelerated Mahaweli Project (AMP) in 1979, 1980, 1981 and 1983.
While the earlier research was funded under "the global evaluation", in
1983 the Cooperative Agreement supported Wimaladharma's ongoing
involvement. As for new research, a Cooperative Agreement proposal that
evaluatory research be undertaken in the San Julien settlement area in
Bolivia has been well received by AID/La Paz and the relevant government
agency (FIDES). Evaluatory research may also be extended to other
settlement areas of the humid tropics of South America.

Since fieldwork under "the global evaluation" was not undertaken in
Latin America, this research provides an opportunity to assess the
utility of the conceptual framework and conclusions presented in this
report against the Latin American experience. Also a possibility is an
expansion of SARSA's involvement in the 1984 Mahaweli research program in








- vi -


Sri Lanka to include studies of how the AMP can best realize its
potential for generating more farm and nonfarm employment.

Current research on new lands settlement through the Cooperative
Agreement, and through other Institute for Development Anthropology
projects with a settlement component in Zimbabwe, Zambia, Sudan and India
supports the major points presented in this report. Though over two
years have passed since its submission to AID, I have no major revisions
to suggest at this time. The Institute for Development Anthropology has
begun an assessment of the World Bank's experience with new lands
settlements which will be based on comparative analysis of the Bank's
project completion and evaluatory audits for at least 30 settlement
projects. To be completed later this year, this assessment will provide
a further opportunity to test and expand the framework and conclusions
which are presented in this report.


Thayer Scudder













I. GOALS


This global evaluation of new lands settlements in the tropics
and subtropics has had two major goals throughout. The first was to
provide a "state-of-the-art" analysis of new lands settlement as a
development option for settler, farm laborer and nonfarm families;
national development agencies; and international donors. The second
was to demonstrate the development implications of current knowledge
in order to provide information which could be used for improving
settlement design, implementation, management, and evaluation.


II. NEW LANDS SETTLEMENT DEFINED

A. INTRODUCTION

New lands settlement is defined as the spontaneous and
sponsored settlement of areas which are largely uncultivated at the
time of their occupation. It includes what has been referred to in
the literature as "colonization" (especially in Latin America and in
Indonesia prior to independence), "resettlement," and "transmigration."
All these terms emphasize the settlement of land by people rather than
land reclamation or land preparation as such.

Aided by international development assistance, many national
governments have attempted to plan and implement sponsored settlements
as one of a variety of mechanisms to realize various economic, social,
and political goals. Generally speaking, sponsored settlers are
selected from established communities according to a relatively narrow
set of age and other criteria and then are required to follow a closely
supervised program of agricultural development for the production of
annual and perennial crops. To date, returns have been disappointing,
while costs per settler family have increased steadily. According to
the World Bank's Agricultural Land Settlement (1978b:16), "Typically,
evaluation of settlement projects three to five years after the start
of implementation shows economic rates of return at least 50 percent
below those in project appraisal documents." (Van Raay and Hilhorst
[1981:7] make the same general point.) Even in the more "successful"
cases multiplier effects have not been impressive. Unfortunately few
evaluations are carried out over longer time intervals so that planners
tend to be unaware of those cases in which major multiplier effects have
occurred and, of course, they also tend to be unaware of the nature of
these effects.

Governments have also exaggerated the capacity of new lands
settlements to absorb population surpluses. According to the World
Bank's Agricultural Land Settlement, massive government sponsored
settlement in Indonesia over a twenty-year period has absorbed only













I. GOALS


This global evaluation of new lands settlements in the tropics
and subtropics has had two major goals throughout. The first was to
provide a "state-of-the-art" analysis of new lands settlement as a
development option for settler, farm laborer and nonfarm families;
national development agencies; and international donors. The second
was to demonstrate the development implications of current knowledge
in order to provide information which could be used for improving
settlement design, implementation, management, and evaluation.


II. NEW LANDS SETTLEMENT DEFINED

A. INTRODUCTION

New lands settlement is defined as the spontaneous and
sponsored settlement of areas which are largely uncultivated at the
time of their occupation. It includes what has been referred to in
the literature as "colonization" (especially in Latin America and in
Indonesia prior to independence), "resettlement," and "transmigration."
All these terms emphasize the settlement of land by people rather than
land reclamation or land preparation as such.

Aided by international development assistance, many national
governments have attempted to plan and implement sponsored settlements
as one of a variety of mechanisms to realize various economic, social,
and political goals. Generally speaking, sponsored settlers are
selected from established communities according to a relatively narrow
set of age and other criteria and then are required to follow a closely
supervised program of agricultural development for the production of
annual and perennial crops. To date, returns have been disappointing,
while costs per settler family have increased steadily. According to
the World Bank's Agricultural Land Settlement (1978b:16), "Typically,
evaluation of settlement projects three to five years after the start
of implementation shows economic rates of return at least 50 percent
below those in project appraisal documents." (Van Raay and Hilhorst
[1981:7] make the same general point.) Even in the more "successful"
cases multiplier effects have not been impressive. Unfortunately few
evaluations are carried out over longer time intervals so that planners
tend to be unaware of those cases in which major multiplier effects have
occurred and, of course, they also tend to be unaware of the nature of
these effects.

Governments have also exaggerated the capacity of new lands
settlements to absorb population surpluses. According to the World
Bank's Agricultural Land Settlement, massive government sponsored
settlement in Indonesia over a twenty-year period has absorbed only













I. GOALS


This global evaluation of new lands settlements in the tropics
and subtropics has had two major goals throughout. The first was to
provide a "state-of-the-art" analysis of new lands settlement as a
development option for settler, farm laborer and nonfarm families;
national development agencies; and international donors. The second
was to demonstrate the development implications of current knowledge
in order to provide information which could be used for improving
settlement design, implementation, management, and evaluation.


II. NEW LANDS SETTLEMENT DEFINED

A. INTRODUCTION

New lands settlement is defined as the spontaneous and
sponsored settlement of areas which are largely uncultivated at the
time of their occupation. It includes what has been referred to in
the literature as "colonization" (especially in Latin America and in
Indonesia prior to independence), "resettlement," and "transmigration."
All these terms emphasize the settlement of land by people rather than
land reclamation or land preparation as such.

Aided by international development assistance, many national
governments have attempted to plan and implement sponsored settlements
as one of a variety of mechanisms to realize various economic, social,
and political goals. Generally speaking, sponsored settlers are
selected from established communities according to a relatively narrow
set of age and other criteria and then are required to follow a closely
supervised program of agricultural development for the production of
annual and perennial crops. To date, returns have been disappointing,
while costs per settler family have increased steadily. According to
the World Bank's Agricultural Land Settlement (1978b:16), "Typically,
evaluation of settlement projects three to five years after the start
of implementation shows economic rates of return at least 50 percent
below those in project appraisal documents." (Van Raay and Hilhorst
[1981:7] make the same general point.) Even in the more "successful"
cases multiplier effects have not been impressive. Unfortunately few
evaluations are carried out over longer time intervals so that planners
tend to be unaware of those cases in which major multiplier effects have
occurred and, of course, they also tend to be unaware of the nature of
these effects.

Governments have also exaggerated the capacity of new lands
settlements to absorb population surpluses. According to the World
Bank's Agricultural Land Settlement, massive government sponsored
settlement in Indonesia over a twenty-year period has absorbed only








-2-


about 5 percent of the population increase in Java during the same
time period, while Kenya's major settlement program over a ten-year
period has only absorbed approximately 10 percent of the population
increase. In Latin America, Nelson reports that new lands settlement
has absorbed only 2 percent of the rural population increase
(1973:198). This is the general situation.

It would be a mistake, however, to conclude that new lands
settlement has insufficient potential to warrant government investment
with or without international finance. A major conclusion of this
evaluation has been that while planning expectations tend to be too
high in regard to the rapidity with which early returns can be expected,
they are too low in regard to possible long-term benefits. Throughout
the tropics and the subtropics, the majority of settlers are small scale
operators. This is a major benefit of settlement projects for low income
rural populations. Whereas rural elites are apt to co-opt the benefits of
rural development in old lands, in new lands settlements the overwhelming
majority of settlers are low income to start with.

Though the term "settler" will be used time and again, it is
essential to emphasize from the start that this term refers to the
settler family as a production and social unit. Though this may
seem to be so obvious as to not require special attention, national
and international planners alike all too often write about the settler
as if he was a single male, with the term "farmer" used time and
again. Not only does this usage emphasize farm activities for the
male head of household while neglecting the farmwife and the children,
but it also emphasizes the agricultural component to the neglect of
the off-farm component of the farming system, the recruitment of
settlers with nonfarm skills, and the development of community
diversification.

In the definition of new lands settlement, the phrase "largely
uncultivated" is important since most new lands are in fact occupied
by others (hereafter called the hosts) at the time of settlement or,
if currently unoccupied, are almost always the subject to rights of
customary use and tenure by the hosts.

In most cases, population densities tend to be relatively low.
For this reason, and because the hosts also tend to have relatively
low social status and little regional (let alone national) influence
and power, their lands are frequently taken away without adequate
compensation during the settlement process. And even if they do not
lose most of their lands, rarely is a systematic attempt made to
incorporate the hosts within the settlement design, hence increasing
the chances of host/settler conflict.

The distinction between spontaneous and sponsored settlers
refers to whether or not the settlers are self-recruited or respond to
the recruitment initiative of a sponsoring agency. It has nothing to








-3 -


do with the reasons or motivation for leaving current residence for a
settlement area.

Though government administrators with settlement experience
often remain skeptical, evidence from different parts of the world
suggests that generally speaking spontaneous settlers make better
farmers in less time and at a lower financial cost than do government
sponsored settlers. The comparison here is with pioneer settlers,
that is, those who arrive during the first time phase (hereafter
called the pioneer phase) of the settlement process. A range of
explanatory factors appear to be involved. There is considerable
evidence for example that spontaneous settlers have access to more
resources than do the majority of government sponsored settlers. Most
government sponsored settlers are poor. They are more apt to be
landless laborers or sharecroppers than spontaneous settlers whose
resources often place them above the lowest 20 percent of the sending
population in terms of income. Under such circumstances, it makes
sense to combine both types of settlers in the settlement process
rather than favoring one type to the exclusion of the other. Indeed,
the evidence suggest that without government assistance spontaneous
settlement alone cannot generate a process of integrated area
development.


B. TYPES OF NEW LANDS SETTLEMENT

In classifying settlement types, emphasis is placed on both
the type of settler and on the nature of the involvement of the
sponsoring agency or agencies. Four types are separated out for
purposes of analysis, although several different types may in fact be
represented in a single settlement. These are the following:

1. Spontaneous settlement with very little government
or other assistance.

2. Spontaneous settlement facilitated by government
and other agencies.

3. Voluntary settlement sponsored by government
and other agencies.

4. Compulsory settlement sponsored primarily by
government agencies.


1. Spontaneous Settlement with Very Little Government
or Other Assistance

In this era of project and program planning and of national
development plans, we tend to forget that inhabited portions of the








-3 -


do with the reasons or motivation for leaving current residence for a
settlement area.

Though government administrators with settlement experience
often remain skeptical, evidence from different parts of the world
suggests that generally speaking spontaneous settlers make better
farmers in less time and at a lower financial cost than do government
sponsored settlers. The comparison here is with pioneer settlers,
that is, those who arrive during the first time phase (hereafter
called the pioneer phase) of the settlement process. A range of
explanatory factors appear to be involved. There is considerable
evidence for example that spontaneous settlers have access to more
resources than do the majority of government sponsored settlers. Most
government sponsored settlers are poor. They are more apt to be
landless laborers or sharecroppers than spontaneous settlers whose
resources often place them above the lowest 20 percent of the sending
population in terms of income. Under such circumstances, it makes
sense to combine both types of settlers in the settlement process
rather than favoring one type to the exclusion of the other. Indeed,
the evidence suggest that without government assistance spontaneous
settlement alone cannot generate a process of integrated area
development.


B. TYPES OF NEW LANDS SETTLEMENT

In classifying settlement types, emphasis is placed on both
the type of settler and on the nature of the involvement of the
sponsoring agency or agencies. Four types are separated out for
purposes of analysis, although several different types may in fact be
represented in a single settlement. These are the following:

1. Spontaneous settlement with very little government
or other assistance.

2. Spontaneous settlement facilitated by government
and other agencies.

3. Voluntary settlement sponsored by government
and other agencies.

4. Compulsory settlement sponsored primarily by
government agencies.


1. Spontaneous Settlement with Very Little Government
or Other Assistance

In this era of project and program planning and of national
development plans, we tend to forget that inhabited portions of the













world have been largely populated by spontaneous settlement. Even
today the majority of settlers moving into the last frontiers of the
humid tropics are primarily spontaneous, whether to locales in South
America, the equatorial belt of Africa, Nepal, Indonesia, or the
Philippines.


2. Spontaneous Settlement Facilitated by Government
and Other Agencies

To date this type of settlement has been comparatively rare.
While the evidence is impressive that spontaneous settlers time and
again make better farmers nonetheless there are major disadvantages
associated with spontaneous settlement. Three reasons in particular
have been stressed. These are the low yields and environmental
degradation associated with spontaneous settlement and the tendency
of spontaneous settlers to displace the host population.

Though serious, these criticisms need to be placed in
historical perspective. While systems of bush fallow or shifting
cultivation (as practiced by many spontaneous settlers) have lower
biological productivity than primary forests, they also provide the
cultivators with the highest yields per unit of labor within the
limits imposed by their current technology.

In relating to this influx of spontaneous settlers, governments
have tended to emphasize one of three responses. These are (1) to con-
demn the process and vilify the settlers, (2) to ignore or even encourage
such movement but with no provision of assistance to individual settler
families, and (3) to facilitate the process of settlement. The first two
responses have been historically dominant, although there appears to be
a growing awareness of the need for the third.

Without assistance, most spontaneous settlers continue to be
primarily subsistence farmers. Furthermore, research indicates that
unassisted spontaneous settlement is not even an effective mechanism
for land redistribution since over the years the vulnerability of
small holders causes increasing proportions to sell out to both rural
and national elites.

Accordingly a major recommendation of this study is that
governments should assist spontaneous settlers if higher returns (at
lower financial costs) from new lands settlement are to be achieved in
the future. Assistance can take a variety of forms. All-weather
access roads and potable water supplies are crucial, as is credit and
some sort of mechanism to provide the settler with secure use rights
to the land in question. Access roads and potable water may be best
provided through a site and service approach such as has been so
successful in a number of low income urban communities in parts of
Africa and Latin America.








-5-


An especially attractive approach would be for government
to establish communities of sponsored settlers around which spon-
taneous settlers would be encouraged to take up residence. The
communities of sponsored settlers initially could serve as local
service centers for both sponsored and spontaneous settlers alike.
They might also be used to demonstrate appropriate farming systems
and other research based programs concerned with community and
settlement development.


3. Voluntary Settlement Sponsored by Government
and Other Agencies

Sponsored settlement has been emphasized throughout the global
evaluation. Proportionately the importance of government sponsored
voluntary settlement has been increasing in recent decades in
comparison to settlements sponsored by commercial firms and religious
organizations.


4. Compulsory Settlement Sponsored Primarily
by Government Agencies

Compulsory settlement is rarely carried out for the good of
the people concerned, aside from occasional instances of removal as
part of a disease control program. Rather it is a by-product of
larger scale events in which the future settlers find themselves
embroiled.

Because it represents such an extreme example, settlement
based on compulsory relocation throws into relief a number of problems
which to a lesser extent characterize all types of new lands settle-
ments. These have been studied in considerable detail in connection
with dam relocation in the tropics and sub-tropics. The results of
such studies have been very useful in improving our understanding of
settler responses to settlement, of settlement stages, and of a wide
range of issues associated with each stage.


C. THE MAGNITUDE OF CONTEMPORARY SETTLEMENT

Both spontaneous and government sponsored settlement have
increased since the end of World War II. While the World Bank's 1978
Issues Paper notes that there are no reliable global estimates on the
amount of new land settled during this time period, it also states
that "there is no doubt that the extension of cropped area has been a
major source of agricultural growth in large parts of Latin America
and Africa and, to a lesser extent, Asia" (p 20), with most of the
increase being rainfed cultivation.








-5-


An especially attractive approach would be for government
to establish communities of sponsored settlers around which spon-
taneous settlers would be encouraged to take up residence. The
communities of sponsored settlers initially could serve as local
service centers for both sponsored and spontaneous settlers alike.
They might also be used to demonstrate appropriate farming systems
and other research based programs concerned with community and
settlement development.


3. Voluntary Settlement Sponsored by Government
and Other Agencies

Sponsored settlement has been emphasized throughout the global
evaluation. Proportionately the importance of government sponsored
voluntary settlement has been increasing in recent decades in
comparison to settlements sponsored by commercial firms and religious
organizations.


4. Compulsory Settlement Sponsored Primarily
by Government Agencies

Compulsory settlement is rarely carried out for the good of
the people concerned, aside from occasional instances of removal as
part of a disease control program. Rather it is a by-product of
larger scale events in which the future settlers find themselves
embroiled.

Because it represents such an extreme example, settlement
based on compulsory relocation throws into relief a number of problems
which to a lesser extent characterize all types of new lands settle-
ments. These have been studied in considerable detail in connection
with dam relocation in the tropics and sub-tropics. The results of
such studies have been very useful in improving our understanding of
settler responses to settlement, of settlement stages, and of a wide
range of issues associated with each stage.


C. THE MAGNITUDE OF CONTEMPORARY SETTLEMENT

Both spontaneous and government sponsored settlement have
increased since the end of World War II. While the World Bank's 1978
Issues Paper notes that there are no reliable global estimates on the
amount of new land settled during this time period, it also states
that "there is no doubt that the extension of cropped area has been a
major source of agricultural growth in large parts of Latin America
and Africa and, to a lesser extent, Asia" (p 20), with most of the
increase being rainfed cultivation.








-5-


An especially attractive approach would be for government
to establish communities of sponsored settlers around which spon-
taneous settlers would be encouraged to take up residence. The
communities of sponsored settlers initially could serve as local
service centers for both sponsored and spontaneous settlers alike.
They might also be used to demonstrate appropriate farming systems
and other research based programs concerned with community and
settlement development.


3. Voluntary Settlement Sponsored by Government
and Other Agencies

Sponsored settlement has been emphasized throughout the global
evaluation. Proportionately the importance of government sponsored
voluntary settlement has been increasing in recent decades in
comparison to settlements sponsored by commercial firms and religious
organizations.


4. Compulsory Settlement Sponsored Primarily
by Government Agencies

Compulsory settlement is rarely carried out for the good of
the people concerned, aside from occasional instances of removal as
part of a disease control program. Rather it is a by-product of
larger scale events in which the future settlers find themselves
embroiled.

Because it represents such an extreme example, settlement
based on compulsory relocation throws into relief a number of problems
which to a lesser extent characterize all types of new lands settle-
ments. These have been studied in considerable detail in connection
with dam relocation in the tropics and sub-tropics. The results of
such studies have been very useful in improving our understanding of
settler responses to settlement, of settlement stages, and of a wide
range of issues associated with each stage.


C. THE MAGNITUDE OF CONTEMPORARY SETTLEMENT

Both spontaneous and government sponsored settlement have
increased since the end of World War II. While the World Bank's 1978
Issues Paper notes that there are no reliable global estimates on the
amount of new land settled during this time period, it also states
that "there is no doubt that the extension of cropped area has been a
major source of agricultural growth in large parts of Latin America
and Africa and, to a lesser extent, Asia" (p 20), with most of the
increase being rainfed cultivation.








-6-


Looking to the future, the best general summary of the
situation is contained in the World Bank 1978 Issues Paper which
draws heavily on FAO data. According to those data, "cultivated
land in 1970 constituted about 57 percent of the world's total
potentially arable land" (pp. 20-21), with over 40 percent of the
estimated reserves in Latin America (459 million hectares), followed
by tropical Africa with between 15 and 20 percent. Though Asia
contains only about 5 percent of the global reserves, approximately
50 million hectares are nonetheless involved. While the above totals
are impressive, there is generally a tendency to overestimate the
agricultural potential of arable lands in the tropics and especially
in the humid tropics. Perhaps over half of the above totals would be
better kept in silviculture in the humid tropics and in pasturelands
in the semi-arid areas and more arid savannas.

The largest areas of under-utilized potentially arable lands
are in the humid tropics where approximately 75 percent of settlement
in spontaneous. Presumably, at present rates of settlement much of
the remaining land in the humid tropics will be occupied during the
next twenty years. The same applies for the savanna environments in
Africa, which are the most extensive in the world.


D. CURRENT JUSTIFICATION FOR GOVERNMENT INVOLVEMENT
IN NEW LANDS SETTLEMENT

I believe that there is a greater role for government
involvement than I and other critics had previously realized. The
authors of the Institute for Social Studies Advisory Service (the
Hague) 1981 Draft Discussion Paper, Land Settlement and Regional
Development in the Tropics: Results, Prospects and Options, have
reached a similar conclusion. Noting persistent inter- and intra-
regional imbalances in many countries, their summary stated that "the
contribution of government-sponsored land settlement to a reduction of
these imbalances could be more significant than tends to be the case
at present" (van Raay and Hilhorst, 1981:ii). What they mean is that
there is tremendous room for improvement provided certain lessons from
the past are learned and translated into new approaches to design,
implementation, management, and evaluation.

As another lesson from experience, the authors of the ISS
Advisory Service report also propose that "land settlement may be an
attractive alternative to the further intensification of agricultural
production in already settled area [sic], especially if low-cost
solutions of land settlement can be developed."








-7 -


III. METHODOLOGICAL DESIGN

As a comparative and longitudinal evaluation of new lands
settlements, the research on which this report is based consisted of
three major components. These were (1) a global evaluation of the
literature on over one hundred sponsored and spontaneous settlement
areas in thirty-five countries plus Micronesia and Melanesia; (2)
field studies in Egypt, Nepal, Sri Lanka and Sudan by grantees funded
through the global evaluation of specific settlements which have been
in existence for a minimum of ten years; and (3) site visits by
myself, with and without consultants, to a number of settlement areas
in nine countries in Africa, the Middle East and Asia. A special
effort was made to select settlements which have been in existence for
at least a generation and which were considered relatively successful
by administrators and scholars.


IV. SETTLEMENT SUCCESS DEFINED

Successful settlements are those that stimulate an ongoing
process of integrated area development. Essential to this definition
are linkages between rural and urban sectors, with agricultural
development stimulating the emergence of a hierarchy of service
centers as well as manufacturing and industrial development within
the region. The word "ongoing" means that the development process
must be sustained at least into the second generation.

This definition of settlement success as a mechanism for
initiating a process of integrated area development is so important
that it requires further emphasis. According to the World Bank's
1978 Issues Paper on Agricultural Land Settlement, "future settle-
ment activities should be viewed within a comprehensive development
framework which recognizes the need for careful use of all resources
in the project area" (p. 8). Moreover, a wide range of considerations
"lead to the conclusion that settlement must be planned within an
integrated regional framework which includes development of related
agro-industrial and service sectors" (p. 40). In a 1978 ILO Working
Paper on Employment and Income Generation in New Settlement Projects,
Weitz and his colleagues (1978) conclude that successful settlement
projects "must be multisectoral. Agriculture does not develop itself.
It requires a complex institutional system to support it, market its
products, and provide inputs, credit and professional advice. The full
capacity of employment generation in new settlement projects beyond a
certain size cannot be realized unless there is a simultaneous growth
of agriculture and industry. The term 'simultaneous' implies an
intrinsic link between the two sectors. In other words, even
though a project is based mainly on agriculture, it should include as
an integral part of its plan, the establishment of industries" (p. 5).
Furthermore, "from the evidence brought so far it seems clear that








-7 -


III. METHODOLOGICAL DESIGN

As a comparative and longitudinal evaluation of new lands
settlements, the research on which this report is based consisted of
three major components. These were (1) a global evaluation of the
literature on over one hundred sponsored and spontaneous settlement
areas in thirty-five countries plus Micronesia and Melanesia; (2)
field studies in Egypt, Nepal, Sri Lanka and Sudan by grantees funded
through the global evaluation of specific settlements which have been
in existence for a minimum of ten years; and (3) site visits by
myself, with and without consultants, to a number of settlement areas
in nine countries in Africa, the Middle East and Asia. A special
effort was made to select settlements which have been in existence for
at least a generation and which were considered relatively successful
by administrators and scholars.


IV. SETTLEMENT SUCCESS DEFINED

Successful settlements are those that stimulate an ongoing
process of integrated area development. Essential to this definition
are linkages between rural and urban sectors, with agricultural
development stimulating the emergence of a hierarchy of service
centers as well as manufacturing and industrial development within
the region. The word "ongoing" means that the development process
must be sustained at least into the second generation.

This definition of settlement success as a mechanism for
initiating a process of integrated area development is so important
that it requires further emphasis. According to the World Bank's
1978 Issues Paper on Agricultural Land Settlement, "future settle-
ment activities should be viewed within a comprehensive development
framework which recognizes the need for careful use of all resources
in the project area" (p. 8). Moreover, a wide range of considerations
"lead to the conclusion that settlement must be planned within an
integrated regional framework which includes development of related
agro-industrial and service sectors" (p. 40). In a 1978 ILO Working
Paper on Employment and Income Generation in New Settlement Projects,
Weitz and his colleagues (1978) conclude that successful settlement
projects "must be multisectoral. Agriculture does not develop itself.
It requires a complex institutional system to support it, market its
products, and provide inputs, credit and professional advice. The full
capacity of employment generation in new settlement projects beyond a
certain size cannot be realized unless there is a simultaneous growth
of agriculture and industry. The term 'simultaneous' implies an
intrinsic link between the two sectors. In other words, even
though a project is based mainly on agriculture, it should include as
an integral part of its plan, the establishment of industries" (p. 5).
Furthermore, "from the evidence brought so far it seems clear that








-8-


integrated planning will bring about the best results from new settlement
activities" (p. 65).

In their 1981 Draft Report on Land Settlement and Regional
Development in the Tropics: Results, Prospects and Options for the
Advisory Service of the Institute of Social Studies (the Hague,
Netherlands), van Raay and Hilhorst come out even stronger for
regional planning and integrated area development. In their opinion,
without explicit linkages "between land settlement and area develop-
ment, there is the real danger that minimal conditions for attaining
a measure of viability cannot be met" (p. 55). And, "if there is
one lesson to be learned from past failures, it is the fact that rural
development is best served by a specific locational matrix of urban
activities and functions. It is not the proximity vis-a-vis main
metropolitan centres that matters most but rather the proximity in
respects of urban and rural centres in the region" (p. 66).

As these recent statements indicate, the current consensus of
those who have completed comparative studies of new lands settlements
is that regional planning and integrated area development (including
both agricultural areas, rural towns and regional towns) are essential
for the development of successful settlement projects. Since the
financial costs per settler family are high, averaging, for example,
$8,650.00 per settler family for World Bank-assisted projects between
fiscal years 1962-75, major government funding is unlikely to be cost
effective unless settlement is associated with major multiplier effects.
While these are not frequently associated with government sponsored
settlement projects and are rarely if ever associated with spontaneous
settlement, area development has been attained in a small number of
cases. Furthermore, the evidence is suggestive that it could have been
attained in a still larger number if more attention had been paid to
certain basic issues associated with the settlement and development
process. These are outlined in the sections that follow.


A. SCALE

For new lands settlement to stimulate a process of integrated
area development -- with a simultaneous evolution of agriculture,
services, and industry -- settler families must number in the
thousands rather than the hundreds. Few multiplier effects can be
expected from the smaller settlements in terms of nonfarm production
and employment. As Weitz and his colleagues state, "Obviously, the
benefits of industry cannot be gained if the project is very small; a
minimum volume of agricultural raw materials is required to create a
market for perishable foodstuffs" (1978:6).








-9-


B. THE SPACIAL LAYOUT OF SETTLER COMMUNITIES AND THEIR
RELATIONSHIP TO RURAL TOWNS

While there are obvious benefits to the settler of a homestead
pattern where the family is surrounded by its fields, in terms of
employment generation, the provision of services, and the facilitation
of area development a nucleated settlement pattern has the advantage
in most cases.

Summarizing various sources the World Bank concludes: "The
interests of both settlers and their children are best served in most
instances by larger, nucleated settlement. The benefits are of
several types -- greater employment opportunities, higher service
standards, reduced infrastructure costs, reduced migration to large
urban centers, and more balanced regional growth" (1978b:40).

There is overwhelming agreement that settlement projects "must
be based on a hierarchy of communities" (Weitz et al, 1978:70), with
settler communities linked to, in increasing order of magnitude, rural
service centers and rural and regional towns. A major failing of
settlement planning throughout the tropics and subtropics is the lack
of attention paid to rural towns as opposed to smaller rural service
centers with their cooperatives, schools, clinics and other service
facilities but with virtually no industrial capacity. In over 100
cases examined during the global evaluation, rural towns were planned
in connection with only eleven, and in most of these cases regional
towns -- which play a major role in retaining multiplier effects
within the area -- were insufficiently emphasized.

If we examine these eleven cases, the majority pertain to the
1970s, suggesting that the trend is moving in the right direction.
Partly this is because of an increased emphasis on area development
and regional planning. Welcome as this is, the eleven examples
nonetheless relate to only five countries. Furthermore, in most cases
there is a tendency to emphasize new towns rather than the enhancement
of existing towns, even where suitable existing towns exist. Not only
is this a more expensive undertaking, but frequently the old town will
continue to out-compete the new one.


C. DIVERSIFYING FARMING SYSTEMS

There are three important reasons for diversifying the farming
systems of settler families in terms of multiple cropping and the
combination of the crop and livestock components. First, such systems
tend to be more resilient and ecologically stable and productive
economically. Second, they tend to make better use of family labor
providing some farm income and status to various family members in
the process. And third, they provide food for nonfarm labor and
agricultural produce (including crops, livestock, forest products and
fish) for processing.








-9-


B. THE SPACIAL LAYOUT OF SETTLER COMMUNITIES AND THEIR
RELATIONSHIP TO RURAL TOWNS

While there are obvious benefits to the settler of a homestead
pattern where the family is surrounded by its fields, in terms of
employment generation, the provision of services, and the facilitation
of area development a nucleated settlement pattern has the advantage
in most cases.

Summarizing various sources the World Bank concludes: "The
interests of both settlers and their children are best served in most
instances by larger, nucleated settlement. The benefits are of
several types -- greater employment opportunities, higher service
standards, reduced infrastructure costs, reduced migration to large
urban centers, and more balanced regional growth" (1978b:40).

There is overwhelming agreement that settlement projects "must
be based on a hierarchy of communities" (Weitz et al, 1978:70), with
settler communities linked to, in increasing order of magnitude, rural
service centers and rural and regional towns. A major failing of
settlement planning throughout the tropics and subtropics is the lack
of attention paid to rural towns as opposed to smaller rural service
centers with their cooperatives, schools, clinics and other service
facilities but with virtually no industrial capacity. In over 100
cases examined during the global evaluation, rural towns were planned
in connection with only eleven, and in most of these cases regional
towns -- which play a major role in retaining multiplier effects
within the area -- were insufficiently emphasized.

If we examine these eleven cases, the majority pertain to the
1970s, suggesting that the trend is moving in the right direction.
Partly this is because of an increased emphasis on area development
and regional planning. Welcome as this is, the eleven examples
nonetheless relate to only five countries. Furthermore, in most cases
there is a tendency to emphasize new towns rather than the enhancement
of existing towns, even where suitable existing towns exist. Not only
is this a more expensive undertaking, but frequently the old town will
continue to out-compete the new one.


C. DIVERSIFYING FARMING SYSTEMS

There are three important reasons for diversifying the farming
systems of settler families in terms of multiple cropping and the
combination of the crop and livestock components. First, such systems
tend to be more resilient and ecologically stable and productive
economically. Second, they tend to make better use of family labor
providing some farm income and status to various family members in
the process. And third, they provide food for nonfarm labor and
agricultural produce (including crops, livestock, forest products and
fish) for processing.








- 10 -


Under reason one, multiple cropping, including the cultivation
of a wide range of essential food stuffs, makes sense for the farm
family which can then rely on their own produce where necessary. The
evidence is also increasing that multiple cropping and diversification
of the farming system tends to increase yields per hectare. According
to Innis (1980:7), "Research on three-crop mixtures, which is closer
to traditional methods, but more difficult to handle with machines,
shows that the closer researchers come to traditional methods the
higher the yields are for the same inputs."

As for the second reason, diversification has important economic
and social equity advantages as it relates to the farm family as a
production and social unit. It also better distributes family labor
throughout the annual cycle by providing each family member with a
variety of activities which tend to be better distributed throughout
the year. As Weitz et al (1978:4) state the case for diversification:
"Only through the introduction of properly planned additional enterprises
into the crop pattern is it possible to fill the gaps of underemployment
in the slack season of the agricultural year."

Thirdly, diversification of settler farming systems is still
more directly related to area development in that it provides foodstuffs
for nonfarm families and raw materials for agricultural and other
industries.


D. NET INCOME OF SETTLER FAMILIES

If new lands settlements are to initiate a process of area
development, far more attention needs be paid to the net income of
settler families than has been the case to date.

The settler family, not the land or the water resources, is
the main resource, and the new lands settlement can only catalyze a
process of area development if the settler family has the incentive
and the opportunity to produce.

Concerning the dynamics of the settlement process, so long
as settlers remain close to the subsistence level, it is reasonable
to expect them to be risk adverse. As net incomes go up, however,
investment strategies change and consumption goes up, hence increasing
demand for goods and services which in turn provide increased nonfarm
employment opportunities. This point has been documented time and
again. In their Agriculture and Structural Transformation: Economic
Strategies in Late-Developing Countries, Johnston and Kilby (1975:301)
note that "as per capital output in the economy rises a growing share
of household expenditures are devoted to manufactured and processed
commodities."







- 11 -


Where planners do take into consideration the multiplier
effect of increased agricultural production, the conventional wisdom
is that most employment generation will be in agro-industry. But what
evidence is available (and only some of this applies to settlement
projects) suggests that this is not the case. In their World Bank
study of the Muda Irrigation Project in Malaysia, Bell, Hazel, and
Slade (1980) reported that for every dollar of direct benefits
generated by the project, there were eighty-three cents of indirect
benefits. Of that eighty-three cents, fifty cents came from increased
farmer demand for consumer goods and services rather than from
production linkages (with rice milling accounting for only ten cents
of the total). After recounting this case, Carroll adds that agro-
industry may not be the best way to generate rural employment.
Referring to a summary of research studies (in the form of a undated
manuscript entitled "An Approach to Spatial Planning for Rural
Development" prepared by U.S. Aid's Working Group on the Rural Poor),
Carroll (1980) concluded that "small enterprises for production of
local household consumption goods engaged about two-thirds of the
nonagricultural labor force" (p. 15).

In the literature on new lands settlements, various authors
have stressed the risks associated with net incomes which are either
too low or too high. As a general proposition, target incomes both in
terms of settler incentives to farm and increasing settler demand for
a wide range of producer and consumer goods and services, might be
best based on the "average national income" or even the "average urban
income," depending on the nature of rural-urban terms of trade. Though
raising target incomes in this way would reduce the number of settlers
employed on the land, in the long run it would probably facilitate area
development, including employment generation. Since settler incomes that
are too low are a serious constraint to subsequent development, it is
better to err on the higher side than on the lower side.

Almost by definition a successful settlement process will create
a new rural elite among both settlers and nonfarm families. As they move
from the transition to the stage of economic development, many successful
settlers can be expected to pursue dynamic investment strategies as their
incomes go up. The challenge for planners is to "set the stage" in such
a way that settler initiative is encouraged without being too exploitative
of others. This can be done in a number of ways. Ready availability of
credit for annual production needs and strong settler dominated producer
and marketing organizations will help spread the benefits of settlement
to a larger proportion of the settler population.


E. EMPLOYMENT GENERATION

Empirical knowledge is scant for assessing the potential of
different farming systems and settlement designs for generating
employment. Yet the topic is a critically important one, especially








- 12 -


in countries with rapid population growth and high rates of unemployment
and underemployment.

New lands settlement have the potential to increase three
general types of employment. These are, first, employment of
owner/operators and their families on farm holdings; second, the
employment of permanent and seasonal farm labor; and, third, nonfarm
employment. With few exceptions the planning and implementation of
new lands settlements by government and donor agencies has emphasized
the first type of employment while ignoring the other two types.


1. Owner/Operators and Their Families

Owner/operators and their families are the key to subsequent
development including increased agricultural production, rising living
standards, and employment generation including nonfarm employment.

In terms of employment generation, there is no alternative
to emphasizing recruitment of settlers working small holdings versus
those working medium and large holdings. Not only does emphasis on
small holders increase the number of farm owner/operators, but as
Johnston and Kilby note, "where income is more or less evenly dis-
tributed over broad segments of the population, the result is large
markets for comparatively simple goods" (1974:304). Since the
production of these requires little technical and managerial sophis-
tication, such goods can be produced within settlement areas, hence
increasing the scope for nonfarm employment.

There is an upper limit, however, to the number of small
holders who can profitably be settled in a particular area. Unfor-
tunately planners tend to forget this point -- so that increasing
the number of settlers beyond a certain level actually reduces
employment generation since settler net incomes are insufficient to
increase demand for locally manufactured goods and services, and since
local production is not sufficiently great or diversified to meet the
demand of nonfarm workers for locally produced foodstuffs and raw
materials for local processing, the farm enterprise becoming mainly
a subsistence operation which perpetuates rural poverty rather than
alleviating it.


2. Seasonal and Permanent Laborers

With only a few exceptions, it is unrealistic to expect
successful settlers to continue to employ only family labor. Yet time
and again settlements are planned on the assumption that settlement
allotments must be cultivated with family labor. This position not
only ignores the natural development cycle of the family but it also
ignores the dynamic nature of settler investment strategies once Stage








- 12 -


in countries with rapid population growth and high rates of unemployment
and underemployment.

New lands settlement have the potential to increase three
general types of employment. These are, first, employment of
owner/operators and their families on farm holdings; second, the
employment of permanent and seasonal farm labor; and, third, nonfarm
employment. With few exceptions the planning and implementation of
new lands settlements by government and donor agencies has emphasized
the first type of employment while ignoring the other two types.


1. Owner/Operators and Their Families

Owner/operators and their families are the key to subsequent
development including increased agricultural production, rising living
standards, and employment generation including nonfarm employment.

In terms of employment generation, there is no alternative
to emphasizing recruitment of settlers working small holdings versus
those working medium and large holdings. Not only does emphasis on
small holders increase the number of farm owner/operators, but as
Johnston and Kilby note, "where income is more or less evenly dis-
tributed over broad segments of the population, the result is large
markets for comparatively simple goods" (1974:304). Since the
production of these requires little technical and managerial sophis-
tication, such goods can be produced within settlement areas, hence
increasing the scope for nonfarm employment.

There is an upper limit, however, to the number of small
holders who can profitably be settled in a particular area. Unfor-
tunately planners tend to forget this point -- so that increasing
the number of settlers beyond a certain level actually reduces
employment generation since settler net incomes are insufficient to
increase demand for locally manufactured goods and services, and since
local production is not sufficiently great or diversified to meet the
demand of nonfarm workers for locally produced foodstuffs and raw
materials for local processing, the farm enterprise becoming mainly
a subsistence operation which perpetuates rural poverty rather than
alleviating it.


2. Seasonal and Permanent Laborers

With only a few exceptions, it is unrealistic to expect
successful settlers to continue to employ only family labor. Yet time
and again settlements are planned on the assumption that settlement
allotments must be cultivated with family labor. This position not
only ignores the natural development cycle of the family but it also
ignores the dynamic nature of settler investment strategies once Stage







- 13 -


Three (economic and social development) begins. As net incomes rise,
settlers begin to substitute nonfamily labor for family labor in
regard to less desirable and/or less productive agricultural activities.
This recruitment of seasonal and permanent labor occurs even on small
holdings of several acres.

Furthermore, it is not in the interests of either employment
generation or the welfare of farm laborers to pretend that they do not
exist or to deemphasize their existence. In large-scale irrigation
based settlement projects seasonal workers during the harvesting
seasons may outnumber adult settlers. Though hire of laborers is less
significant in regard to farming systems based on rains cultivation,
even there large numbers of seasonal laborers are used during certain
stages of the production cycle.


3. Nonfarm Employment

The general literature on linkages between agriculture and
industry, though sparse, suggests two conclusions. First, that the
potential multiplier effects of agricultural development would appear
to be considerably greater than realized in terms of employment
generation in rural areas and, second that national development
policies must share much of the blame for the failure of new lands
settlements to realize their development potential in terms of
employment generation and multiplier effects.

According to the World Bank (1978a), over half of all nonfarm
employment in Africa and Asia is still in rural areas -- a situation
which we tend to forget because of the ongoing influx of rural peoples
into urban areas. Furthermore, nonfarm activities in rural areas
provide a primary source of employment and earnings to approximately
one-third of the rural labor force where rural towns are included
(my underscoring), with this proportion rising to 40 percent where
town population in rural settings increases to twenty to thirty
thousand residents.

Not only do rural nonfarm activities appear to employ more
people than previously expected but these activities also provide a
significant proportion of the income of rural households. Chuta and
Liedholm present data from six countries which show nonfarm earnings
accounting for over 20 percent of the income of rural families.
Estimates of 22 percent and 23 percent are presented for Korea and
Pakistan, respectively, versus 43 percent for Taiwan and 70 percent
for Japan. While the Japanese and Taiwanese cases represent special
features nonetheless it should be possible to eventually achieve
similar results in carefully selected settlement areas in the
tropics and subtropics with careful planning and plan implementation.







- 14 -


F. NATIONAL DEVELOPMENT POLICIES

It is very difficult for new lands settlement projects to
sustain themselves through time in the face of adverse national
development policies and private sector policies. Where rural-urban
terms of trade are unfavorable to the rural sector new lands settle-
ments face a major constraint from the start.

The generation of nonfarm employment in manufacturing and
other activities is more directly constrained where industrialization
policies favor the development of large scale urban based industries
through a range of direct and indirect subsidies. Government and
private sector credit policies may be especially critical for both
the agricultural and industrial components of new lands settlements,
Katzman arguing that the increasing proletarianization of the agri-
cultural labor force in the Northern Parana settlement area of Brazil
is due in part to adverse government and private sector credit
policies.


V. NEW LANDS SETTLEMENT STAGES

A. INTRODUCTION

A major goal of the global evaluation was to develop a
framework which could be used for the systematic analysis of new lands
settlements and more specifically for their planning, implementation
management and evaluation. In attempting to explain the relative
success or failure of new lands settlements which have been in
existence for at least a number of years, I developed a four-stage
framework. Before outlining this, a cautionary warning is warranted
about the use of stages. These are merely tools for coming to grips
with a complicated and dynamic process. They amount to simplifying
assumptions which attempt to break the settlement process into a
series of critical time periods during each of which a range of basic
issues need be addressed.


B. SETTLEMENT STAGES

The four stages cover at least a generation and are as follows:

1. Planning, Initial Infrastructural Development,
and Settler Recruitment

2. Transition

3. Economic and Social Development


4. Handing Over and Incorporation







- 14 -


F. NATIONAL DEVELOPMENT POLICIES

It is very difficult for new lands settlement projects to
sustain themselves through time in the face of adverse national
development policies and private sector policies. Where rural-urban
terms of trade are unfavorable to the rural sector new lands settle-
ments face a major constraint from the start.

The generation of nonfarm employment in manufacturing and
other activities is more directly constrained where industrialization
policies favor the development of large scale urban based industries
through a range of direct and indirect subsidies. Government and
private sector credit policies may be especially critical for both
the agricultural and industrial components of new lands settlements,
Katzman arguing that the increasing proletarianization of the agri-
cultural labor force in the Northern Parana settlement area of Brazil
is due in part to adverse government and private sector credit
policies.


V. NEW LANDS SETTLEMENT STAGES

A. INTRODUCTION

A major goal of the global evaluation was to develop a
framework which could be used for the systematic analysis of new lands
settlements and more specifically for their planning, implementation
management and evaluation. In attempting to explain the relative
success or failure of new lands settlements which have been in
existence for at least a number of years, I developed a four-stage
framework. Before outlining this, a cautionary warning is warranted
about the use of stages. These are merely tools for coming to grips
with a complicated and dynamic process. They amount to simplifying
assumptions which attempt to break the settlement process into a
series of critical time periods during each of which a range of basic
issues need be addressed.


B. SETTLEMENT STAGES

The four stages cover at least a generation and are as follows:

1. Planning, Initial Infrastructural Development,
and Settler Recruitment

2. Transition

3. Economic and Social Development


4. Handing Over and Incorporation







- 14 -


F. NATIONAL DEVELOPMENT POLICIES

It is very difficult for new lands settlement projects to
sustain themselves through time in the face of adverse national
development policies and private sector policies. Where rural-urban
terms of trade are unfavorable to the rural sector new lands settle-
ments face a major constraint from the start.

The generation of nonfarm employment in manufacturing and
other activities is more directly constrained where industrialization
policies favor the development of large scale urban based industries
through a range of direct and indirect subsidies. Government and
private sector credit policies may be especially critical for both
the agricultural and industrial components of new lands settlements,
Katzman arguing that the increasing proletarianization of the agri-
cultural labor force in the Northern Parana settlement area of Brazil
is due in part to adverse government and private sector credit
policies.


V. NEW LANDS SETTLEMENT STAGES

A. INTRODUCTION

A major goal of the global evaluation was to develop a
framework which could be used for the systematic analysis of new lands
settlements and more specifically for their planning, implementation
management and evaluation. In attempting to explain the relative
success or failure of new lands settlements which have been in
existence for at least a number of years, I developed a four-stage
framework. Before outlining this, a cautionary warning is warranted
about the use of stages. These are merely tools for coming to grips
with a complicated and dynamic process. They amount to simplifying
assumptions which attempt to break the settlement process into a
series of critical time periods during each of which a range of basic
issues need be addressed.


B. SETTLEMENT STAGES

The four stages cover at least a generation and are as follows:

1. Planning, Initial Infrastructural Development,
and Settler Recruitment

2. Transition

3. Economic and Social Development


4. Handing Over and Incorporation







- 14 -


F. NATIONAL DEVELOPMENT POLICIES

It is very difficult for new lands settlement projects to
sustain themselves through time in the face of adverse national
development policies and private sector policies. Where rural-urban
terms of trade are unfavorable to the rural sector new lands settle-
ments face a major constraint from the start.

The generation of nonfarm employment in manufacturing and
other activities is more directly constrained where industrialization
policies favor the development of large scale urban based industries
through a range of direct and indirect subsidies. Government and
private sector credit policies may be especially critical for both
the agricultural and industrial components of new lands settlements,
Katzman arguing that the increasing proletarianization of the agri-
cultural labor force in the Northern Parana settlement area of Brazil
is due in part to adverse government and private sector credit
policies.


V. NEW LANDS SETTLEMENT STAGES

A. INTRODUCTION

A major goal of the global evaluation was to develop a
framework which could be used for the systematic analysis of new lands
settlements and more specifically for their planning, implementation
management and evaluation. In attempting to explain the relative
success or failure of new lands settlements which have been in
existence for at least a number of years, I developed a four-stage
framework. Before outlining this, a cautionary warning is warranted
about the use of stages. These are merely tools for coming to grips
with a complicated and dynamic process. They amount to simplifying
assumptions which attempt to break the settlement process into a
series of critical time periods during each of which a range of basic
issues need be addressed.


B. SETTLEMENT STAGES

The four stages cover at least a generation and are as follows:

1. Planning, Initial Infrastructural Development,
and Settler Recruitment

2. Transition

3. Economic and Social Development


4. Handing Over and Incorporation








- 15 -


In order to be successful, a new lands settlement area must pass
through all four stages though the order of the third and fourth may
be reversed. These last two stages are "crucial if living standards
and productivity are to rise and if continuity and development are to
continue" (Scudder, 1981c:13). Though ideally a settlement area
should pass rapidly through all four stages so as to realize its
development potential at the earliest possible date, in fact a wide
range of internal and exogenous factors are apt to interfere, so that
a steady movement through the four developmental stages tends to be
the exception rather than the rule. Furthermore, many spontaneous and
sponsored settlements never reach the third stage of economic and
social development but rather evolve directly from Stage Two to Stage
Four.

In spite of such variations and various analytical difficulties,
it proved to be relatively easy during the global evaluation to place
different settlements within a particular stage or between two stages.
Furthermore, "the very concept of stages draws attention not only to
the fact that new lands settlements have histories but also that these
histories are remarkably similar" (Scudder, 1981:13). It follows from
this that people and the sociocultural systems in which they are imbedded
and interrelated (including settlement agencies) respond to new lands
settlement in predictable ways. And these responses have major policy
implications.


1. Stage One: Planning, Initial Infrastructural Development,
and Settler Recruitment

This stage lends itself to further division into two substages:
the first relating to feasibility studies, planning, and design and
the second to settler recruitment and the construction of such initial
infrastructure as roads and irrigation facilities.

a. Feasibility Studies. Planning, and Design. Ideally, the
feasibility studies which are carried out during this substage should
consider a wider range of alternatives before a decision is made to
proceed or not to proceed with a particular type of settlement. Under
planning, a wide range of issues need be considered -- including the
scope and scale of the intended farming systems and the settlement as
a whole in relationship to regional development. Weitz and his
colleagues assume, for example, that multiplier effects are correlated
with diversification of the farming system, farm family income, and
settlement scale and scope. During the planning phase, consideration
should also be given to the extent to which the hosts will be included
within the settlement project on social equity, economic, and
political grounds.








- 15 -


In order to be successful, a new lands settlement area must pass
through all four stages though the order of the third and fourth may
be reversed. These last two stages are "crucial if living standards
and productivity are to rise and if continuity and development are to
continue" (Scudder, 1981c:13). Though ideally a settlement area
should pass rapidly through all four stages so as to realize its
development potential at the earliest possible date, in fact a wide
range of internal and exogenous factors are apt to interfere, so that
a steady movement through the four developmental stages tends to be
the exception rather than the rule. Furthermore, many spontaneous and
sponsored settlements never reach the third stage of economic and
social development but rather evolve directly from Stage Two to Stage
Four.

In spite of such variations and various analytical difficulties,
it proved to be relatively easy during the global evaluation to place
different settlements within a particular stage or between two stages.
Furthermore, "the very concept of stages draws attention not only to
the fact that new lands settlements have histories but also that these
histories are remarkably similar" (Scudder, 1981:13). It follows from
this that people and the sociocultural systems in which they are imbedded
and interrelated (including settlement agencies) respond to new lands
settlement in predictable ways. And these responses have major policy
implications.


1. Stage One: Planning, Initial Infrastructural Development,
and Settler Recruitment

This stage lends itself to further division into two substages:
the first relating to feasibility studies, planning, and design and
the second to settler recruitment and the construction of such initial
infrastructure as roads and irrigation facilities.

a. Feasibility Studies. Planning, and Design. Ideally, the
feasibility studies which are carried out during this substage should
consider a wider range of alternatives before a decision is made to
proceed or not to proceed with a particular type of settlement. Under
planning, a wide range of issues need be considered -- including the
scope and scale of the intended farming systems and the settlement as
a whole in relationship to regional development. Weitz and his
colleagues assume, for example, that multiplier effects are correlated
with diversification of the farming system, farm family income, and
settlement scale and scope. During the planning phase, consideration
should also be given to the extent to which the hosts will be included
within the settlement project on social equity, economic, and
political grounds.








- 16 -


b. Construction of Initial Infrastructure and Settler
Recruitment. The wording "initial" infrastructure suggests
that infrastructural development should be phased, with planners
establishing priorities for implementing in time different types
of infrastructure for settler families, administrators, and other
nonfarm families.

As for settler recruitment, far too much emphasis in the past
has been paid to the recruitment of individual men as opposed to
settler families where attention is paid to both spouses. But settler
recruitment should be still more broadly linked during the planning
process to the consideration of what types of production systems, what
types of communities, and what types of societies are desired so that
recruitment can seek out both farm and nonfarm families with the
necessary aptitude/orientation, experience, and skills.


2. Stage Two: The Transition Stage

The use of the word "transition" is used to emphasize two
points. First, that this is a stage of transition for settlers who
in many cases are moving from one habitat to another and, second,
that this transitional period must come to an end before settler
families can be expected to take risks and increase significantly
their productivity. While the duration of the transition stage may
be less than a year for a minority of families in settlements which
subsequently reach Stage Three, for the majority it would appear to
last for at least two years and more often for five to ten years.

During the transition stage many settlers are risk-adverse,
which explains why few technical, organizational, and sociopolitical
innovations are adopted at this time. Risk-aversion appears to be a
coping response to the stress and uncertainty associated with moving
into a new habitat -- where settler families need not only come to
grips with a new physical and biotic environment but also with new
neighbors, an increased government presence in the case of government
sponsored settlement, and frequently with a new host population.
While "learning the ropes," most settlers adopt a conservative stance,
their first priority being to meet their subsistence needs. They
favor continuity over change; and where change is necessary, they favor
incremental change over transformational change. Where possible, they
cling to the familiar by moving into new settlements with relatives,
former neighbors, and co-ethics. They also try to transfer area-of-
origin house types, farming practices, and other skills even though
they may not be suited to the new habitat.

The transition stage comes to an end when enough settler
families shift from a conservative stance to a dynamic open-ended one,
hence initiating the third stage of economic and social development.
This shift is most apt to occur after settler security is increased








- 16 -


b. Construction of Initial Infrastructure and Settler
Recruitment. The wording "initial" infrastructure suggests
that infrastructural development should be phased, with planners
establishing priorities for implementing in time different types
of infrastructure for settler families, administrators, and other
nonfarm families.

As for settler recruitment, far too much emphasis in the past
has been paid to the recruitment of individual men as opposed to
settler families where attention is paid to both spouses. But settler
recruitment should be still more broadly linked during the planning
process to the consideration of what types of production systems, what
types of communities, and what types of societies are desired so that
recruitment can seek out both farm and nonfarm families with the
necessary aptitude/orientation, experience, and skills.


2. Stage Two: The Transition Stage

The use of the word "transition" is used to emphasize two
points. First, that this is a stage of transition for settlers who
in many cases are moving from one habitat to another and, second,
that this transitional period must come to an end before settler
families can be expected to take risks and increase significantly
their productivity. While the duration of the transition stage may
be less than a year for a minority of families in settlements which
subsequently reach Stage Three, for the majority it would appear to
last for at least two years and more often for five to ten years.

During the transition stage many settlers are risk-adverse,
which explains why few technical, organizational, and sociopolitical
innovations are adopted at this time. Risk-aversion appears to be a
coping response to the stress and uncertainty associated with moving
into a new habitat -- where settler families need not only come to
grips with a new physical and biotic environment but also with new
neighbors, an increased government presence in the case of government
sponsored settlement, and frequently with a new host population.
While "learning the ropes," most settlers adopt a conservative stance,
their first priority being to meet their subsistence needs. They
favor continuity over change; and where change is necessary, they favor
incremental change over transformational change. Where possible, they
cling to the familiar by moving into new settlements with relatives,
former neighbors, and co-ethics. They also try to transfer area-of-
origin house types, farming practices, and other skills even though
they may not be suited to the new habitat.

The transition stage comes to an end when enough settler
families shift from a conservative stance to a dynamic open-ended one,
hence initiating the third stage of economic and social development.
This shift is most apt to occur after settler security is increased








- 17 -


through the production of sufficient food to meet family needs and the
settlers begin to feel "at home" in their new habitat.

At this point it is worth mentioning certain policy issues
associated with the transition stage. Granted the security oriented
and conservative stance of the settlers at this time, it is unrea-
sonable for governments and donors to expect rapid increases in
productivity through agricultural intensification during the first
five years.

The logical way to improve project performance during these
early years of implementation is to shorten the length of the transition
stage. This can be done in a number of ways. One relates to settler
recruitment. The advantages of recruiting settlers from different
villages within the same locale and ethnic area as opposed to different
ethnic areas are overwhelming during the transition stage. There are
two reasons for this. The first is that neighbors and co-ethnics are
much more likely to form self-help groups for land clearing and house
building during the early years of settlement which so often are
characterized by serious labor shortages. The second is that the
potential stress and uncertainty of having to adapt to new neighbors
is lessened when those neighbors come from a similar ethnic background.

Another way for governments to shorten the length of the
transition stage is to make a conceptual distinction between settlement
and development stages. During the settlement stage, the emphasis
should be on helping the settlers feel secure in their new habitat
at the earliest possible moment. Such a approach does not mean that
development activities should be ignored at that time. Just as land
negotiation and tenural arrangements should be completed during Stage
One to expedite subsequent development, so too are there a similar
range of developmental activities which can be implemented during the
transition stage. These include, for example, continual provision of
crucial physical and social infrastructure and construction, equipping,
and staffing of schools. Schools are especially important because one
of the first investments made by settlers is in children' education.
If schools are inadequate in number and quality, government sponsored
settlers are less apt to bring their families to settlement areas,
hence contributing to instability and labor bottlenecks.

Other developmental activities which can be undertaken by
sponsoring agencies include fielding of an appropriate unified extension
service, the encouragement of appropriate private and public sector
marketing services, and setting the stage through extension and
training for the emergence of settler-dominated participatory action
organizations. All these activities, however, must be carefully formu-
lated and implemented so they actually facilitate settler initiative
and independence rather than promote a sense of dependency which can bog
a settlement down in the transition stage for years to come.









- 18 -


To sum up, the early years of pioneering a new settlement area
are difficult and stressful. They require a period of adaption which
is rarely less than two years and usually much longer. Though timely
governmental interventions can shorten the length of this difficult
period of coping and transition, it cannot be eliminated, hence
underlining the unreasonableness of sponsor expectations that settlers
will intensify their production from the very start.


3. Stage Three: Economic and Social Development

The contrast between Stage Two and Stage Three is dramatic:
the first characterized by a population of risk-adverse settlers and
the second by a population of risk-taking settlers. Since the same
people are involved, a dramatic change occurs.

While most settlers concentrated previously on a domestic mode
of production involving extensive agriculture, during Stage Three we
have observed a wide range of investment strategies designed to
achieve higher levels of labor productivity through diversification
of the family estate. While more data analysis is necessary, it would
appear that settlers follow the same sequencing of investment activities
in different parts of the tropics and subtropics. Initially they invest
in education for their children. Subsequently additional farm land is
sharecropped, leased, and/or purchased and the farming system is expanded
into cash crops (including labor intensive, higher risk crops), while
the crop component is expanded to cover livestock and nonfarm activities.

Nonfarm activities tend to start on the farm homestead, taking
the form of small business enterprises such as crafts, baking, and
tailoring which are located within the home. Subsequently, investment
expands to nonfarm activities off the homestead but within the settlement
area, with these including small general stores and transport for hire
in the form of two- and four-wheel tractors, trucks, taxis, and mini
and other buses. Still later, investments may be made in urban real
estate and businesses.

As incomes go up, many settlers prefer to hire laborers for a
increasing proportion of agricultural tasks. Especially in irrigated
settlements in Africa, Asia, and the Middle East, the number of
seasonal and permanent laborers may exceed the number of settler
families.

Farm diversification and increasing net income among settlers
also facilitate the development of commercial and service centers
which process the produce and serve farm and nonfarm family needs.









- 19 -


4. Stage Four: Handing Over and Incorporation

a. Handing Over. Because of the observed inefficiency
of long-established national and special project settlement agencies
and because of the frequently negative impact of educational systems
on the willingness of settler children to continue farming, I do not
consider any settlement to be a success until a degree of handing over
control to settlers and other local institutions has occurred and
until a second generation of settlers has taken over. Handing over
activities to departmental, local government, and settler organizations
is a tricky business which can proceed both too rapidly and too slowly.
On the whole, however, the problem in the postcolonial era is that
settlement agencies retain for too long a period a wide range of
activities which could be more efficiently carried out under a policy
of devolution to local organizations. Since it is natural for
bureaucrats to endeavor to perpetuate themselves in space and time,
the problem of inefficient national and special settlement agencies is
a major one during the later stages of settlement projects. Indeed,
it is so major in some cases as to possibly offset the undeniable
advantages of such centralized and hierarchical organizations during
the initial stages.

Because of the nature of the educational system and the
propensity of settler families to invest in the education of their
children, a number of older settlements are having difficulty in
passing on farm activities to the children of settlers as the first
generation retires.

b. Incorporation. Incorporation refers to the process
whereby a new lands settlement becomes an integrated part (rather than
a special enclave) of the region within which it is situated. Physical
handing over alone is not sufficient. The incorporating agencies must
have the personnel and capital resources and the will to take over
essential settlement services so these services do not subsequently
break down.

Part of the problem is political incorporation, since
settlement organizations will not be able to compete for regional
resources after handing over unless they are integrated within the
political economy of the region. So incorporation has a number of
aspects which extend beyond the process of handing over. Furthermore,
if larger and more diversified new lands settlements are to realize
their potential for catalyzing a process of regional development,
incorporation must enable the settlement area to play a major role
in influencing regional policies and the implementation of those
policies.









- 19 -


4. Stage Four: Handing Over and Incorporation

a. Handing Over. Because of the observed inefficiency
of long-established national and special project settlement agencies
and because of the frequently negative impact of educational systems
on the willingness of settler children to continue farming, I do not
consider any settlement to be a success until a degree of handing over
control to settlers and other local institutions has occurred and
until a second generation of settlers has taken over. Handing over
activities to departmental, local government, and settler organizations
is a tricky business which can proceed both too rapidly and too slowly.
On the whole, however, the problem in the postcolonial era is that
settlement agencies retain for too long a period a wide range of
activities which could be more efficiently carried out under a policy
of devolution to local organizations. Since it is natural for
bureaucrats to endeavor to perpetuate themselves in space and time,
the problem of inefficient national and special settlement agencies is
a major one during the later stages of settlement projects. Indeed,
it is so major in some cases as to possibly offset the undeniable
advantages of such centralized and hierarchical organizations during
the initial stages.

Because of the nature of the educational system and the
propensity of settler families to invest in the education of their
children, a number of older settlements are having difficulty in
passing on farm activities to the children of settlers as the first
generation retires.

b. Incorporation. Incorporation refers to the process
whereby a new lands settlement becomes an integrated part (rather than
a special enclave) of the region within which it is situated. Physical
handing over alone is not sufficient. The incorporating agencies must
have the personnel and capital resources and the will to take over
essential settlement services so these services do not subsequently
break down.

Part of the problem is political incorporation, since
settlement organizations will not be able to compete for regional
resources after handing over unless they are integrated within the
political economy of the region. So incorporation has a number of
aspects which extend beyond the process of handing over. Furthermore,
if larger and more diversified new lands settlements are to realize
their potential for catalyzing a process of regional development,
incorporation must enable the settlement area to play a major role
in influencing regional policies and the implementation of those
policies.









- 19 -


4. Stage Four: Handing Over and Incorporation

a. Handing Over. Because of the observed inefficiency
of long-established national and special project settlement agencies
and because of the frequently negative impact of educational systems
on the willingness of settler children to continue farming, I do not
consider any settlement to be a success until a degree of handing over
control to settlers and other local institutions has occurred and
until a second generation of settlers has taken over. Handing over
activities to departmental, local government, and settler organizations
is a tricky business which can proceed both too rapidly and too slowly.
On the whole, however, the problem in the postcolonial era is that
settlement agencies retain for too long a period a wide range of
activities which could be more efficiently carried out under a policy
of devolution to local organizations. Since it is natural for
bureaucrats to endeavor to perpetuate themselves in space and time,
the problem of inefficient national and special settlement agencies is
a major one during the later stages of settlement projects. Indeed,
it is so major in some cases as to possibly offset the undeniable
advantages of such centralized and hierarchical organizations during
the initial stages.

Because of the nature of the educational system and the
propensity of settler families to invest in the education of their
children, a number of older settlements are having difficulty in
passing on farm activities to the children of settlers as the first
generation retires.

b. Incorporation. Incorporation refers to the process
whereby a new lands settlement becomes an integrated part (rather than
a special enclave) of the region within which it is situated. Physical
handing over alone is not sufficient. The incorporating agencies must
have the personnel and capital resources and the will to take over
essential settlement services so these services do not subsequently
break down.

Part of the problem is political incorporation, since
settlement organizations will not be able to compete for regional
resources after handing over unless they are integrated within the
political economy of the region. So incorporation has a number of
aspects which extend beyond the process of handing over. Furthermore,
if larger and more diversified new lands settlements are to realize
their potential for catalyzing a process of regional development,
incorporation must enable the settlement area to play a major role
in influencing regional policies and the implementation of those
policies.









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement









- 20 -


VI. BASIC ISSUES ASSOCIATED WITH STAGE ONE [Planning,
Initial Infrastructure Development, and Recruitment]

A. INTRODUCTION

Each settlement stage is associated with a wide range of
basic issues which must be addressed by planners, administrators,
and settlers. Though their proportional importance may shift through
time, certain issues characterize all stages; others are primarily
associated with a single stage.

To avoid repetition, certain major issues (like settler net
incomes, employment generation and multiplier effects) which have been
already assessed are not dealt with again except in passing. Other
important issues which have already received considerable attention
elsewhere in the literature are also not emphasized.


B. PLANNING

1. Keeping the Plan as Simple as Possible

Evaluation after evaluation has emphasized the need to
carefully prioritize interventions, stressing a relatively small
number of "projects" at a given time in order to realize more
complicated program goals.


2. Keeping Financial Costs per Settler Family Within Reasonable Limits

Financial costs are broken down into capital and recurrent
expenditures, both of which can be significantly reduced by following
courses of action which should actually enhance possibilities for
success rather than reduce them. The paragraphs that follow are not
meant to be inclusive; rather their purpose is to illustrate a range
of policy options which could reduce costs without jeopardizing the
chances for project success.

a. Settlement Type. Financial costs go up as the
proportion of sponsored settlers increase relative to hosts and
spontaneous settlers. According to Judith Tendler, the incorporation
of spontaneous settlers within a portion of Brazil's Alto Turi project
nearly halved costs per settler family by increasing the number of
beneficiaries, on the one hand, and by decreasing the costs of land
allocation and settlement per beneficiary, on the other.

b. Location of Settlement. In discussing lessons learned,
van Raay and Hilhorst (1981) emphasize that "market proximity is the
major determinant of the economic viability of a land settlement








- 21 -


scheme, the general rule being that the highest net income per ha can
be realized nearest the market centre" (p. iv).

c. Involvement of the Private Sector. Because of the
complexity of integrated area development and its financial costs
it makes sense to involve nongovernmental organizations in the
development process from the very start. As in Malaysia, private
lumber and building contractors can play a major role in clearing
settlement areas of timber and in constructing major infrastructure.
Such private companies might also be willing to shoulder more of the
financial costs of settlement if assured of some of the benefits with
lumbering companies, for example, contributing to access and feeder
road construction in return for lumbering rights.

Joint ventures between government settlement agencies and
commercial companies are another way for organizing a type of
cooperation between the public and private sectors that would
facilitate land settlement. Such ventures could involve forest
product and mining companies as well as agribusinesses. Here I am
not referring so much to the provision of infrastructure as to the
actual settlement of people around the margins of a forest product,
mining, or agribusiness enclave -- with settlers providing produce to
the enclave both as food and, in the case of forest product companies
and agribusiness, as products for processing.

There are also other ways in which the services of the private
sector can be used both to reduce financial costs to the government
and to provide a range of management and other services. Current
government policy in the Mahaweli Basin of Sri Lanka in connection
with the Accelerated Mahaweli Programme is of special interest here
since the Mahaweli Authority of Sri Lanka is experimenting with a
number of mechanisms for involving the private sector. For example,
the MASL has arranged for Hatton National Bank Limited to have
exclusive lending rights to settlers in part of System H, while the
Ceylon Tobacco Company, Limited, has recently begun to manage H-9.

d. Worker/Settlers. Periodically, attempts have been made
to recruit worker/settlers who will clear and prepare their own lands
for cultivation, and construct the infrastructure serving those lands.

Worker/settlers often arrive without their families simply
because living conditions tend to be extremely difficult. Because of
these difficulties and because worker/settlers often come alone, every
effort should be made to ready the land for cultivation and family
occupancy during the first year; otherwise the hardship and suffering
of worker/settlers is apt to be reflected in low morale, increased
illness, suspicion of government intentions, and high "drop-out" rates.

e. Housing. Roads and government built permanent housing
tend to be the two largest single costs associated with settlement








- 21 -


scheme, the general rule being that the highest net income per ha can
be realized nearest the market centre" (p. iv).

c. Involvement of the Private Sector. Because of the
complexity of integrated area development and its financial costs
it makes sense to involve nongovernmental organizations in the
development process from the very start. As in Malaysia, private
lumber and building contractors can play a major role in clearing
settlement areas of timber and in constructing major infrastructure.
Such private companies might also be willing to shoulder more of the
financial costs of settlement if assured of some of the benefits with
lumbering companies, for example, contributing to access and feeder
road construction in return for lumbering rights.

Joint ventures between government settlement agencies and
commercial companies are another way for organizing a type of
cooperation between the public and private sectors that would
facilitate land settlement. Such ventures could involve forest
product and mining companies as well as agribusinesses. Here I am
not referring so much to the provision of infrastructure as to the
actual settlement of people around the margins of a forest product,
mining, or agribusiness enclave -- with settlers providing produce to
the enclave both as food and, in the case of forest product companies
and agribusiness, as products for processing.

There are also other ways in which the services of the private
sector can be used both to reduce financial costs to the government
and to provide a range of management and other services. Current
government policy in the Mahaweli Basin of Sri Lanka in connection
with the Accelerated Mahaweli Programme is of special interest here
since the Mahaweli Authority of Sri Lanka is experimenting with a
number of mechanisms for involving the private sector. For example,
the MASL has arranged for Hatton National Bank Limited to have
exclusive lending rights to settlers in part of System H, while the
Ceylon Tobacco Company, Limited, has recently begun to manage H-9.

d. Worker/Settlers. Periodically, attempts have been made
to recruit worker/settlers who will clear and prepare their own lands
for cultivation, and construct the infrastructure serving those lands.

Worker/settlers often arrive without their families simply
because living conditions tend to be extremely difficult. Because of
these difficulties and because worker/settlers often come alone, every
effort should be made to ready the land for cultivation and family
occupancy during the first year; otherwise the hardship and suffering
of worker/settlers is apt to be reflected in low morale, increased
illness, suspicion of government intentions, and high "drop-out" rates.

e. Housing. Roads and government built permanent housing
tend to be the two largest single costs associated with settlement








- 21 -


scheme, the general rule being that the highest net income per ha can
be realized nearest the market centre" (p. iv).

c. Involvement of the Private Sector. Because of the
complexity of integrated area development and its financial costs
it makes sense to involve nongovernmental organizations in the
development process from the very start. As in Malaysia, private
lumber and building contractors can play a major role in clearing
settlement areas of timber and in constructing major infrastructure.
Such private companies might also be willing to shoulder more of the
financial costs of settlement if assured of some of the benefits with
lumbering companies, for example, contributing to access and feeder
road construction in return for lumbering rights.

Joint ventures between government settlement agencies and
commercial companies are another way for organizing a type of
cooperation between the public and private sectors that would
facilitate land settlement. Such ventures could involve forest
product and mining companies as well as agribusinesses. Here I am
not referring so much to the provision of infrastructure as to the
actual settlement of people around the margins of a forest product,
mining, or agribusiness enclave -- with settlers providing produce to
the enclave both as food and, in the case of forest product companies
and agribusiness, as products for processing.

There are also other ways in which the services of the private
sector can be used both to reduce financial costs to the government
and to provide a range of management and other services. Current
government policy in the Mahaweli Basin of Sri Lanka in connection
with the Accelerated Mahaweli Programme is of special interest here
since the Mahaweli Authority of Sri Lanka is experimenting with a
number of mechanisms for involving the private sector. For example,
the MASL has arranged for Hatton National Bank Limited to have
exclusive lending rights to settlers in part of System H, while the
Ceylon Tobacco Company, Limited, has recently begun to manage H-9.

d. Worker/Settlers. Periodically, attempts have been made
to recruit worker/settlers who will clear and prepare their own lands
for cultivation, and construct the infrastructure serving those lands.

Worker/settlers often arrive without their families simply
because living conditions tend to be extremely difficult. Because of
these difficulties and because worker/settlers often come alone, every
effort should be made to ready the land for cultivation and family
occupancy during the first year; otherwise the hardship and suffering
of worker/settlers is apt to be reflected in low morale, increased
illness, suspicion of government intentions, and high "drop-out" rates.

e. Housing. Roads and government built permanent housing
tend to be the two largest single costs associated with settlement









- 22 -


based on rainfed agriculture. While the former are necessary, the
latter are not. In addition to high financial cost, government
provided housing often is both culturally and sociologically
inappropriate. It may constrain family activities and the normal
developmental cycle of the family because of regulations as to how the
housing and the house plots are to be used. Permanent housing also
tends to be associated with relatively small house plots on which it
is not possible for the settler's heir to build his/her own housing so
as to be near aging parents. In effect, government provided housing
locks the social organization of the settler family into "concrete,"
so to speak, while the size of the household plot more often than not
is inadequate for the keeping of animals and the planting of household
gardens. For all these reasons, it makes sense for settlers to build
their own housing wherever possible.

f. Roads. Time and again roads are the major capital
expenditure associated with new lands settlement. In Latin America,
for example, they accounted for 38 percent of public expenditure in
connection with fourteen settlement projects assessed by Nelson. It
is best to recognize such high costs from the start before asking in
what ways they can be reduced. When cost reductions are then
considered, a number of possibilities come to mind. These include
location of settlement areas as close as possible to settled areas
and major market centers and involvement of the private sector.

g. The Phasing of Infrastructure. The phasing of
infrastructure has two major implications in regard to financing of
new lands settlement. On the one hand, it can postpone certain major
capital expenditures until a later time phase of the settlement
process; on the other hand, it may provide a source of income for
partially financing subsequent infrastructural investments.

h. Facilitating the Development of Existing Rural Towns.
We have already noted the propensity of planners to create new rural
towns from scratch, often with unsatisfactory results. Granted the
undeveloped state of the art in the planning of new townships, it
makes far more sense to stimulate the development of existing rural
towns if such exist. Though no comparative data exists, I presume
such an approach would also be significantly cheaper financially.


3. Feasibility and Planning Studies for Siting New Lands Settlements

Because new lands settlements are situated in relatively
unknown areas there is no substitute for feasibility studies for
considering possible development options and for planning studies to
explore particular options in more detail. Such studies can be
divided into two broad types, the first dealing with the physical and
biotic environment and the second with the host and prospective
settler populations. Time and again settlements are planned and









- 22 -


based on rainfed agriculture. While the former are necessary, the
latter are not. In addition to high financial cost, government
provided housing often is both culturally and sociologically
inappropriate. It may constrain family activities and the normal
developmental cycle of the family because of regulations as to how the
housing and the house plots are to be used. Permanent housing also
tends to be associated with relatively small house plots on which it
is not possible for the settler's heir to build his/her own housing so
as to be near aging parents. In effect, government provided housing
locks the social organization of the settler family into "concrete,"
so to speak, while the size of the household plot more often than not
is inadequate for the keeping of animals and the planting of household
gardens. For all these reasons, it makes sense for settlers to build
their own housing wherever possible.

f. Roads. Time and again roads are the major capital
expenditure associated with new lands settlement. In Latin America,
for example, they accounted for 38 percent of public expenditure in
connection with fourteen settlement projects assessed by Nelson. It
is best to recognize such high costs from the start before asking in
what ways they can be reduced. When cost reductions are then
considered, a number of possibilities come to mind. These include
location of settlement areas as close as possible to settled areas
and major market centers and involvement of the private sector.

g. The Phasing of Infrastructure. The phasing of
infrastructure has two major implications in regard to financing of
new lands settlement. On the one hand, it can postpone certain major
capital expenditures until a later time phase of the settlement
process; on the other hand, it may provide a source of income for
partially financing subsequent infrastructural investments.

h. Facilitating the Development of Existing Rural Towns.
We have already noted the propensity of planners to create new rural
towns from scratch, often with unsatisfactory results. Granted the
undeveloped state of the art in the planning of new townships, it
makes far more sense to stimulate the development of existing rural
towns if such exist. Though no comparative data exists, I presume
such an approach would also be significantly cheaper financially.


3. Feasibility and Planning Studies for Siting New Lands Settlements

Because new lands settlements are situated in relatively
unknown areas there is no substitute for feasibility studies for
considering possible development options and for planning studies to
explore particular options in more detail. Such studies can be
divided into two broad types, the first dealing with the physical and
biotic environment and the second with the host and prospective
settler populations. Time and again settlements are planned and









- 22 -


based on rainfed agriculture. While the former are necessary, the
latter are not. In addition to high financial cost, government
provided housing often is both culturally and sociologically
inappropriate. It may constrain family activities and the normal
developmental cycle of the family because of regulations as to how the
housing and the house plots are to be used. Permanent housing also
tends to be associated with relatively small house plots on which it
is not possible for the settler's heir to build his/her own housing so
as to be near aging parents. In effect, government provided housing
locks the social organization of the settler family into "concrete,"
so to speak, while the size of the household plot more often than not
is inadequate for the keeping of animals and the planting of household
gardens. For all these reasons, it makes sense for settlers to build
their own housing wherever possible.

f. Roads. Time and again roads are the major capital
expenditure associated with new lands settlement. In Latin America,
for example, they accounted for 38 percent of public expenditure in
connection with fourteen settlement projects assessed by Nelson. It
is best to recognize such high costs from the start before asking in
what ways they can be reduced. When cost reductions are then
considered, a number of possibilities come to mind. These include
location of settlement areas as close as possible to settled areas
and major market centers and involvement of the private sector.

g. The Phasing of Infrastructure. The phasing of
infrastructure has two major implications in regard to financing of
new lands settlement. On the one hand, it can postpone certain major
capital expenditures until a later time phase of the settlement
process; on the other hand, it may provide a source of income for
partially financing subsequent infrastructural investments.

h. Facilitating the Development of Existing Rural Towns.
We have already noted the propensity of planners to create new rural
towns from scratch, often with unsatisfactory results. Granted the
undeveloped state of the art in the planning of new townships, it
makes far more sense to stimulate the development of existing rural
towns if such exist. Though no comparative data exists, I presume
such an approach would also be significantly cheaper financially.


3. Feasibility and Planning Studies for Siting New Lands Settlements

Because new lands settlements are situated in relatively
unknown areas there is no substitute for feasibility studies for
considering possible development options and for planning studies to
explore particular options in more detail. Such studies can be
divided into two broad types, the first dealing with the physical and
biotic environment and the second with the host and prospective
settler populations. Time and again settlements are planned and









- 22 -


based on rainfed agriculture. While the former are necessary, the
latter are not. In addition to high financial cost, government
provided housing often is both culturally and sociologically
inappropriate. It may constrain family activities and the normal
developmental cycle of the family because of regulations as to how the
housing and the house plots are to be used. Permanent housing also
tends to be associated with relatively small house plots on which it
is not possible for the settler's heir to build his/her own housing so
as to be near aging parents. In effect, government provided housing
locks the social organization of the settler family into "concrete,"
so to speak, while the size of the household plot more often than not
is inadequate for the keeping of animals and the planting of household
gardens. For all these reasons, it makes sense for settlers to build
their own housing wherever possible.

f. Roads. Time and again roads are the major capital
expenditure associated with new lands settlement. In Latin America,
for example, they accounted for 38 percent of public expenditure in
connection with fourteen settlement projects assessed by Nelson. It
is best to recognize such high costs from the start before asking in
what ways they can be reduced. When cost reductions are then
considered, a number of possibilities come to mind. These include
location of settlement areas as close as possible to settled areas
and major market centers and involvement of the private sector.

g. The Phasing of Infrastructure. The phasing of
infrastructure has two major implications in regard to financing of
new lands settlement. On the one hand, it can postpone certain major
capital expenditures until a later time phase of the settlement
process; on the other hand, it may provide a source of income for
partially financing subsequent infrastructural investments.

h. Facilitating the Development of Existing Rural Towns.
We have already noted the propensity of planners to create new rural
towns from scratch, often with unsatisfactory results. Granted the
undeveloped state of the art in the planning of new townships, it
makes far more sense to stimulate the development of existing rural
towns if such exist. Though no comparative data exists, I presume
such an approach would also be significantly cheaper financially.


3. Feasibility and Planning Studies for Siting New Lands Settlements

Because new lands settlements are situated in relatively
unknown areas there is no substitute for feasibility studies for
considering possible development options and for planning studies to
explore particular options in more detail. Such studies can be
divided into two broad types, the first dealing with the physical and
biotic environment and the second with the host and prospective
settler populations. Time and again settlements are planned and








- 23 -


implemented without adequate information on the physical and biotic
environment. Time and again a major reason for their subsequent
failure or inability to realize their development potential is due to
the failure to carry out appropriate climatic, hydrological, and soil
surveys or to utilize available data. Socioeconomic surveys of the
hosts should provide data on their numbers, their systems of land
tenure and land use, their water rights, and, to an extent, their
socioeconomic systems. Surveys of the numbers and lifeways of the
host population are needed to establish the total population that
will be impacted upon by a possible settlement project and to assess
their attitudes toward being incorporated should settlement proceed.
Studies of land tenure and water rights are needed to define host
concepts of tenure according to customary law. It is fair neither to
the hosts nor to the settlers to ignore customary tenure, since future
land disputes can jeopardize the entire settlement process. As for
the study of host systems of land (and water) use, these can yield
invaluable information on the resources of the area and how to utilize
them.

Information on prospective settlers has two major uses.
First, it can provide data of use in planning and implementing the
settlement itself. Second, it can provide information of how the
emigration of a significant number of people from a particular locale
can be used to facilitate the development of that locale.


C. PLANNING FARMING SYSTEMS

1. Introduction

Agricultural diversification in terms of the integrated
planning of farming systems, fisheries, and silviculture is a rare
feature of settlement projects. The same applies even to farming
systems diversification, both in connection with diversification
within a particular farming system and between farming systems.
Throughout the tropics and subtropics, new lands settlements have been
planned and implemented as agricultural production schemes based on a
relatively small number of crops for export and domestic consumption
in that order of priority. Yet diversifying agricultural systems and,
more specifically, farming systems increases the development potential
of new lands settlements. In the discussion that follows, the need
for diversification must continually be kept in mind.


2. The Need for Research

There is no substitute for research for agricultural
development. Simply because so little is known about new lands
settlement areas, this must start at the earliest possible moment.
Because most new lands settlement areas will be colonized by small








- 23 -


implemented without adequate information on the physical and biotic
environment. Time and again a major reason for their subsequent
failure or inability to realize their development potential is due to
the failure to carry out appropriate climatic, hydrological, and soil
surveys or to utilize available data. Socioeconomic surveys of the
hosts should provide data on their numbers, their systems of land
tenure and land use, their water rights, and, to an extent, their
socioeconomic systems. Surveys of the numbers and lifeways of the
host population are needed to establish the total population that
will be impacted upon by a possible settlement project and to assess
their attitudes toward being incorporated should settlement proceed.
Studies of land tenure and water rights are needed to define host
concepts of tenure according to customary law. It is fair neither to
the hosts nor to the settlers to ignore customary tenure, since future
land disputes can jeopardize the entire settlement process. As for
the study of host systems of land (and water) use, these can yield
invaluable information on the resources of the area and how to utilize
them.

Information on prospective settlers has two major uses.
First, it can provide data of use in planning and implementing the
settlement itself. Second, it can provide information of how the
emigration of a significant number of people from a particular locale
can be used to facilitate the development of that locale.


C. PLANNING FARMING SYSTEMS

1. Introduction

Agricultural diversification in terms of the integrated
planning of farming systems, fisheries, and silviculture is a rare
feature of settlement projects. The same applies even to farming
systems diversification, both in connection with diversification
within a particular farming system and between farming systems.
Throughout the tropics and subtropics, new lands settlements have been
planned and implemented as agricultural production schemes based on a
relatively small number of crops for export and domestic consumption
in that order of priority. Yet diversifying agricultural systems and,
more specifically, farming systems increases the development potential
of new lands settlements. In the discussion that follows, the need
for diversification must continually be kept in mind.


2. The Need for Research

There is no substitute for research for agricultural
development. Simply because so little is known about new lands
settlement areas, this must start at the earliest possible moment.
Because most new lands settlement areas will be colonized by small








- 23 -


implemented without adequate information on the physical and biotic
environment. Time and again a major reason for their subsequent
failure or inability to realize their development potential is due to
the failure to carry out appropriate climatic, hydrological, and soil
surveys or to utilize available data. Socioeconomic surveys of the
hosts should provide data on their numbers, their systems of land
tenure and land use, their water rights, and, to an extent, their
socioeconomic systems. Surveys of the numbers and lifeways of the
host population are needed to establish the total population that
will be impacted upon by a possible settlement project and to assess
their attitudes toward being incorporated should settlement proceed.
Studies of land tenure and water rights are needed to define host
concepts of tenure according to customary law. It is fair neither to
the hosts nor to the settlers to ignore customary tenure, since future
land disputes can jeopardize the entire settlement process. As for
the study of host systems of land (and water) use, these can yield
invaluable information on the resources of the area and how to utilize
them.

Information on prospective settlers has two major uses.
First, it can provide data of use in planning and implementing the
settlement itself. Second, it can provide information of how the
emigration of a significant number of people from a particular locale
can be used to facilitate the development of that locale.


C. PLANNING FARMING SYSTEMS

1. Introduction

Agricultural diversification in terms of the integrated
planning of farming systems, fisheries, and silviculture is a rare
feature of settlement projects. The same applies even to farming
systems diversification, both in connection with diversification
within a particular farming system and between farming systems.
Throughout the tropics and subtropics, new lands settlements have been
planned and implemented as agricultural production schemes based on a
relatively small number of crops for export and domestic consumption
in that order of priority. Yet diversifying agricultural systems and,
more specifically, farming systems increases the development potential
of new lands settlements. In the discussion that follows, the need
for diversification must continually be kept in mind.


2. The Need for Research

There is no substitute for research for agricultural
development. Simply because so little is known about new lands
settlement areas, this must start at the earliest possible moment.
Because most new lands settlement areas will be colonized by small









- 24 -


holders, agricultural research should be oriented toward the creation
of more productive farming systems. While I am not suggesting that
conventional crop research be deemphasized, I am suggesting that every
research station should include an area which simulates in size and
other conditions the different kinds of settler holdings.

Regardless of focus, all research programs both on the
research station and in the field should be both comparative and
longitudinal. Researchers should also be on the lookout for
"breakthrough" possibilities which could significantly alter or
even revolutionize small holder farming in existing settlement areas,
and which could open up new agro-ecological zones for settlement.

To sum up, I am suggesting that agricultural research stations
in new lands settlement areas not only place more emphasis on appro-
priate farming systems research, but also that they serve as the
institutional base for carrying out a broader range of research
relating to the development of agricultural systems. For example,
serious consideration should be given to basing monitoring and
evaluation activities at agricultural research stations, with the
necessary facilities attached. Since effective extension must be
research based, it also makes sense to place training facilities for
both settlers and extension staff close to research stations.


D. PHASING INFRASTRUCTURE

A common characteristic of settlement agencies is their
attempt to provide instant infrastructure from scratch. Not only
is this a very expensive procedure but, also, it seldom works. For
the majority of settlers, the first few years tend to be the most
difficult. At that time the critical items of infrastructure would
appear to include potable water and certain disease control programs,
access roads, primary schools, and in the case of irrigation projects
the timely completion of the irrigation infrastructure and of land
preparation so to ensure the timely delivery of water in the right
amounts to the settlers.

Since settler health tends to suffer during the initial years,
a clean supply of potable water is a major need which, in fact, is
rarely supplied.

All weather access roads service a variety of needs. First,
they provide access not just for the settlers but also for a wide
range of essential goods and services. If access roads are adequate,
private sector entrepreneurs are more apt to move into the area to
provide transportation facilities, and to built general stores and
other retail outlets. Second, access roads provide exit routes.
Their very existence reduces the degree of isolation for the settlers.
Like access roads, the early provision of primary schools also








- 25 -


encourages settlers to bring their families and to remain in settle-
ment areas during those initial years of hardship. As for the timely
provision of water in irrigation based settlements, that is a crucial
input which time and again has been delayed with very detrimental
impacts on settler morale, departures rates, and relationships with
the settlement and other government agencies.

From the settler point of view, the need is much less urgent
to provide secondary schools, a hospital, postal and banking services,
and other types of infrastructure during the first five years of the
transition stage. Such items are far more important from the point of
view of administrative staff and other government and private-sector
nonfarm personnel. For them, however, it is both cheaper financially
and quicker to upgrade existing facilities in established rural towns
than to build new towns.


E. SETTLER RECRUITMENT AND POLICY

1. Introduction

Pioneer families tend to be relatively young, often with only
one or two small children. Over the years family size can be expected
to increase significantly, usually exceeding the national average in
terms of the number of children. The planned size of the household
plot should take into consideration the needs of this growing family
unit, including the probability that in their old age the first
generation of settlers will wish their heir to build on the same plot
during the period of handing over.


2. Settler Mix

The global experience is that there are more than enough good
candidates for sponsored settlement. The desired nature of the mix
will vary between countries and from one agro-ecological zone to
another. Generally speaking, in countries with large areas of under-
utilized humid rain forests and with heavily populated old lands with
a significant proportion of landless farmers, spontaneous settlers
tend to outnumber sponsored settlers by three or four to one. The
proportion of spontaneous settlers tends to be significantly less in
areas with rainfall deficiencies during the main cultivation season.

If planners are aware of the history of spontaneous settlement
within the different agro-ecological zones of a particular nation,
obviously they are in a better position to forecast the possible
response of spontaneous settlers to the opening up of new areas and,
based on such estimates, to work out the settler mix. What the mix
should be will also depend on other factors. Since financial costs
per spontaneous settler family tend to be lower, this factor alone may








- 25 -


encourages settlers to bring their families and to remain in settle-
ment areas during those initial years of hardship. As for the timely
provision of water in irrigation based settlements, that is a crucial
input which time and again has been delayed with very detrimental
impacts on settler morale, departures rates, and relationships with
the settlement and other government agencies.

From the settler point of view, the need is much less urgent
to provide secondary schools, a hospital, postal and banking services,
and other types of infrastructure during the first five years of the
transition stage. Such items are far more important from the point of
view of administrative staff and other government and private-sector
nonfarm personnel. For them, however, it is both cheaper financially
and quicker to upgrade existing facilities in established rural towns
than to build new towns.


E. SETTLER RECRUITMENT AND POLICY

1. Introduction

Pioneer families tend to be relatively young, often with only
one or two small children. Over the years family size can be expected
to increase significantly, usually exceeding the national average in
terms of the number of children. The planned size of the household
plot should take into consideration the needs of this growing family
unit, including the probability that in their old age the first
generation of settlers will wish their heir to build on the same plot
during the period of handing over.


2. Settler Mix

The global experience is that there are more than enough good
candidates for sponsored settlement. The desired nature of the mix
will vary between countries and from one agro-ecological zone to
another. Generally speaking, in countries with large areas of under-
utilized humid rain forests and with heavily populated old lands with
a significant proportion of landless farmers, spontaneous settlers
tend to outnumber sponsored settlers by three or four to one. The
proportion of spontaneous settlers tends to be significantly less in
areas with rainfall deficiencies during the main cultivation season.

If planners are aware of the history of spontaneous settlement
within the different agro-ecological zones of a particular nation,
obviously they are in a better position to forecast the possible
response of spontaneous settlers to the opening up of new areas and,
based on such estimates, to work out the settler mix. What the mix
should be will also depend on other factors. Since financial costs
per spontaneous settler family tend to be lower, this factor alone may








- 25 -


encourages settlers to bring their families and to remain in settle-
ment areas during those initial years of hardship. As for the timely
provision of water in irrigation based settlements, that is a crucial
input which time and again has been delayed with very detrimental
impacts on settler morale, departures rates, and relationships with
the settlement and other government agencies.

From the settler point of view, the need is much less urgent
to provide secondary schools, a hospital, postal and banking services,
and other types of infrastructure during the first five years of the
transition stage. Such items are far more important from the point of
view of administrative staff and other government and private-sector
nonfarm personnel. For them, however, it is both cheaper financially
and quicker to upgrade existing facilities in established rural towns
than to build new towns.


E. SETTLER RECRUITMENT AND POLICY

1. Introduction

Pioneer families tend to be relatively young, often with only
one or two small children. Over the years family size can be expected
to increase significantly, usually exceeding the national average in
terms of the number of children. The planned size of the household
plot should take into consideration the needs of this growing family
unit, including the probability that in their old age the first
generation of settlers will wish their heir to build on the same plot
during the period of handing over.


2. Settler Mix

The global experience is that there are more than enough good
candidates for sponsored settlement. The desired nature of the mix
will vary between countries and from one agro-ecological zone to
another. Generally speaking, in countries with large areas of under-
utilized humid rain forests and with heavily populated old lands with
a significant proportion of landless farmers, spontaneous settlers
tend to outnumber sponsored settlers by three or four to one. The
proportion of spontaneous settlers tends to be significantly less in
areas with rainfall deficiencies during the main cultivation season.

If planners are aware of the history of spontaneous settlement
within the different agro-ecological zones of a particular nation,
obviously they are in a better position to forecast the possible
response of spontaneous settlers to the opening up of new areas and,
based on such estimates, to work out the settler mix. What the mix
should be will also depend on other factors. Since financial costs
per spontaneous settler family tend to be lower, this factor alone may








- 26


be significant -- although a site and service approach to sponsored
settlement can also reduce settlement costs. Another factor relates
to whether or not sponsored settlers come from without: the settlement
area or are hosts. In the latter case, the global evaluation suggests
that the best strategy is to incorporate them within the settlement
area if they are willing.

A major conclusion of the global evaluation is that far more
emphasis should be placed on facilitating spontaneous settlement and
combining it with sponsored settlement as a mechanism to tap into the
initiative of spontaneous settlers, to diversify settlement areas in
terms of occupational specialization, and to cut the financial costs
of the settlement process.


3. Recruitment

Where new lands settlements are a major development inter-
vention, serious thought should be given to formulating a national
set of recruitment criteria. While desirable criteria will vary, some
generalizations appear valid. Of these perhaps the most important is
to recruit settlers as families rather than as individuals. Another
is to use a formal point system whereby both spouses are evaluated
according to desirable criteria with recruits being those families
with the highest number of points.

Time and again settlers are interviewed by sponsoring agencies
or local leaders as if they did not have wives or families, and with
little effort made to learn if wives wish to move -- and if they do,
as to whether they have appropriate skills. Special planning is
needed to correct this situation. As a starting point, it makes sense
to recruit only families in which both spouses wish to become settlers.
As for establishing a point system, not only does that require more
careful thought about the relative merits of different criteria, but it
also reduces the possibility of favoritism within the selection process.

Though it is far more difficult to generalize about the
desirability of specific criteria, and very difficult to weigh them in
relationship to each other, even here the global evaluation has led to
some tentative conclusions. Most frequently emphasized are health,
education, skills, background, and number of children. Granted the
hardship associated with the initial years of settlement, good health
is clearly important. On the other hand, the correlation between
education and becoming a productive settler is not clear in spite of a
good bit of attention to this factor in the research literature.
Ideally, sufficient education to be able to read simple instructions
and to keep simple accounts makes sense. Other than that, what
appears to be more important than the number of years of education is
the type of education and the expectations associated with being
educated.









- 27 -


If new lands settlement is to initiate a process of integrated
area development, obviously people must be recruited with both farm
and nonfarm skills. This applies at all community levels, since even
small settler communities need barbers, carpenters, masons, blacksmiths,
curers, midwives, religious leaders, and other skilled personnel. Back-
ground relates more to occupational and class background. Throughout
the tropics and subtropics, we found that sponsored settlers were
overwhelmingly low income rural residents. In this sense, sponsored
settlement is an effective mechanism for assisting low income populations.

The fifth criterion relates to settler family size and more
specifically to number of children, a criterion with which most
settlement planners are concerned. They are faced with a relatively
difficult choice. While younger couples can be expected to be in
better health, and hence more capable of dealing with the early rigors
of settlement, older couples with more, and older, children will have
a larger labor force of family members during those same critical years.
One factor that tends to be ignored are the sociological implications
of a settlement population which initially contains very few three-
generational families and, in comparison to old lands, a very small
proportion of older people. Assuming that a broader mix of people of
different ages is desirable, planning consideration could be given to
actively recruiting older couples to provide the necessary nonfarm
occupational skills. Older women, for example, could be recruited
as midwives and older men as carpenters, masons, and blacksmiths.
Older couples could also be recruited as health practitioners and
religious leaders.


4. Middle-Class Settlers

Periodically governments and settlement agencies have
experimented with the recruitment of middle-class settlers, usually as
a minority within a settlement dominated by lower-class settlers but
occasionally within their own settlement. One or two reasons tend to
be used to justify a policy incorporating middle-class settlers. The
first is that they will make more successful farmers. The second is
that they will provide leadership within the settlement.

There is no evidence that middle-class settlers make better
farmers. On the contrary, what evidence is available suggests that
yields per hectare generally speaking are lower on middle-class
allotments than on peasant holdings within the same settlement.

As for providing leadership, the issue is more complex.
Though Farmer (1957) notes that middle-class settlers in Sri Lanka
"have on the whole done little or nothing to provide any form of
leadership for nearby peasant colonists," small holders at Tahaddi
(Egypt) told members of the Pacific Consultants team that graduates
were useful in pressuring the settlement authorities to live up to









- 28 -


their responsibilities in terms of operating the irrigation system
and providing inputs. At Way Abung, an Indonesian transmigration
settlement in Sumatra, middle-class settlers had been instrumental in
establishing a senior secondary school and other social services which
were then available to all settlers. On the negative side, however,
is the tendency for middle-class settlers to dominate positions of
leadership not just on school boards but also within cooperatives
and other production and marketing oriented settler organizations,
becoming a new rural elite in the process which impedes the subsequent
development of more broadly based settler organizations.

Against this background, there appears to be little justifi-
cation for combining middle- and lower-class settlers in the same
settlement. Rather settlements of small holders should produce
their own leaders, a conclusion which Farmer reached in the 1950s
after his analysis of settlement in Sri Lanka.


5. Exclusions

Though the evidence is overwhelming that new lands settlements
benefit the poor, nonetheless exclusions occur on sociopolitical
grounds. Most frequently such exclusions pertain to host populations,
although they may also be more specifically ethnic. Though exclusions
may be justified in some cases, these would appear to be the minority.
Furthermore, where the hosts are excluded, future conflicts can be
expected to threaten the viability of the settlement process. Though
the international community of donors has the opportunity to at least
question (if not influence) exclusionary policies, rarely have they
done so.


6. Settler Homogeneity

Though governments continue to see new lands settlement as
a mechanism for integrating and nationalizing a heterogeneous
population, the evidence appears overwhelming that settlers prefer to
live and work with co-ethnics and that ethnically homogeneous settler
populations facilitate cooperation, reduce potentially disruptive
conflict, and are a contributary factor to a shorter transition stage.

Cooperation is especially crucial during the early years of
the settlement process when settler families often have to clear and
prepare their land, build temporary homes, and plant and care for
their farms under unfamiliar conditions. Self-help groups for
alleviating labor constraints are formed more often among co-ethnics
than among settlers from different ethnic groups.

While there is very good evidence to back up the
recommendation that co-ethnics from the same locale be settled within









- 28 -


their responsibilities in terms of operating the irrigation system
and providing inputs. At Way Abung, an Indonesian transmigration
settlement in Sumatra, middle-class settlers had been instrumental in
establishing a senior secondary school and other social services which
were then available to all settlers. On the negative side, however,
is the tendency for middle-class settlers to dominate positions of
leadership not just on school boards but also within cooperatives
and other production and marketing oriented settler organizations,
becoming a new rural elite in the process which impedes the subsequent
development of more broadly based settler organizations.

Against this background, there appears to be little justifi-
cation for combining middle- and lower-class settlers in the same
settlement. Rather settlements of small holders should produce
their own leaders, a conclusion which Farmer reached in the 1950s
after his analysis of settlement in Sri Lanka.


5. Exclusions

Though the evidence is overwhelming that new lands settlements
benefit the poor, nonetheless exclusions occur on sociopolitical
grounds. Most frequently such exclusions pertain to host populations,
although they may also be more specifically ethnic. Though exclusions
may be justified in some cases, these would appear to be the minority.
Furthermore, where the hosts are excluded, future conflicts can be
expected to threaten the viability of the settlement process. Though
the international community of donors has the opportunity to at least
question (if not influence) exclusionary policies, rarely have they
done so.


6. Settler Homogeneity

Though governments continue to see new lands settlement as
a mechanism for integrating and nationalizing a heterogeneous
population, the evidence appears overwhelming that settlers prefer to
live and work with co-ethnics and that ethnically homogeneous settler
populations facilitate cooperation, reduce potentially disruptive
conflict, and are a contributary factor to a shorter transition stage.

Cooperation is especially crucial during the early years of
the settlement process when settler families often have to clear and
prepare their land, build temporary homes, and plant and care for
their farms under unfamiliar conditions. Self-help groups for
alleviating labor constraints are formed more often among co-ethnics
than among settlers from different ethnic groups.

While there is very good evidence to back up the
recommendation that co-ethnics from the same locale be settled within









- 29 -


the same community, one advantage of large scale settlement is that
there is room for a range of ethnic groups within the settlement as
a whole. In terms of spatial arrangements, it makes sense for co-
ethnics to be clustered around their own rural service centers.
Mixing between adult members of different ethnic groups would then
occur at the next level in the settlement hierarchy -- that of the
rural town where their children, for example, would mix in junior
and senior secondary schools.


7. Land Acquisition, Land Tenure, and Land Use

a. Land Acquisition. In terms of fairness to both hosts
and settlers alike, land acquisition must be carefully undertaken
before the first settlers arrive so as to reduce the incidence of
subsequent land disputes. Even then, some disputes are almost
inevitable. In spite of this, formal land acquisition and adjudi-
cation policies tend to be neglected by settlement planners until
after conflicts occur.

b. Land Tenure and Land Use. No generalizations are
possible as to the relative merits of individual versus communal
control and cultivation of land. Rather the key factor is working
out a form of tenure which provides sufficient security to the
settler family to encourage members not only to maintain their
allotment but also to make permanent improvements, and to develop
a form of cultivation which the settlers support. Within these
limits many possibilities exist -- including family cultivation and
control of land, family cultivation and settlement agency control of
land, family cultivation and communal control of land, and communal
cultivation and control of land. There is little doubt, however,
that the majority of settlers in the tropics and subtropics prefer
family cultivation and control of land. So do the majority of
settlement scholars who expressed themselves on this matter.

Settlement agencies, on the other hand, tend to shy away from
granting titles to settlers (even where promised), preferring tenancy
type arrangements based on annual or longer term leases which
theoretically can be terminated at the discretion of the settlement
agency. This preference for tenancy arrangements and for long term
purchase options can be largely explained in terms of two government
concerns. The first is a concern for maintaining certain agricultural
production goals -- goals which the settlement agency fears will not
be met if settlers have full title to their land. The second is
concern that settlers will sell their land to speculators, hence
interfering with social equity goals -- or they will subdivide it
among heirs, hence interfering with production goals.

Both of these concerns appear exaggerated when compared with
the problems associated with lack of settler security over land









- 29 -


the same community, one advantage of large scale settlement is that
there is room for a range of ethnic groups within the settlement as
a whole. In terms of spatial arrangements, it makes sense for co-
ethnics to be clustered around their own rural service centers.
Mixing between adult members of different ethnic groups would then
occur at the next level in the settlement hierarchy -- that of the
rural town where their children, for example, would mix in junior
and senior secondary schools.


7. Land Acquisition, Land Tenure, and Land Use

a. Land Acquisition. In terms of fairness to both hosts
and settlers alike, land acquisition must be carefully undertaken
before the first settlers arrive so as to reduce the incidence of
subsequent land disputes. Even then, some disputes are almost
inevitable. In spite of this, formal land acquisition and adjudi-
cation policies tend to be neglected by settlement planners until
after conflicts occur.

b. Land Tenure and Land Use. No generalizations are
possible as to the relative merits of individual versus communal
control and cultivation of land. Rather the key factor is working
out a form of tenure which provides sufficient security to the
settler family to encourage members not only to maintain their
allotment but also to make permanent improvements, and to develop
a form of cultivation which the settlers support. Within these
limits many possibilities exist -- including family cultivation and
control of land, family cultivation and settlement agency control of
land, family cultivation and communal control of land, and communal
cultivation and control of land. There is little doubt, however,
that the majority of settlers in the tropics and subtropics prefer
family cultivation and control of land. So do the majority of
settlement scholars who expressed themselves on this matter.

Settlement agencies, on the other hand, tend to shy away from
granting titles to settlers (even where promised), preferring tenancy
type arrangements based on annual or longer term leases which
theoretically can be terminated at the discretion of the settlement
agency. This preference for tenancy arrangements and for long term
purchase options can be largely explained in terms of two government
concerns. The first is a concern for maintaining certain agricultural
production goals -- goals which the settlement agency fears will not
be met if settlers have full title to their land. The second is
concern that settlers will sell their land to speculators, hence
interfering with social equity goals -- or they will subdivide it
among heirs, hence interfering with production goals.

Both of these concerns appear exaggerated when compared with
the problems associated with lack of settler security over land









- 29 -


the same community, one advantage of large scale settlement is that
there is room for a range of ethnic groups within the settlement as
a whole. In terms of spatial arrangements, it makes sense for co-
ethnics to be clustered around their own rural service centers.
Mixing between adult members of different ethnic groups would then
occur at the next level in the settlement hierarchy -- that of the
rural town where their children, for example, would mix in junior
and senior secondary schools.


7. Land Acquisition, Land Tenure, and Land Use

a. Land Acquisition. In terms of fairness to both hosts
and settlers alike, land acquisition must be carefully undertaken
before the first settlers arrive so as to reduce the incidence of
subsequent land disputes. Even then, some disputes are almost
inevitable. In spite of this, formal land acquisition and adjudi-
cation policies tend to be neglected by settlement planners until
after conflicts occur.

b. Land Tenure and Land Use. No generalizations are
possible as to the relative merits of individual versus communal
control and cultivation of land. Rather the key factor is working
out a form of tenure which provides sufficient security to the
settler family to encourage members not only to maintain their
allotment but also to make permanent improvements, and to develop
a form of cultivation which the settlers support. Within these
limits many possibilities exist -- including family cultivation and
control of land, family cultivation and settlement agency control of
land, family cultivation and communal control of land, and communal
cultivation and control of land. There is little doubt, however,
that the majority of settlers in the tropics and subtropics prefer
family cultivation and control of land. So do the majority of
settlement scholars who expressed themselves on this matter.

Settlement agencies, on the other hand, tend to shy away from
granting titles to settlers (even where promised), preferring tenancy
type arrangements based on annual or longer term leases which
theoretically can be terminated at the discretion of the settlement
agency. This preference for tenancy arrangements and for long term
purchase options can be largely explained in terms of two government
concerns. The first is a concern for maintaining certain agricultural
production goals -- goals which the settlement agency fears will not
be met if settlers have full title to their land. The second is
concern that settlers will sell their land to speculators, hence
interfering with social equity goals -- or they will subdivide it
among heirs, hence interfering with production goals.

Both of these concerns appear exaggerated when compared with
the problems associated with lack of settler security over land









- 30 -


tenure. Productivity, for example, is more apt to suffer where the
settler has a disincentive to produce and to make permanent improve-
ments because of tenural insecurities, while subdivision may occur
because of inability to obtain credit -- many institutional donors
requiring land title for collateral. Finally, on a disproportionate
number of the more successful settlements, settler families own their
land.

For such reasons as the above, settlement scholars tend to
favor granting land titles to settlers. While they also suggest that
safeguards be institutionalized to reduce land sales and subdivision,
I suspect that the best measures are ready availability of credit
and the development of nonfarm employment for absorbing the second
generation.


8. Target Income and Settlement Pattern

Though target incomes need be carefully thought out in each
case, a starting point for consideration is either the average
national income per employed person or the average income per person
employed in the rural sector.

As for settlement pattern, the general consensus favors a
nucleated settlement. Although a dispersed pattern does not preclude
integrated area development, as shown by the Northern Parana case, it
does make it more difficult to provide a wide range of production
oriented services as well as social services.


9. Size of the Household Plot

A strong argument can be made for not reducing the household
plot below a size which can support various economic activities for
various family members (especially the wife), which can accommodate
some family livestock, and which will allow extra rooms to be added as
new family members appear.


VII. BASIC ISSUES ASSOCIATED WITH STAGE TWO [The Transition Stage]

A. THE DROPOUT PROBLEM: ILLNESS AND INDEBTEDNESS

During the early years of settlement, it is not unusual for
relatively large numbers of both spontaneous and government sponsored
settlers to drop out. Though there is no quantitative data as to
why settlers leave their new homes, case studies indicate a variety of
reasons. Of these, misfortune appears to be a more common explanation
than deficiencies on the part of the settler family. Two types of









- 30 -


tenure. Productivity, for example, is more apt to suffer where the
settler has a disincentive to produce and to make permanent improve-
ments because of tenural insecurities, while subdivision may occur
because of inability to obtain credit -- many institutional donors
requiring land title for collateral. Finally, on a disproportionate
number of the more successful settlements, settler families own their
land.

For such reasons as the above, settlement scholars tend to
favor granting land titles to settlers. While they also suggest that
safeguards be institutionalized to reduce land sales and subdivision,
I suspect that the best measures are ready availability of credit
and the development of nonfarm employment for absorbing the second
generation.


8. Target Income and Settlement Pattern

Though target incomes need be carefully thought out in each
case, a starting point for consideration is either the average
national income per employed person or the average income per person
employed in the rural sector.

As for settlement pattern, the general consensus favors a
nucleated settlement. Although a dispersed pattern does not preclude
integrated area development, as shown by the Northern Parana case, it
does make it more difficult to provide a wide range of production
oriented services as well as social services.


9. Size of the Household Plot

A strong argument can be made for not reducing the household
plot below a size which can support various economic activities for
various family members (especially the wife), which can accommodate
some family livestock, and which will allow extra rooms to be added as
new family members appear.


VII. BASIC ISSUES ASSOCIATED WITH STAGE TWO [The Transition Stage]

A. THE DROPOUT PROBLEM: ILLNESS AND INDEBTEDNESS

During the early years of settlement, it is not unusual for
relatively large numbers of both spontaneous and government sponsored
settlers to drop out. Though there is no quantitative data as to
why settlers leave their new homes, case studies indicate a variety of
reasons. Of these, misfortune appears to be a more common explanation
than deficiencies on the part of the settler family. Two types of









- 30 -


tenure. Productivity, for example, is more apt to suffer where the
settler has a disincentive to produce and to make permanent improve-
ments because of tenural insecurities, while subdivision may occur
because of inability to obtain credit -- many institutional donors
requiring land title for collateral. Finally, on a disproportionate
number of the more successful settlements, settler families own their
land.

For such reasons as the above, settlement scholars tend to
favor granting land titles to settlers. While they also suggest that
safeguards be institutionalized to reduce land sales and subdivision,
I suspect that the best measures are ready availability of credit
and the development of nonfarm employment for absorbing the second
generation.


8. Target Income and Settlement Pattern

Though target incomes need be carefully thought out in each
case, a starting point for consideration is either the average
national income per employed person or the average income per person
employed in the rural sector.

As for settlement pattern, the general consensus favors a
nucleated settlement. Although a dispersed pattern does not preclude
integrated area development, as shown by the Northern Parana case, it
does make it more difficult to provide a wide range of production
oriented services as well as social services.


9. Size of the Household Plot

A strong argument can be made for not reducing the household
plot below a size which can support various economic activities for
various family members (especially the wife), which can accommodate
some family livestock, and which will allow extra rooms to be added as
new family members appear.


VII. BASIC ISSUES ASSOCIATED WITH STAGE TWO [The Transition Stage]

A. THE DROPOUT PROBLEM: ILLNESS AND INDEBTEDNESS

During the early years of settlement, it is not unusual for
relatively large numbers of both spontaneous and government sponsored
settlers to drop out. Though there is no quantitative data as to
why settlers leave their new homes, case studies indicate a variety of
reasons. Of these, misfortune appears to be a more common explanation
than deficiencies on the part of the settler family. Two types of









- 30 -


tenure. Productivity, for example, is more apt to suffer where the
settler has a disincentive to produce and to make permanent improve-
ments because of tenural insecurities, while subdivision may occur
because of inability to obtain credit -- many institutional donors
requiring land title for collateral. Finally, on a disproportionate
number of the more successful settlements, settler families own their
land.

For such reasons as the above, settlement scholars tend to
favor granting land titles to settlers. While they also suggest that
safeguards be institutionalized to reduce land sales and subdivision,
I suspect that the best measures are ready availability of credit
and the development of nonfarm employment for absorbing the second
generation.


8. Target Income and Settlement Pattern

Though target incomes need be carefully thought out in each
case, a starting point for consideration is either the average
national income per employed person or the average income per person
employed in the rural sector.

As for settlement pattern, the general consensus favors a
nucleated settlement. Although a dispersed pattern does not preclude
integrated area development, as shown by the Northern Parana case, it
does make it more difficult to provide a wide range of production
oriented services as well as social services.


9. Size of the Household Plot

A strong argument can be made for not reducing the household
plot below a size which can support various economic activities for
various family members (especially the wife), which can accommodate
some family livestock, and which will allow extra rooms to be added as
new family members appear.


VII. BASIC ISSUES ASSOCIATED WITH STAGE TWO [The Transition Stage]

A. THE DROPOUT PROBLEM: ILLNESS AND INDEBTEDNESS

During the early years of settlement, it is not unusual for
relatively large numbers of both spontaneous and government sponsored
settlers to drop out. Though there is no quantitative data as to
why settlers leave their new homes, case studies indicate a variety of
reasons. Of these, misfortune appears to be a more common explanation
than deficiencies on the part of the settler family. Two types of








- 31


misfortune are mentioned time and again. These are illness and
indebtedness, with the first not infrequently leading to the second.

Indebtedness can occur for a variety of reasons, including
illness and death, crop failure, such social events as weddings, and
fiscal mismanagement. Because of the general absence of other forms
of credit, indebtedness is usually to local moneylenders. Though
their credit is better than none, it is usually provided at very high
interest rates so that debtors may find it virtually impossible to
meet their debt servicing responsibilities, with the result that they
either sell out or have their land taken over by their creditors.


B. DEPENDENCY AND SUBSIDIZATION VERSUS PAYING FOR DEVELOPMENT

1. Dependency

While spontaneous settlers frequently suffer because of
inadequate government assistance, the amount of assistance and the
way in which it is delivered to sponsored settlers may cause them to
become dependent on the settlement agency. Dependency is undesirable
for a number of reasons. First, it delays the arrival of Stage Three
and reduces the development potential of new lands settlement by
curtailing settler initiative. Second, where settler organizations
do form, there is the danger that their activities will be dispropor-
tionately concerned with settlement agency-settler organization
relationships. Third, settler dependency increases the financial
cost of settlement since the settlement agency must retain a large
staff and continue carrying out a range of activities which could
otherwise have been handed over to local management. The best way
to avoid these disadvantages is to attempt to involve the settlers
in settlement decisionmaking and management at the very start.


2. Subsidization, Food Aid, and Paying for Development

While subsidization of settlers should be kept to the absolute
minimum at all times, during the initial years of settlement special
assistance may be necessary. This is especially the case in regard to
worker/settler programs where the settlers need shelter, water, and
food while preparing the settlement area. It also applies to cases,
of which there are many, where it is unlikely that settlers will be
able to meet their food needs during the initial months or years of
settlement.

In all such cases planners should carefully assess ways to
help the settlers become self-sufficient at the earliest possible
moment with the least danger of a settler-settlement agency dependency
relationship developing. Special attention should be given to
procedures which enable the settlers to plant customary food crops








- 31


misfortune are mentioned time and again. These are illness and
indebtedness, with the first not infrequently leading to the second.

Indebtedness can occur for a variety of reasons, including
illness and death, crop failure, such social events as weddings, and
fiscal mismanagement. Because of the general absence of other forms
of credit, indebtedness is usually to local moneylenders. Though
their credit is better than none, it is usually provided at very high
interest rates so that debtors may find it virtually impossible to
meet their debt servicing responsibilities, with the result that they
either sell out or have their land taken over by their creditors.


B. DEPENDENCY AND SUBSIDIZATION VERSUS PAYING FOR DEVELOPMENT

1. Dependency

While spontaneous settlers frequently suffer because of
inadequate government assistance, the amount of assistance and the
way in which it is delivered to sponsored settlers may cause them to
become dependent on the settlement agency. Dependency is undesirable
for a number of reasons. First, it delays the arrival of Stage Three
and reduces the development potential of new lands settlement by
curtailing settler initiative. Second, where settler organizations
do form, there is the danger that their activities will be dispropor-
tionately concerned with settlement agency-settler organization
relationships. Third, settler dependency increases the financial
cost of settlement since the settlement agency must retain a large
staff and continue carrying out a range of activities which could
otherwise have been handed over to local management. The best way
to avoid these disadvantages is to attempt to involve the settlers
in settlement decisionmaking and management at the very start.


2. Subsidization, Food Aid, and Paying for Development

While subsidization of settlers should be kept to the absolute
minimum at all times, during the initial years of settlement special
assistance may be necessary. This is especially the case in regard to
worker/settler programs where the settlers need shelter, water, and
food while preparing the settlement area. It also applies to cases,
of which there are many, where it is unlikely that settlers will be
able to meet their food needs during the initial months or years of
settlement.

In all such cases planners should carefully assess ways to
help the settlers become self-sufficient at the earliest possible
moment with the least danger of a settler-settlement agency dependency
relationship developing. Special attention should be given to
procedures which enable the settlers to plant customary food crops








- 31


misfortune are mentioned time and again. These are illness and
indebtedness, with the first not infrequently leading to the second.

Indebtedness can occur for a variety of reasons, including
illness and death, crop failure, such social events as weddings, and
fiscal mismanagement. Because of the general absence of other forms
of credit, indebtedness is usually to local moneylenders. Though
their credit is better than none, it is usually provided at very high
interest rates so that debtors may find it virtually impossible to
meet their debt servicing responsibilities, with the result that they
either sell out or have their land taken over by their creditors.


B. DEPENDENCY AND SUBSIDIZATION VERSUS PAYING FOR DEVELOPMENT

1. Dependency

While spontaneous settlers frequently suffer because of
inadequate government assistance, the amount of assistance and the
way in which it is delivered to sponsored settlers may cause them to
become dependent on the settlement agency. Dependency is undesirable
for a number of reasons. First, it delays the arrival of Stage Three
and reduces the development potential of new lands settlement by
curtailing settler initiative. Second, where settler organizations
do form, there is the danger that their activities will be dispropor-
tionately concerned with settlement agency-settler organization
relationships. Third, settler dependency increases the financial
cost of settlement since the settlement agency must retain a large
staff and continue carrying out a range of activities which could
otherwise have been handed over to local management. The best way
to avoid these disadvantages is to attempt to involve the settlers
in settlement decisionmaking and management at the very start.


2. Subsidization, Food Aid, and Paying for Development

While subsidization of settlers should be kept to the absolute
minimum at all times, during the initial years of settlement special
assistance may be necessary. This is especially the case in regard to
worker/settler programs where the settlers need shelter, water, and
food while preparing the settlement area. It also applies to cases,
of which there are many, where it is unlikely that settlers will be
able to meet their food needs during the initial months or years of
settlement.

In all such cases planners should carefully assess ways to
help the settlers become self-sufficient at the earliest possible
moment with the least danger of a settler-settlement agency dependency
relationship developing. Special attention should be given to
procedures which enable the settlers to plant customary food crops









- 32 -


while the official farming system is being developed. More often
than not, however, governmental aid will be necessary until the first
adequate harvest occurs. A number of options are available here
including food aid (both national and World Food Programme), wage
labor on the scheme, and subsistence allowances until settlers are
self-supporting. Where there is a choice, in my experience government
provided food for work produces the best results, provided it is
distributed in a timely fashion. The trouble with a food allowance
is that family health may suffer if there is insufficient food for
local purchase prior to the first harvest, if food prices are seriously
inflated, or if the allowance is spent for other purposes. As for
wages, the risk there is that the settlers may come to see themselves
as laborers on a government farm rather than as owner/operators preparing
their future holdings.

While some form of food aid/wages/allowances usually are
necessary for a while on sponsored settlements, other types of
subsidization should be avoided wherever possible. As a general
proposition, settlers should be taxed to the extent that at the very
minimum they pay for recurrent project costs. Whether or not they can
be expected to eventually repay the government for capital investment
will depend on the nature of that investment. As for recurrent costs,
these should be covered by land development and/or water taxes which
are carefully explained to the settlers from the start.


C. ORIENTATION

Whether in the form of orientation or extension, settler
training is one of the weakest aspects of government sponsored
settlement programs. Orientation virtually never occurs; in fact,
among our cases I am aware of only one where a carefully thought
out orientation program has been executed which is separate from
extension. This is the San Julian (Bolivia) settlement orientation
program. Heads of newly recruited settler families are brought
together to the settlement area where they work communally to prepare
the land that subsequently they will cultivate as individual families,
and to build family housing. Throughout the four-month period they
receive orientation and special training.


D. EXTENSION

Throughout the tropics and subtropics the large majority of
settlers are unfamiliar with their new habitat at the time of their
arrival. Clearly if they are to avoid costly mistakes and a lengthy
period of adaptation, both orientation and extension are crucial. We
have already seen that orientation programs are virtually nonexistent
in regard to new lands settlements. As for extension, of the thirty-
six government sponsored settlements on which we have sufficient









- 32 -


while the official farming system is being developed. More often
than not, however, governmental aid will be necessary until the first
adequate harvest occurs. A number of options are available here
including food aid (both national and World Food Programme), wage
labor on the scheme, and subsistence allowances until settlers are
self-supporting. Where there is a choice, in my experience government
provided food for work produces the best results, provided it is
distributed in a timely fashion. The trouble with a food allowance
is that family health may suffer if there is insufficient food for
local purchase prior to the first harvest, if food prices are seriously
inflated, or if the allowance is spent for other purposes. As for
wages, the risk there is that the settlers may come to see themselves
as laborers on a government farm rather than as owner/operators preparing
their future holdings.

While some form of food aid/wages/allowances usually are
necessary for a while on sponsored settlements, other types of
subsidization should be avoided wherever possible. As a general
proposition, settlers should be taxed to the extent that at the very
minimum they pay for recurrent project costs. Whether or not they can
be expected to eventually repay the government for capital investment
will depend on the nature of that investment. As for recurrent costs,
these should be covered by land development and/or water taxes which
are carefully explained to the settlers from the start.


C. ORIENTATION

Whether in the form of orientation or extension, settler
training is one of the weakest aspects of government sponsored
settlement programs. Orientation virtually never occurs; in fact,
among our cases I am aware of only one where a carefully thought
out orientation program has been executed which is separate from
extension. This is the San Julian (Bolivia) settlement orientation
program. Heads of newly recruited settler families are brought
together to the settlement area where they work communally to prepare
the land that subsequently they will cultivate as individual families,
and to build family housing. Throughout the four-month period they
receive orientation and special training.


D. EXTENSION

Throughout the tropics and subtropics the large majority of
settlers are unfamiliar with their new habitat at the time of their
arrival. Clearly if they are to avoid costly mistakes and a lengthy
period of adaptation, both orientation and extension are crucial. We
have already seen that orientation programs are virtually nonexistent
in regard to new lands settlements. As for extension, of the thirty-
six government sponsored settlements on which we have sufficient








- 33 -


information, in nineteen cases (53 percent) extension services were
either nonexistent or minimal, and in only four cases (11 percent)
were they good to excellent in quality (and in one of those cases
they were inadequate in regard to availability). In regard to ten
spontaneous settlements on which we have adequate data, on nine (90
percent) extension services were either nonexistent or minimal.

In spite of the fact that most government sponsored settlement
areas are planned and implemented as agricultural production schemes,
data from the global evaluation show that most of the necessary early
inputs into the implementation of viable farming systems are absent
most of the time. These include soil surveys and research based
extension services.

Though there is no easy solution to the extension problem,
some guidelines can be given. First, the advice extended must
make sense economically as well as technically in the context of
the settlers' farming system or systems. Second, advice must be
presented to the settler family in a consistent fashion and in
the right way. The logical approach to the second guideline is a
unified extension service with one field agent responsible for advising
settlers in regard to the entire farming system (with back up advice
provided by specialized technical officers at the district, section,
or irrigation system level). Presenting extension advice in the right
way refers not just to how the extension agent approaches the settlers
but also to the sex of the agent. A frequent planning weakness of new
lands settlements is that planners are apt to put more stress on the
farmer rather than on the farm family. Not only is the agricultural
role of women apt to be ignored, but agricultural extension personnel
often are exclusively male.

A third guideline relates to terms of service for extension
personnel -- whose morale is frequently low because of inadequate
salaries, inadequate opportunities for advancement, inadequate
housing, and inadequate local transport.


E. COURSES FOR SETTLERS AND TRAINING COMMUNITY EXTENSION
AGENTS FROM AMONG SETTLER FAMILIES

The British introduced farmers' training centers in their
former colonies, while the French paid special attention to training
unpaid village volunteers who were selected by their fellow village
farmers. Both types of training are applicable to new lands
settlements though the actual mix will depend on the nature of the
settlement as well as on the nature of any orientation and extension
programs.








- 34 -


F. LOCAL PARTICIPATION AND SETTLER ORGANIZATIONS

It is becoming increasingly clear that project success is
associated with active local participation. In their Strategies for
Small Farmer Development: An Empirical Study of Rural Development
Projects, Development Alternatives (1975) stated as their primary
findings that "to maximize the chances for project success, the small
farmer should be involved in the decisionmaking process and should
also be persuaded to make a resource commitment to the project"
(Executive Summary:1). Generalizing for irrigation projects,
Radosevich states that "at the local level, countries with the most
successful irrigated agriculture have adopted some form of Water User
Association" (1979), the effectiveness of which appears to increase
where federated up to the irrigation systems level or within a river
basin. Dealing more specifically with settlement, there is the
impressive accomplishments of the San Juan flood refugees in Bolivia,
whose local action greatly facilitated their settlement and served as
a model for the San Julian orientation program.

Granted the lack of social integration which so often
characterizes new lands settlements, settlement agencies should be
prepared to facilitate the development of settler participatory
organizations; indeed, the importance of these in terms of stimulating
development and avoiding dependency is such that their creation should
be built into the enabling legislation establishing settlement
authorities.

Especially important are a wide variety of training programs
for training leaders and staff of community farming associations,
water user associations, and cooperatives. Here a word of warning
is needed since there is a danger that such training programs may
separate the trainee from his or her peers who subsequently view
the trainee not as representing their interests but rather the
government's. As for the scope of settler organizations which are
encouraged by government and other agencies, it is especially
important to not overload them with too many functions.


G. SHORT AND MEDIUM TERM CREDIT

The issue of credit is one of the most difficult policy issues
associated with new lands settlement areas. Though there may be no
correlation, nonetheless on settlement projects where credit is easily
available through government channels, there is also apt to be a
degree of settler dependency which may retard fiscal responsibility
and initiative within the settler family. On the other hand, case
after case shows that inadequate institutional credit can cause
settlers to lose their land, especially following a wide range of
misfortunes. In other words, there are special circumstances where








- 34 -


F. LOCAL PARTICIPATION AND SETTLER ORGANIZATIONS

It is becoming increasingly clear that project success is
associated with active local participation. In their Strategies for
Small Farmer Development: An Empirical Study of Rural Development
Projects, Development Alternatives (1975) stated as their primary
findings that "to maximize the chances for project success, the small
farmer should be involved in the decisionmaking process and should
also be persuaded to make a resource commitment to the project"
(Executive Summary:1). Generalizing for irrigation projects,
Radosevich states that "at the local level, countries with the most
successful irrigated agriculture have adopted some form of Water User
Association" (1979), the effectiveness of which appears to increase
where federated up to the irrigation systems level or within a river
basin. Dealing more specifically with settlement, there is the
impressive accomplishments of the San Juan flood refugees in Bolivia,
whose local action greatly facilitated their settlement and served as
a model for the San Julian orientation program.

Granted the lack of social integration which so often
characterizes new lands settlements, settlement agencies should be
prepared to facilitate the development of settler participatory
organizations; indeed, the importance of these in terms of stimulating
development and avoiding dependency is such that their creation should
be built into the enabling legislation establishing settlement
authorities.

Especially important are a wide variety of training programs
for training leaders and staff of community farming associations,
water user associations, and cooperatives. Here a word of warning
is needed since there is a danger that such training programs may
separate the trainee from his or her peers who subsequently view
the trainee not as representing their interests but rather the
government's. As for the scope of settler organizations which are
encouraged by government and other agencies, it is especially
important to not overload them with too many functions.


G. SHORT AND MEDIUM TERM CREDIT

The issue of credit is one of the most difficult policy issues
associated with new lands settlement areas. Though there may be no
correlation, nonetheless on settlement projects where credit is easily
available through government channels, there is also apt to be a
degree of settler dependency which may retard fiscal responsibility
and initiative within the settler family. On the other hand, case
after case shows that inadequate institutional credit can cause
settlers to lose their land, especially following a wide range of
misfortunes. In other words, there are special circumstances where







- 35 -


credit is needed if otherwise satisfactory settlers are going to
survive as settlers.


1. The Type of Credit

For settlers, the primary need is for short term credit during
the first few years, although medium term credit may be equally
important where farming systems are based on animal traction. With
most farming systems, however, the need for medium term credit
increases as the focus of the settler family shifts increasingly from
production for consumption to production for the market. This trend
should not conceal the probability of an ongoing need for short term
credit not just to deal with shortfalls in production and family
misfortunes but also to deal with such seasonal activities as
purchasing fertilizers and pesticides and recruiting labor for
weeding, harvesting, and other activities.

As for small and medium scale entrepreneurs, their need is more
apt to be for medium term credit to start up businesses, although
small provisioners may need credit for replenishing inventories.


2. Individuals as Sources of Credit

A major function of local elites is to provide credit. Though
they provide an important service here in the absence of alternate
sources of credit, it is usually provided in a patron-client relation-
ship which often enables the patron to profit at the expense of the
client. Another noninstitutional source of funds, and one which should
be encouraged since it helps develop fiscal responsibility, is the
informal rotating savings association or tontine.


3. Institutional Sources of Credit

There are many possible institutional sources of credit, which
can be divided into four general types. These are settlement agency
sources, other government agencies (such as agricultural banks and
agricultural finance corporations), private banks, and settler
organizations.

a. Settlement Agencies. Though one of the more reliable
sources, settlement agency credit is not without its problems. First,
it tends to be tied to a limited number of cash crops in which the
settlement agency has a major interest. Often these are export crops,
with the ready availability of such limited credit interfering with
farming system diversification. Second, the credit may only be
available for a limited range of activities. Third, restrictions on
availability, or on funds, often curtain the credit to a relatively







- 35 -


credit is needed if otherwise satisfactory settlers are going to
survive as settlers.


1. The Type of Credit

For settlers, the primary need is for short term credit during
the first few years, although medium term credit may be equally
important where farming systems are based on animal traction. With
most farming systems, however, the need for medium term credit
increases as the focus of the settler family shifts increasingly from
production for consumption to production for the market. This trend
should not conceal the probability of an ongoing need for short term
credit not just to deal with shortfalls in production and family
misfortunes but also to deal with such seasonal activities as
purchasing fertilizers and pesticides and recruiting labor for
weeding, harvesting, and other activities.

As for small and medium scale entrepreneurs, their need is more
apt to be for medium term credit to start up businesses, although
small provisioners may need credit for replenishing inventories.


2. Individuals as Sources of Credit

A major function of local elites is to provide credit. Though
they provide an important service here in the absence of alternate
sources of credit, it is usually provided in a patron-client relation-
ship which often enables the patron to profit at the expense of the
client. Another noninstitutional source of funds, and one which should
be encouraged since it helps develop fiscal responsibility, is the
informal rotating savings association or tontine.


3. Institutional Sources of Credit

There are many possible institutional sources of credit, which
can be divided into four general types. These are settlement agency
sources, other government agencies (such as agricultural banks and
agricultural finance corporations), private banks, and settler
organizations.

a. Settlement Agencies. Though one of the more reliable
sources, settlement agency credit is not without its problems. First,
it tends to be tied to a limited number of cash crops in which the
settlement agency has a major interest. Often these are export crops,
with the ready availability of such limited credit interfering with
farming system diversification. Second, the credit may only be
available for a limited range of activities. Third, restrictions on
availability, or on funds, often curtain the credit to a relatively







- 35 -


credit is needed if otherwise satisfactory settlers are going to
survive as settlers.


1. The Type of Credit

For settlers, the primary need is for short term credit during
the first few years, although medium term credit may be equally
important where farming systems are based on animal traction. With
most farming systems, however, the need for medium term credit
increases as the focus of the settler family shifts increasingly from
production for consumption to production for the market. This trend
should not conceal the probability of an ongoing need for short term
credit not just to deal with shortfalls in production and family
misfortunes but also to deal with such seasonal activities as
purchasing fertilizers and pesticides and recruiting labor for
weeding, harvesting, and other activities.

As for small and medium scale entrepreneurs, their need is more
apt to be for medium term credit to start up businesses, although
small provisioners may need credit for replenishing inventories.


2. Individuals as Sources of Credit

A major function of local elites is to provide credit. Though
they provide an important service here in the absence of alternate
sources of credit, it is usually provided in a patron-client relation-
ship which often enables the patron to profit at the expense of the
client. Another noninstitutional source of funds, and one which should
be encouraged since it helps develop fiscal responsibility, is the
informal rotating savings association or tontine.


3. Institutional Sources of Credit

There are many possible institutional sources of credit, which
can be divided into four general types. These are settlement agency
sources, other government agencies (such as agricultural banks and
agricultural finance corporations), private banks, and settler
organizations.

a. Settlement Agencies. Though one of the more reliable
sources, settlement agency credit is not without its problems. First,
it tends to be tied to a limited number of cash crops in which the
settlement agency has a major interest. Often these are export crops,
with the ready availability of such limited credit interfering with
farming system diversification. Second, the credit may only be
available for a limited range of activities. Third, restrictions on
availability, or on funds, often curtain the credit to a relatively







- 35 -


credit is needed if otherwise satisfactory settlers are going to
survive as settlers.


1. The Type of Credit

For settlers, the primary need is for short term credit during
the first few years, although medium term credit may be equally
important where farming systems are based on animal traction. With
most farming systems, however, the need for medium term credit
increases as the focus of the settler family shifts increasingly from
production for consumption to production for the market. This trend
should not conceal the probability of an ongoing need for short term
credit not just to deal with shortfalls in production and family
misfortunes but also to deal with such seasonal activities as
purchasing fertilizers and pesticides and recruiting labor for
weeding, harvesting, and other activities.

As for small and medium scale entrepreneurs, their need is more
apt to be for medium term credit to start up businesses, although
small provisioners may need credit for replenishing inventories.


2. Individuals as Sources of Credit

A major function of local elites is to provide credit. Though
they provide an important service here in the absence of alternate
sources of credit, it is usually provided in a patron-client relation-
ship which often enables the patron to profit at the expense of the
client. Another noninstitutional source of funds, and one which should
be encouraged since it helps develop fiscal responsibility, is the
informal rotating savings association or tontine.


3. Institutional Sources of Credit

There are many possible institutional sources of credit, which
can be divided into four general types. These are settlement agency
sources, other government agencies (such as agricultural banks and
agricultural finance corporations), private banks, and settler
organizations.

a. Settlement Agencies. Though one of the more reliable
sources, settlement agency credit is not without its problems. First,
it tends to be tied to a limited number of cash crops in which the
settlement agency has a major interest. Often these are export crops,
with the ready availability of such limited credit interfering with
farming system diversification. Second, the credit may only be
available for a limited range of activities. Third, restrictions on
availability, or on funds, often curtain the credit to a relatively








- 36 -


small proportion of settlers even in project areas with a major credit
component. Fourth, the ready availability of credit through
centralized or even decentralized settlement agencies can increase
settler dependency at the expense of settler initiative.

In spite of such limitations, settlement agencies are a
crucial source of credit during the start-up period of new lands
settlements, when other types of credit institutions are either
hesitant to become involved or, in the case of settler institutions,
are not yet sufficiently organized.

b. Other Government Agencies and Private Institutions.
Throughout the world a variety of national government agencies make
available credit to small farmers. The main limitations associated
with such credit are the lengthy bureaucratic procedures which the
settlers must follow and the limited funds available. Whether in the
form of cash or kind, the credit may be received after the deadline
for its use. The possibilities for involving private banks in credit
programs for new lands settlements are greater than usually realized,
with the result that they are an underutilized source of funds.
Private banks tend to hesitate to become involved with small holder
agriculture for a variety of reasons, including lack of collateral to
secure a loan, the administrative costs of processing many small loans
as opposed to a smaller number of larger ones, and low repayment rates.
There are imaginative approaches, however, which can be used to solve
these problems such as providing loans only to settler organizations
rather than to individuals. In Sri Lanka, Hatton National Bank, Ltd.
has been given a monopoly on supplying credit to small holders in H-5
on the basis of an earlier experiment during the 1970s whereby they
provided credit to farmers on a small scale settlement.

c. Settler Organizations. The global evaluation suggests
that one component that not infrequently is associated with more
successful settlement areas is settler organizations which provide
credit for their members. Possibilities include savings and thrift
associations, cooperatives, water user associations, and community
farm associations.


4. Interest Rates

These must be attractive enough to secure the participation of
private banks and ensure the fiscal viability of other institutions
allocating credit. What evidence is available suggests that settlers
are willing and able to pay such rates, especially if we bear in mind
their willingness to receive credit from individual moneylenders at
much higher interest rates.

A word of caution, however, is needed here which once again
emphasizes the initially poor information base dealing with new lands








- 36 -


small proportion of settlers even in project areas with a major credit
component. Fourth, the ready availability of credit through
centralized or even decentralized settlement agencies can increase
settler dependency at the expense of settler initiative.

In spite of such limitations, settlement agencies are a
crucial source of credit during the start-up period of new lands
settlements, when other types of credit institutions are either
hesitant to become involved or, in the case of settler institutions,
are not yet sufficiently organized.

b. Other Government Agencies and Private Institutions.
Throughout the world a variety of national government agencies make
available credit to small farmers. The main limitations associated
with such credit are the lengthy bureaucratic procedures which the
settlers must follow and the limited funds available. Whether in the
form of cash or kind, the credit may be received after the deadline
for its use. The possibilities for involving private banks in credit
programs for new lands settlements are greater than usually realized,
with the result that they are an underutilized source of funds.
Private banks tend to hesitate to become involved with small holder
agriculture for a variety of reasons, including lack of collateral to
secure a loan, the administrative costs of processing many small loans
as opposed to a smaller number of larger ones, and low repayment rates.
There are imaginative approaches, however, which can be used to solve
these problems such as providing loans only to settler organizations
rather than to individuals. In Sri Lanka, Hatton National Bank, Ltd.
has been given a monopoly on supplying credit to small holders in H-5
on the basis of an earlier experiment during the 1970s whereby they
provided credit to farmers on a small scale settlement.

c. Settler Organizations. The global evaluation suggests
that one component that not infrequently is associated with more
successful settlement areas is settler organizations which provide
credit for their members. Possibilities include savings and thrift
associations, cooperatives, water user associations, and community
farm associations.


4. Interest Rates

These must be attractive enough to secure the participation of
private banks and ensure the fiscal viability of other institutions
allocating credit. What evidence is available suggests that settlers
are willing and able to pay such rates, especially if we bear in mind
their willingness to receive credit from individual moneylenders at
much higher interest rates.

A word of caution, however, is needed here which once again
emphasizes the initially poor information base dealing with new lands








- 36 -


small proportion of settlers even in project areas with a major credit
component. Fourth, the ready availability of credit through
centralized or even decentralized settlement agencies can increase
settler dependency at the expense of settler initiative.

In spite of such limitations, settlement agencies are a
crucial source of credit during the start-up period of new lands
settlements, when other types of credit institutions are either
hesitant to become involved or, in the case of settler institutions,
are not yet sufficiently organized.

b. Other Government Agencies and Private Institutions.
Throughout the world a variety of national government agencies make
available credit to small farmers. The main limitations associated
with such credit are the lengthy bureaucratic procedures which the
settlers must follow and the limited funds available. Whether in the
form of cash or kind, the credit may be received after the deadline
for its use. The possibilities for involving private banks in credit
programs for new lands settlements are greater than usually realized,
with the result that they are an underutilized source of funds.
Private banks tend to hesitate to become involved with small holder
agriculture for a variety of reasons, including lack of collateral to
secure a loan, the administrative costs of processing many small loans
as opposed to a smaller number of larger ones, and low repayment rates.
There are imaginative approaches, however, which can be used to solve
these problems such as providing loans only to settler organizations
rather than to individuals. In Sri Lanka, Hatton National Bank, Ltd.
has been given a monopoly on supplying credit to small holders in H-5
on the basis of an earlier experiment during the 1970s whereby they
provided credit to farmers on a small scale settlement.

c. Settler Organizations. The global evaluation suggests
that one component that not infrequently is associated with more
successful settlement areas is settler organizations which provide
credit for their members. Possibilities include savings and thrift
associations, cooperatives, water user associations, and community
farm associations.


4. Interest Rates

These must be attractive enough to secure the participation of
private banks and ensure the fiscal viability of other institutions
allocating credit. What evidence is available suggests that settlers
are willing and able to pay such rates, especially if we bear in mind
their willingness to receive credit from individual moneylenders at
much higher interest rates.

A word of caution, however, is needed here which once again
emphasizes the initially poor information base dealing with new lands








- 37 -


settlement areas and the high exposure to risks from crop failure
during the first few years. Such risks need be more carefully
calculated by planners. Where they are especially high, the need may
be more for a food aid program during the first few years than a major
credit program, although again some settlers will need credit to cope
with such special circumstances as the severe illness of the family
head.


5. Repayment

Repayment rates tend to be better where settlers are required
to market their crops through the project and where incentives to do
so are high enough to forestall the development of too large a black
market. Repayment also would appear to be better where loans are
given through a settler organization which vouches for loans to
members.

In sum, data from the global evaluation supports the
Development Alternatives conclusion that factors associated with a
good repayment rate include "group rather than individual credit
liability; and compulsory marketing through an organization
established by the project" (1975:24). Under such circumstances,
however, it is important that credit be available for farming
systems diversification rather than just for one or two crops.


6. Eviction of Settlers

Even where careful recruitment procedures are followed,
inevitably some settler families will prove to be unsatisfactory
farmers. This should be anticipated, with minimum standards of
adequacy carefully worked out and explained to settler families as
they are recruited.


VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation]

A. MANAGEMENT

1. Introduction

A major conclusion of the global evaluation is that new lands
settlements cannot stimulate a process of integrated area development
without major external assistance -- the lack of such assistance being
perhaps the major reason why spontaneous settlement has been so
unsuccessful as a development intervention. The primary source of
such assistance is government agencies.








- 37 -


settlement areas and the high exposure to risks from crop failure
during the first few years. Such risks need be more carefully
calculated by planners. Where they are especially high, the need may
be more for a food aid program during the first few years than a major
credit program, although again some settlers will need credit to cope
with such special circumstances as the severe illness of the family
head.


5. Repayment

Repayment rates tend to be better where settlers are required
to market their crops through the project and where incentives to do
so are high enough to forestall the development of too large a black
market. Repayment also would appear to be better where loans are
given through a settler organization which vouches for loans to
members.

In sum, data from the global evaluation supports the
Development Alternatives conclusion that factors associated with a
good repayment rate include "group rather than individual credit
liability; and compulsory marketing through an organization
established by the project" (1975:24). Under such circumstances,
however, it is important that credit be available for farming
systems diversification rather than just for one or two crops.


6. Eviction of Settlers

Even where careful recruitment procedures are followed,
inevitably some settler families will prove to be unsatisfactory
farmers. This should be anticipated, with minimum standards of
adequacy carefully worked out and explained to settler families as
they are recruited.


VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation]

A. MANAGEMENT

1. Introduction

A major conclusion of the global evaluation is that new lands
settlements cannot stimulate a process of integrated area development
without major external assistance -- the lack of such assistance being
perhaps the major reason why spontaneous settlement has been so
unsuccessful as a development intervention. The primary source of
such assistance is government agencies.








- 37 -


settlement areas and the high exposure to risks from crop failure
during the first few years. Such risks need be more carefully
calculated by planners. Where they are especially high, the need may
be more for a food aid program during the first few years than a major
credit program, although again some settlers will need credit to cope
with such special circumstances as the severe illness of the family
head.


5. Repayment

Repayment rates tend to be better where settlers are required
to market their crops through the project and where incentives to do
so are high enough to forestall the development of too large a black
market. Repayment also would appear to be better where loans are
given through a settler organization which vouches for loans to
members.

In sum, data from the global evaluation supports the
Development Alternatives conclusion that factors associated with a
good repayment rate include "group rather than individual credit
liability; and compulsory marketing through an organization
established by the project" (1975:24). Under such circumstances,
however, it is important that credit be available for farming
systems diversification rather than just for one or two crops.


6. Eviction of Settlers

Even where careful recruitment procedures are followed,
inevitably some settler families will prove to be unsatisfactory
farmers. This should be anticipated, with minimum standards of
adequacy carefully worked out and explained to settler families as
they are recruited.


VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation]

A. MANAGEMENT

1. Introduction

A major conclusion of the global evaluation is that new lands
settlements cannot stimulate a process of integrated area development
without major external assistance -- the lack of such assistance being
perhaps the major reason why spontaneous settlement has been so
unsuccessful as a development intervention. The primary source of
such assistance is government agencies.








- 37 -


settlement areas and the high exposure to risks from crop failure
during the first few years. Such risks need be more carefully
calculated by planners. Where they are especially high, the need may
be more for a food aid program during the first few years than a major
credit program, although again some settlers will need credit to cope
with such special circumstances as the severe illness of the family
head.


5. Repayment

Repayment rates tend to be better where settlers are required
to market their crops through the project and where incentives to do
so are high enough to forestall the development of too large a black
market. Repayment also would appear to be better where loans are
given through a settler organization which vouches for loans to
members.

In sum, data from the global evaluation supports the
Development Alternatives conclusion that factors associated with a
good repayment rate include "group rather than individual credit
liability; and compulsory marketing through an organization
established by the project" (1975:24). Under such circumstances,
however, it is important that credit be available for farming
systems diversification rather than just for one or two crops.


6. Eviction of Settlers

Even where careful recruitment procedures are followed,
inevitably some settler families will prove to be unsatisfactory
farmers. This should be anticipated, with minimum standards of
adequacy carefully worked out and explained to settler families as
they are recruited.


VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation]

A. MANAGEMENT

1. Introduction

A major conclusion of the global evaluation is that new lands
settlements cannot stimulate a process of integrated area development
without major external assistance -- the lack of such assistance being
perhaps the major reason why spontaneous settlement has been so
unsuccessful as a development intervention. The primary source of
such assistance is government agencies.








- 37 -


settlement areas and the high exposure to risks from crop failure
during the first few years. Such risks need be more carefully
calculated by planners. Where they are especially high, the need may
be more for a food aid program during the first few years than a major
credit program, although again some settlers will need credit to cope
with such special circumstances as the severe illness of the family
head.


5. Repayment

Repayment rates tend to be better where settlers are required
to market their crops through the project and where incentives to do
so are high enough to forestall the development of too large a black
market. Repayment also would appear to be better where loans are
given through a settler organization which vouches for loans to
members.

In sum, data from the global evaluation supports the
Development Alternatives conclusion that factors associated with a
good repayment rate include "group rather than individual credit
liability; and compulsory marketing through an organization
established by the project" (1975:24). Under such circumstances,
however, it is important that credit be available for farming
systems diversification rather than just for one or two crops.


6. Eviction of Settlers

Even where careful recruitment procedures are followed,
inevitably some settler families will prove to be unsatisfactory
farmers. This should be anticipated, with minimum standards of
adequacy carefully worked out and explained to settler families as
they are recruited.


VIII. BASIC ISSUES ASSOCIATED WITH STAGES THREE AND FOUR
[Economic and Social Development; Handing Over and Incorporation]

A. MANAGEMENT

1. Introduction

A major conclusion of the global evaluation is that new lands
settlements cannot stimulate a process of integrated area development
without major external assistance -- the lack of such assistance being
perhaps the major reason why spontaneous settlement has been so
unsuccessful as a development intervention. The primary source of
such assistance is government agencies.







- 38 -


Having emphasized the need for government assistance, it is
also important to emphasize that inadequate government assistance and
management capabilities may also become the major constraint facing
settlement development. Partly for this reason it is important to
stress the need for combining government initiative with local
participation, and with private sector and private voluntary organi-
zation cooperation. Creating viable new lands settlements is a
complicated ongoing task, with case after case indicating that where
government agencies attempt to go it alone, they are apt to become a
constraint on the very development that they are supposed to foster.


2. Centralized and Autonomous Government Management
Agencies Versus Coordinating Agencies

The conventional wisdom is that large-scale settlement
projects are best carried out by autonomous specialized or national
settlement agencies. While such centralized agencies are parastatals
established outside the normal departmental structure through special
statute, coordinating agencies tend to be incorporated within a
particular government ministry or department.

a. Parastatal Management Agencies. In theory parastatals
have the flexibility to plan, implement and manage through time the
complicated components associated with settlement and integrated area
development whereas government departments do not. At least at the
beginning they also are apt to have considerable political support
which is translated into funds, personnel and influence. Powerful
autonomous agencies are also in a stronger position to lobby for
additional resources and to protect settlers against outside interests.
To attract staff such agencies also tend to offer higher salaries,
hence achieving better staff quality and continuity.

Though the strengths of parastatal settlement agencies have
received considerable emphasis, less attention has been paid to their
weaknesses. Three types of weaknesses, linked to an extent, appear
with relative frequency. The first is an increasing inability to
service the settlement area as time goes by, while the second relates
to poor relationships with other government departments. The third
relates to an inability to hand over managerial responsibilities
to settler organizations, rural and municipal councils and other
government agencies. This tendency to resist devolution increases
the risk that the settlement bureaucracy will become more inefficient
as the years go by, especially if political influence wanes with time,
so that financial resources are cut and the better staff seek more
rewarding job opportunities elsewhere.

While there are no easy solutions to the weaknesses outlined
above, two types of approach exist -- the one political and the other
based on budgetary inducements and constraints. Both have the same







- 38 -


Having emphasized the need for government assistance, it is
also important to emphasize that inadequate government assistance and
management capabilities may also become the major constraint facing
settlement development. Partly for this reason it is important to
stress the need for combining government initiative with local
participation, and with private sector and private voluntary organi-
zation cooperation. Creating viable new lands settlements is a
complicated ongoing task, with case after case indicating that where
government agencies attempt to go it alone, they are apt to become a
constraint on the very development that they are supposed to foster.


2. Centralized and Autonomous Government Management
Agencies Versus Coordinating Agencies

The conventional wisdom is that large-scale settlement
projects are best carried out by autonomous specialized or national
settlement agencies. While such centralized agencies are parastatals
established outside the normal departmental structure through special
statute, coordinating agencies tend to be incorporated within a
particular government ministry or department.

a. Parastatal Management Agencies. In theory parastatals
have the flexibility to plan, implement and manage through time the
complicated components associated with settlement and integrated area
development whereas government departments do not. At least at the
beginning they also are apt to have considerable political support
which is translated into funds, personnel and influence. Powerful
autonomous agencies are also in a stronger position to lobby for
additional resources and to protect settlers against outside interests.
To attract staff such agencies also tend to offer higher salaries,
hence achieving better staff quality and continuity.

Though the strengths of parastatal settlement agencies have
received considerable emphasis, less attention has been paid to their
weaknesses. Three types of weaknesses, linked to an extent, appear
with relative frequency. The first is an increasing inability to
service the settlement area as time goes by, while the second relates
to poor relationships with other government departments. The third
relates to an inability to hand over managerial responsibilities
to settler organizations, rural and municipal councils and other
government agencies. This tendency to resist devolution increases
the risk that the settlement bureaucracy will become more inefficient
as the years go by, especially if political influence wanes with time,
so that financial resources are cut and the better staff seek more
rewarding job opportunities elsewhere.

While there are no easy solutions to the weaknesses outlined
above, two types of approach exist -- the one political and the other
based on budgetary inducements and constraints. Both have the same








- 39 -


goal -- to force parastadal settlement agencies to share power not
just in the interests of efficiency but also in terms of facilitating
integrated area development.

While political pressure from settlers does not appear to be
an effective mechanism at this point in time for pressuring parastadal
settlement agencies into handing over more managerial responsibilities,
budgetary inducements and constraints would appear more promising.
Budgetary constraints, for example, could be built into annual reviews
in such a way that certain funds would not be allocated if it appeared
that insufficient effort was being made to honor timetables relating
to handing over and incorporation goals. The international community
of donors could apply pressures here by allocating funds to appropriate
institution building and training programs for local organizations,
by more carefully monitoring their use, and by justifying different
approaches on the basis of experience elsewhere.

b. Coordinating Settlement Agencies. The main advantages
of using an existing government department to play the lead role in
coordinating the settlement process relate to the later stages of the
settlement process, and especially to handing over and incorporation.
Both actions are less of a problem simply because the various depart-
ments being coordinated are usually the ones to which an autonomous
settlement agency would hand over responsibility.

The weaknesses of using an existing department or ministry
to coordinate the development of a new lands settlement relate to
problems of flexibility and of influence. As Dalton (1981) has
pointed out for area development projects, the coordination of complex
development efforts involving many agencies is an incredibly difficult
task demanding "an enormous and steady series of efforts directed
at fostering communication and understanding among policymakers,
technocrats and technicians", not to mention politicians and leaders
of local organizations.

Two types of solutions to the above weaknesses suggest
themselves, the first being institutional and the second budgetary.
At the national level, the coordinating agency's influence and
political clout could be enhanced if the coordinating committee
reported directly to a prominent cabinet subcommittee or even directly
to the vice-president or president himself. As for the local level,
clearly local government agencies should be involved along with the
participating government departments while at the district level, the
senior district political official in most cases would be the logical
person to chair the coordinating committee.

As for budgetary solutions, here funds could be allocated to
the coordinating agency to "encourage" participating agencies to carry
out activities that fall within their sphere of influence but which








- 40 -


they may have neither the motivation or the staff, equipment and
finance to carry out.


B. MARKETING FACILITIES AND SETTLER RUN COOPERATIVES

Marketing facilities include appropriate handling and storage
facilities on the settlement and transport from the farm to the market
either direct or via government or private sector marketing agents.

Sponsored or spontaneous, marketing inadequacies are
associated with the majority of settlements on which we have data.
Whether related to availability or cost, frequently these are
associated with inadequate feeder and settlement access roads, with
the result that the settlers have to pay exorbitant prices to
marketing agents to pick up their crops at the farmgate, have to hire
laborers and transport to carry produce to the nearest government or
cooperative depot, or have to use their own labor and transport.

In discussing possible solutions to marketing inadequacies
from the settlers' viewpoint, it is important to emphasize that
private traders, like money lenders, provide an invaluable service --
at a high price -- in the absence of other alternatives. Granted the
complexity of the settlement process, and the difficulty of government
sponsored agencies providing, at a lower price, equally efficient
services, settlement planners should seriously consider providing
alternative options to settlers as opposed to a strategy which
attempts to give government marketing organizations a monopoly from
the start by excluding both private traders and settler organizations.

While some government marketing organizations are very
efficient, the majority may well be counterproductive in terms of new
lands settlements initiating a process of integrated area development.
There are three reasons for this. First, concentrating on one, or a
small number of crops, such organizations act as a constraint on
farming systems diversification. Second, while often evening out
price fluctuations, prices offered settlers tend to be low --
government marketing boards being a major mechanism whereby farmers
are "taxed" to subsidize the development of the urban-industrial
sector (Bates, 1981). Third, they are often highly inefficient, with
delayed pickup of crops and delayed payouts.

Effective solutions to marketing problems often must provide
not just prices, marketing facilities, and pickup and payout schedules
which meet settler needs, but also help remove other constraints which
increase settler dependency on private traders. Credit is a case in
point.

Although a number of cases, including the Northern Parana one,
indicate that the private sector can provide adequate marketing








- 41 -


services without competition from government and settler run
organizations, we have argued throughout that settler participation
is associated with project success. The emergence of settler run
cooperatives is a major way to foster that participation. Indeed,
during the global evaluation we came across a number of efficient
settler run cooperatives which were able to outcompete private traders
by offering members a better price and a range of other services.


C. ECOLOGICAL IMPACTS OF NEW LANDS SETTLEMENT

Of special concern is the replacement of highly diversified
humid tropical rainforests with less productive cropping systems.
Especially serious in Latin America because of the emphasis placed on
conversion of humid forest to grassland for ranching, the elimination
of primary rain forest is also occurring at a rapid rate throughout
tropical Asia and in West Africa. Of concern is not just the removal
of the forest cover but also the techniques being used for land
preparation, with mechanical clearance more apt to remove the top soil
and cause adverse compaction than hand clearing.

Another problem in the humid tropics as well as in savanna
environments is declining soil fertility occurring over both the short
and long run. In arid and semi-arid lands, adverse ecological impacts
are more apt to relate to problems of salinity and water logging,
coupled with declining fertility. A major problem relates to inappro-
priate farming systems for each agro-ecological zone. In terms of
corrective action, a good starting point is the more diversified
farming systems of host populations which are characterized by multi-
cropping and interplanting, with both leading to a more intensive form
of land use which is not carried out at the expense of soil fertility.


D. RESEARCH

Many of the conclusions in this study are based on a
relatively small number of studies. They need testing against the
results of further research. There is a special need for farming
systems research, for research on the multiplier effects of new lands
settlements, and for research dealing with the later stages of the
settlement process.

There is a special need for experimental research, for topical
research, and for long-term comparative research. Of these three
general types, experimental research will deal in large part with
appropriate farming systems. It should be based at agricultural
research stations, provided the linkages to universities and other
research centers exist to ensure that such research is not restricted
to agronomic and technical components alone.








- 41 -


services without competition from government and settler run
organizations, we have argued throughout that settler participation
is associated with project success. The emergence of settler run
cooperatives is a major way to foster that participation. Indeed,
during the global evaluation we came across a number of efficient
settler run cooperatives which were able to outcompete private traders
by offering members a better price and a range of other services.


C. ECOLOGICAL IMPACTS OF NEW LANDS SETTLEMENT

Of special concern is the replacement of highly diversified
humid tropical rainforests with less productive cropping systems.
Especially serious in Latin America because of the emphasis placed on
conversion of humid forest to grassland for ranching, the elimination
of primary rain forest is also occurring at a rapid rate throughout
tropical Asia and in West Africa. Of concern is not just the removal
of the forest cover but also the techniques being used for land
preparation, with mechanical clearance more apt to remove the top soil
and cause adverse compaction than hand clearing.

Another problem in the humid tropics as well as in savanna
environments is declining soil fertility occurring over both the short
and long run. In arid and semi-arid lands, adverse ecological impacts
are more apt to relate to problems of salinity and water logging,
coupled with declining fertility. A major problem relates to inappro-
priate farming systems for each agro-ecological zone. In terms of
corrective action, a good starting point is the more diversified
farming systems of host populations which are characterized by multi-
cropping and interplanting, with both leading to a more intensive form
of land use which is not carried out at the expense of soil fertility.


D. RESEARCH

Many of the conclusions in this study are based on a
relatively small number of studies. They need testing against the
results of further research. There is a special need for farming
systems research, for research on the multiplier effects of new lands
settlements, and for research dealing with the later stages of the
settlement process.

There is a special need for experimental research, for topical
research, and for long-term comparative research. Of these three
general types, experimental research will deal in large part with
appropriate farming systems. It should be based at agricultural
research stations, provided the linkages to universities and other
research centers exist to ensure that such research is not restricted
to agronomic and technical components alone.




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