Economic history of Chile |
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The Chilean land reform (Spanish : Reforma agraria chilena) was a process of land ownership restructuring that occurred from 1962 to 1973 in different phases. For much of the 20th century agriculture was one of the most backward sectors of Chilean economy. The land reform was initially supported by Chilean right, centre and left political parties plus the Catholic Church and the United States. After the 1973 Chilean coup d'état the ruling right-wing dictatorship initiated a counter-reform that reverted part of it and directed Chilean agriculture into a "neoliberal" model.
Chilean intellectuals like Camilo Vial (1804-1882) had placed no particular emphasis on agriculture for the development of Chile while others like Francisco Encina (1874-1965) considered Chilean agriculture irrelevant for economic and social development. [1] Encina considered that Chile was ready for industrialization. [1]
Conditions in for early 20th century rural workers was harsh with Tancredo Pinochet denouncing the poor conditions of workers in the hacienda of president Juan Luis Sanfuentes during his presidency (1915-1920). [2] Within a dual sector economic model the 20th century Chilean hacienda has been characterized as a prime example of a primitive and rural component. [3] McBride, a Briton who visited Chile in the 1930s, is reported to have been "astounded" to see haciendas with "agricultural methods that reminds of ancient Egypt, Greece or Palestine." [4]
Demands for a land reform appeared in Chile in the early 20th century and while neglected by the Radical governments (1938–1952) that favoured urban industrialization, in the early 1960s land reform ideas in Chile received support from both the Catholic Church and, through the Alliance for Progress, from the United States. [5] Among Chilean politicians Eduardo Frei Montalva expressed his view in 1958 that both minifundia and latifundia were detrimental for Chilean agriculture. [6]
The agrarian production in Chile contracted from 1950 onwards. [7] A government plan set up in 1954 to address this ended with meager results and in 1958 a new plan was presented. [7] That plan allowed CORFO to develop investments in dairy plants, refrigerated slaughterhouses, sugar refineries and transport infrastructure. [7]
In 1962, during the government of Jorge Alessandri, the first land reform law was promulgated. [5] This law allowed for the distribution of state-owned land among peasants. [5] The next land reform law was passed in 1967 under the Christian Democrat government of Eduardo Frei Montalva, giving legal status to farmers syndicates. [5] A total of 100 thousand peasants became syndicalized in 400 syndicates. [5] This law served also to expropriate 1400 land holdings totaling 3.5 million ha. [5] In the case of the Catholic Church, it began in the 1960s to distribute its lands among peasants. [5]
Besides state reforms in the 1960s, Chilean communists and socialists engaged in the formation of agriculture syndicates through La Frontera and semi-arid Norte Chico. The Christian Democrats did the same around Valparaíso and Aconcagua Valley and in the Central Valley locations of Curicó, Linares and Talca. [8]
The Popular Unity government led by Salvador Allende that came to power in 1970 continued the land reform and, using the legal tools it inherited, attempted to expropriate all Chilean latifundia (usually known as fundos or estancias). [5] Around 59% of Chile's agricultural lands were redistributed during the Chilean land reform. [9] The hacienda and inquilinaje institutions that characterized large parts of Chilean agriculture were eliminated by land reform. [10]
Economist and Pinochet collaborator José Piñera claims that a "socialist paradigm" was behind the land reform. [11] He adds that the reform evolved into a general attack against property rights and traces the origins of the Chilean nationalization of copper during the Allende years to the Chilean land reform. [11]
The indigenous involvement in the Chilean Land reform that is mostly known about is about the Mapuche-Huilliche communities in the Valdivia province. [12] The Chilean newspaper El Correo de Valdivia communicates that there were at least 19 protests in the form of mobilizations and land redistribution that were made during December of 1970 to August 1973 from indigenous communities with the amount of involvement ranging from 12 to 150 people . [12] Le Bonniec in his article "La participación de las comunidades mapuche-huilliche en el proceso de la Reforma Agraria en la Provincia de Valdivia" mentions the probability that there were many more protests than the 19 mentioned, however the media did not report any of the rest, even so, the pressure of indigenous communities in the land reform is one that existed and that had many effects, especially on indigenous visualization and inclusion.
During this land reform not only did indigenous communities form part of the resistance and the protest movement but they also formed part of the law amendments within Chile, regarding indigenous communities and land. In Historia de la Reforma Agraria en Chile written by José Garrido he writes about the politics of the indigenous land previous to the land reform and compares it to the changes made after the land reform. [13] He mentions a previous law 14.511 in 1961 that recognizes indigenous people as with rights and tax responsibilities, however the goal to incorporate this law was not defined and Garrido describes it as an "increase of restrictions in respect to the indigenous capacity" (Garrido 195). [13] Proving the state's minimal indigenous representation. This was further taken, Garrido writes, when in 1972 the indigenous law 17.729 substituted previous law 14.511 which prevented land titling and increased the necessary paperwork for indigenous people to formally and legally own their land. [13] This remained true until 1979 when laws 2.568 and 2.750 modify it, finally facilitated indigenous ownership of land, through a free and less bureaucratic process. When describing this law Garrido mentions "(...)the policy promoted by the Minister Alfonso Márquez de la Plata and the Vice President of INDAP, Ricardo Hepp, reintroduces the idea of granting the Mapuches the same rights as those enjoyed by the rest of the Chilean nationality, by means of a first step consisting of the delivery of definitive land ownership titles." (Garrido 97) [13] The decrease of a bureaucratic process for the ownership of their land provided integration for indigenous communities to the system. Their intervention in the land reform facilitated further integration.
We can visualize indigenous rights being modified by the comparison Garrido provides from before the land reform and after. Due to an indigenous underrepresentation in Chilean politics at the time, it can be induced that indigenous protests, mobilization and actions taken during the land reform contributed to this change in laws. Evidencing this idea, Article 72, section D of law 16640, the official Land reform law published in Biblioteca del Congreso Nacional de Chile dictates that one of the causes for preference when assigning land will be the provinces where Mapuche indigenous communities possess a land title, provided that they have been personally exploiting this land from November 21, 1965. [14] In other words, if they had worked in any sort of way in the land since 1965, they can claim that land officially their own. This law also allowed for a decrease of exploitation of indigenous free work by landowners. Making a clear statement from these indigenous communities: present in the constitution, present in the country, present in the land reform process, before during and after.
One of the specific examples of the Mapuche-Huilliche involvement during this land reform, Le Bonniec writes, was the conflict of Fundo Malchehue, a property of Leno Monje with the community Dionisio Manquel Chepo. [12] A form of protest of the indigenous community by expropriating land who was originally their ancestors. According to Le Bonniec, medias informed that 36 members of this community had taken over the land the 25th of November of 1971. [12] It was confiscated by the indigenous people in order to form an Agrarian Center Reform. When interviewed, the community simply answered that the property was their ancestor's and it was illegally taken from them. Medias also informed that the indigenous actors were capacitated by what they named "extremists organizations". [12] Le Bonniec writes about the underrepresentation indigenous communities go through when talking about the Chilean Land reform, their participation tends to be forgotten in the media and so, it was of extreme importance when one of their interventions in the land reform ended as a highlight in the media and it contributed to the narrative of their protest. [12] Le Bonniec seems to hint that the importance of the land reform for indigenous communities relied on it being the start of indigenous empowerment, through land ownership. [12]
to make Chile not a nation of proletarians, but a nation of proprietors
Following the 1973 coup that ousted Allende and brought Pinochet to power individuals and organizations that had benefited from the land reform were oppressed, notably in the first years of dictatorship. [16] In 1974 the military dictatorship begun an agrarian counter-reform. [9] Of the lands expropriated during the land reform about 30% were returned to its former owners during the military dictatorship era, an additional 5% was auctioned. [17] Reformed lands owned by cooperatives were divided into individual properties. [17] The 16½ years of military dictatorship neoliberal economic policies bought a new generation of capitalists to the rural world. [5]
Due to the lack of capital or credit to invest in their lands many peasants sold their lands after the land reform was over. [10] After the land reform there was a process of reconcentration of land ownership so that by 1997 the land ownership was more concentrated than it had been in 1955. [10]
According to scholar Patricio Silva the "neo-liberal" agriculture model implemented by the Pinochet dictatorship was only possible thanks to the land reform. [18]
The Huilliche, Huiliche or Huilliche-Mapuche are the southern partiality of the Mapuche macroethnic group in Chile and Argentina. Located in the Zona Sur, they inhabit both Futahuillimapu and, as the Cunco or Veliche subgroup, the northern half of Chiloé Island. The Huilliche are the principal indigenous people of those regions. According to Ricardo E. Latcham the term Huilliche started to be used in Spanish after the second founding of Valdivia in 1645, adopting the usage of the Mapuches of Araucanía for the southern Mapuche tribes. Huilliche means 'southerners' A genetic study showed significant affinities between Huilliches and indigenous peoples east of the Andes, which suggests but does not prove a partial origin in present-day Argentina.
The Mapuche are a group of indigenous inhabitants of south-central Chile and southwestern Argentina, including parts of Patagonia. The collective term refers to a wide-ranging ethnicity composed of various groups who share a common social, religious, and economic structure, as well as a common linguistic heritage as Mapudungun speakers. Their homelands once extended from Choapa Valley to the Chiloé Archipelago and later spread eastward to Puelmapu, a land comprising part of the Argentine pampa and Patagonia. Today the collective group makes up over 80% of the indigenous peoples in Chile and about 9% of the total Chilean population. The Mapuche are concentrated in the Araucanía region. Many have migrated from rural areas to the cities of Santiago and Buenos Aires for economic opportunities, more than 92% of the Mapuches are from Chile.
An ejido is an area of communal land used for agriculture in which community members have usufruct rights rather than ownership rights to land, which in Mexico is held by the Mexican state. People awarded ejidos in the modern era farm them individually in parcels and collectively maintain communal holdings with government oversight. Although the system of ejidos was based on an understanding of the preconquest Aztec calpulli and the medieval Spanish ejido, since the 20th century ejidos have been managed and controlled by the government.
The economy of Chile has shifted substantially over time from the heterogeneous economies of the diverse indigenous peoples to an early husbandry-oriented economy and finally to one of raw material export and a large service sector. Chile's recent economic history has been the focus of an extensive debate, as it pioneered neoliberal economic policies.
Before the 1910 Mexican Revolution, most land in post-independence Mexico was owned by wealthy Mexicans and foreigners, with small holders and indigenous communities possessing little productive land. During the colonial era, the Spanish crown protected holdings of indigenous communities that were mostly engaged in subsistence agriculture to countervail the encomienda and repartimiento systems. In the 19th century, Mexican elites consolidated large landed estates (haciendas) in many parts of the country while small holders, many of whom were mixed-race mestizos, engaged with the commercial economy.
The Bueno River is a river in southern Chile. It originates in Ranco Lake and like most of Chile rivers it drains into the Pacific Ocean at the southern boundary of the Valdivian Coastal Reserve. Its lower flow forms the border between Osorno Province and Ranco Province. Traditionally it marks also the northern boundary of the indigenous Huilliche territory known as Futahuillimapu. The river passes through Río Bueno commune and city that takes name from the river.
Agriculture in Chile encompasses a wide range of different activities due to its particular geography, climate, geology and human factors. Historically agriculture is one of the bases of Chile's economy, now agriculture and allied sectors—like forestry, logging and fishing—account only for 4.9% of the GDP as of 2007 and employed 13.6% of the country's labor force. Some major agricultural products of Chile include grapes, apples, onions, wheat, corn, oats, peaches, garlic, asparagus, beans, beef, poultry, wool, fish and timber. Due to its geographical isolation and strict customs policies, Chile is free from diseases such as Mad Cow, fruit fly and Phylloxera, this plus being located in the southern hemisphere and its wide range of agriculture conditions are considered Chile's main comparative advantages. However, the mountainous landscape of Chile limits the extent and intensity of agriculture so that arable land corresponds only to 2.62% of the total territory.
Cuncos, Juncos or Cunches is a poorly known subgroup of Huilliche people native to coastal areas of southern Chile and the nearby inland. Mostly a historic term, Cuncos are chiefly known for their long-running conflict with the Spanish during the colonial era of Chilean history.
Andrés Molina Enríquez was a Mexican revolutionary intellectual, author of The Great National Problems (1909) which drew on his experiences as a notary and Justice of the Peace in Mexico State. He is considered the intellectual father of the land reform movement in modern Mexico embodied in Article 27 of the Constitution of 1917, and for reasserting the principle of national sovereignty with regard to ownership of land and resources on a liberal positivist basis. He has been called "the Rousseau of the Mexican Revolution."
The La Ligua River is a river of Chile.
The Mapuche conflict involves indigenous Mapuche communities, also known as the Araucanians, located in Araucanía and nearby regions of Chile and Argentina. The conflict itself is related to the land ownership disputes between the State of Argentina and Chile since the 19th Century as well as corporations such as big forestry companies and their contractors. In the past decade of the conflict, Chilean police and some non-indigenous landowners have been confronted by indigenist militant Mapuche organizations and local Mapuche communities in the context of the conflict. Some scholars argue the conflict is an indigenous self-determination conflict; others like Francisco Huenchumilla see it as the expression of a wider political conflict that affects all of Chile given the existence of other indigenous groups.
José Gregorio Liendo Vera, also known as "Compañero Pepe", "Comandante Pepe" or "Loco Pepe" was a Chilean university student, political leader, and militant of the Revolutionary Left Movement, a Marxist-Leninist and Guevarist urban guerrilla and political movement. He was also a leader and a member of the "Movimiento Campesino Revolucionario" (MCR), the MIR's Front of the Masses among the Chilean peasantry, which participated in the fundos occupations during the government democratically elected socialist President Salvador Allende and served with the leftist political coalition Unidad Popular in the early 1970s.
In Chilean historiography, Colonial Chile is the period from 1600 to 1810, beginning with the Destruction of the Seven Cities and ending with the onset of the Chilean War of Independence. During this time, the Chilean heartland was ruled by Captaincy General of Chile. The period was characterized by a lengthy conflict between Spaniards and native Mapuches known as the Arauco War. Colonial society was divided in distinct groups including Peninsulars, Criollos, Mestizos, Indians and Black people.
From 1850 to 1875, some 30,000 German immigrants settled in the region around Valdivia, Osorno and Llanquihue in Southern Chile as part of a state-led colonization scheme. Some of these immigrants had left Europe in the aftermath of the German revolutions of 1848–49. They brought skills and assets as artisans, farmers and merchants to Chile, contributing to the nascent country's economic and industrial development.
As an archaeological culture, the Mapuche people of southern Chile and Argentina have a long history which dates back to 600–500 BC. The Mapuche society underwent great transformations after Spanish contact in the mid–16th century. These changes included the adoption of Old World crops and animals and the onset of a rich Spanish–Mapuche trade in La Frontera and Valdivia. Despite these contacts Mapuche were never completely subjugated by the Spanish Empire. Between the 18th and 19th century Mapuche culture and people spread eastwards into the Pampas and the Patagonian plains. This vast new territory allowed Mapuche groups to control a substantial part of the salt and cattle trade in the Southern Cone.
The Parliament of Las Canoas was a diplomatic meeting between Mapuche-Huilliches and Spanish authorities in 1793 held at the confluence of Rahue River and Damas River near what is today the city of Osorno. The parliament was summoned by the Royal Governor of Chile Ambrosio O'Higgins after the Spanish had suppressed an uprising by the Mapuche-Huilliches of Ranco and Río Bueno in 1792. The parliament is historically relevant since the treaty signed at the end of the meeting allowed the Spanish to reestablish the city of Osorno and secure the transit rights between Valdivia and the Spanish mainland settlements near Chiloé Archipelago. The indigenous signatories recognized the king of Spain as their sovereign but they kept considerable autonomy in the lands they did not cede. The treaty is unique in that it was the first time Mapuches formally ceded territory to the Spanish.
Agriculture in Chile has a long history dating back to the Pre-Hispanic period. Indigenous peoples practised varying types of agriculture, from the oases of the Atacama Desert to as far south as the Guaitecas Archipelago. Potato was the staple food in the populous Mapuche lands. Llama and chilihueque herding was practised by various indigenous groups.
[Chile] is rich in pastures and cultivated fields, in which all kind of animals and plants can be breed or grown, there is plenty of very beautiful wood for making houses, and plenty of firewood, and rich gold mines, and all land is full of them...
The Revolutionary Government of the Armed Forces was a military dictatorship that ruled Peru from 1968 to 1980 after a successful coup d'état by the Armed Forces of Peru. Official Peruvian historiography refers to this period as that of Radical military reform.
The battle of Río Bueno was fought in 1654 between the Spanish Army of Arauco and indigenous Cuncos and Huilliches of Fütawillimapu in southern Chile. The battle took place against a background of a long-running enmity between the Cuncos and Spanish, dating back to the destruction of Osorno in 1603. More immediate causes were the killing of Spanish shipwreck survivors and looting of the cargo by Cuncos, which led to Spanish desires for a punishment, combined with the prospects of lucrative slave raiding.
The Agrarian Reform in Peru was a process of land reform redistribution initiated in the 1960s by struggles of rural workers (campesinos) for their land in the Cusco Region, and legally implemented under General Juan Velasco Alvarado in 1969 through three distinct laws. These land reform laws sought to redistribute large amounts of land that had once been owned by indigenous populations to the rural populations that lived and worked in the lands. The proposed laws promulgated in 1969 would attempt to change Peru´s agrarian infrastructure from being a system dominated by haciendas. That system was characterized by the semi-feudal relationships between haciendas owned by private Spanish patrones which employed peones, a large indigenous group, large cooperatives controlled by the Peruvian state, and areas of land owned indigenous communities that were recognized by the Peruvian government. The land reform was predominately focused on redistributing land from private haciendas to rural communities. For the former hacendados, the government of Peru issued agrarian bonds as compensation for land expropriation.