Land ownership is a key factor in creating an enabling environment that promotes agricultural productivity and sustainable growth. Secure land rights lead to increased agricultural productivity by providing incentives to invest in land and crop improvements, increasing opportunities for poor families to access financial services and government programmes, and creating the space needed for more optimal land use.
3.1.1. Agricultural Land
Historically, after civilizations introduced the systematic management of land for cultivating crops and rearing livestock, agriculture became the major land use category. In the current study, where countries were classified into three categories based on geographical area, agricultural importance and extent of the area devoted to agriculture, the share of agricultural land in the total geographical area of the selected countries was found to range between 7 and 83% (
Figure 1). The world average of the percentage shares of agriculture area to the total geographical area during 2016 was 37% (
Figure 2). India, the seventh-largest country in terms of geographical area, had the largest extent of its total area (60%) devoted to agriculture, followed by other large countries like China (56%), Argentina (54%), the USA (48%) and Australia (48%). Russia, the leading country in terms of geographical area, had only 13% of its land devoted to agriculture. Among smaller countries, which have a significantly higher area devoted to agriculture (>70%), Uruguay ranked first with 83% of its total area devoted to agriculture, followed by Saudi Arabia (81%), Kazakhstan (80%) and South Africa (80%). Ten countries account for 53% of the total agricultural area in the world (
Figure 2). China, the USA and Australia are the leading countries in terms of agricultural area. Such a concentration of agricultural land among a few countries provides them a competitive edge in trade and markets.
Globally, the switch from expansion to intensification of input use, which is seen as the primary strategy for increasing crop production, has reduced the demand for land conversion by over 1 billion hectares since the early 1960s [
21]. Among the countries with large geographical areas, such as in China, Brazil, India and Argentina, a significant (
p < 0.05) increase in the extent of agricultural land has been observed over the last 55 years (
Table 1). The long-term rate of growth was the highest (almost 1% per annum) in Brazil, followed by China, placing them among the world’s top five producers and exporters of agricultural products [
22], which has been achieved by bringing forest and fallow lands under cultivation. In developed countries like the USA, Canada and Australia, the growth rate of agricultural land expansion was negative, yet the growth in yields and intensified agricultural practices has compensated for this loss. Further, the expansion of arable land in the whole world (155 million hectares, accounting for 11% of the world’s geographical area) occurred mostly 1961–1963 and 1997–1999, and is the net result of countervailing trends, i.e., the accelerated growth rate in developing countries coupled with a marginal decline in developed nations [
23].
A disaggregated analysis of agricultural land area was undertaken for two time periods, viz., 1961–1990 and 1991 onwards, which correspond with the pre- and post-globalization periods, so as to assess the impact of liberalisation and globalisation on land-use changes, especially in the extent of agricultural land. In the case of almost all the larger countries, there was a reduction in the extent of agricultural land in the 25 years of the post-liberalised/globalised era, although in some countries it was not significant (p > 0.05). The trend was similar among the agriculturally important countries.
Almost 180 countries of the world account for 41.8% of the world’s value of output from agriculture, while the agriculturally important countries, like China, India and the USA, contributed 23.9, 11.6, and 6.3%, respectively (
Figure 3). The higher agricultural output (in USD) of countries that are larger in terms of geographical area and population, like China, the USA and India (but excluding Russia), could be attributed to efficient utilization of natural resources and diversified agro-climatic situations, and also to the historical evolution of agricultural practices coupled with innovations in agricultural research. While the rapid progress of agricultural development in China could be attributed to the introduction of general and agricultural reform in 1978 [
25], that of the USA is attributed to higher total factor productivity [
26].
3.1.2. Individual and Family Farms
Individual and family-owned agricultural holdings are a significant feature of farming. Family farming is a means of organizing agricultural, forestry, fishery, pastoral, and aquaculture production, in which land is managed and operated by a family and is predominantly reliant on family labour including both women and men [
27] and in which domestic and farming activities are intrinsically linked [
2]. Farming in Asia, Africa and Europe is dominated by family farms, which comprise 97–99% of farms and cover in the range of 67–85% of the land area (
Table 2).
Countries like China, India and the USA have more than 80% of holdings in the family farms category. Brazil is reported to have around 30% of farms owned and operated by families, and countries like Mexico and Argentina have less than 20% of agriculture holdings owned by families. It is estimated that over 500 million farms are family-owned globally [
28] and they contribute 80% of the world’s food production; 80% of the extremely poor are rural and mainly depend on agriculture for their livelihoods. The period 2019–2028 has been declared as the United Nations Decade of Family Farming (UNDFF) by FAO [
2], to foster cross-sectoral policy, investment and innovation in family farming and to unleash the potential of family farmers as agricultural agents of change to realize sustainable food systems and help achieve the Sustainable Development Goals (SDGs).
India, the second-largest populated country and seventh largest in geographical area, is placed seventh in terms of agricultural area with 158 million ha; the world total is 4828 million ha [
29]. Family holdings in India comprise over 99% of the total farm holdings, while the rest are institutional holdings. Among the family holdings, individual holdings dominate, followed by joint family holdings (
Table 3). In the last two decades (1995–1996 to 2015–2016), based on the quinquennial agriculture census data [
16], the share of individual holdings has decreased while the absolute number increased (
Figure 4).
On the other hand, the number (14,785 to 20,724) and share (12.8 to 14.1%) of joint family holdings has increased in the corresponding period. The average holding size of farms of different categories—individual families, joint family and institutions (temples and other religious institutions)—indicates that farm size has decreased between 1995–1996 and 2015–2016 (
Figure 4). In India, farm consolidation has been promoted since the 1960s as the norm, as it was consistently recognized that productivity follows a U-shaped distribution curve. Productivity seems to be highest among the smallest and largest farms. While small and large farms are comparable in terms of productivity, their methods of achieving output differ greatly. In fact, farm size predicts management practices. Large farms’ ability to employ labour is often limited, which makes operators more reliant on machinery. Ironically, small farms are generally characterized by their inability to afford machinery. However, research recognizes that heavy machinery causes soil compaction, a decrease in oxygen and the suffocation of microorganisms and fungi. Further, compacted soil drains less surface water, increasing water pollution and erosion. The association between farm size and pesticide use was consistent even after statistically adjusting for soil quality, crop type and region, suggesting that farm size is a strong factor influencing the amount of pesticide applied.
While small farms of economic size are considered more efficient operationally and promote social harmony in the villages better than large farms, large farms facilitate mechanization and modernization. Policies to promote large farms would weaken small farms’ ability to compete and might create distress among the owners of small farms and even lead to the disposal of such small holdings. In this context, the impact of the farm laws promulgated by the government of India [
30] to reform agricultural markets and facilitate the formation of farmer–producer organizations on landholdings will in the future need to be studied.
3.1.3. The Agricultural Workforce and Its Productivity
The value of the output from the agricultural sector and the extent of the population dependent on it signify the importance of agriculture in any country. The agricultural sector’s share in both employment and output is higher in developing countries relative to developed ones; more precisely, the employment share is higher than that of output [
31]. The country-wise percentage share of the agrarian workforce (
Table 4) reveals that around 40% of the population in India, Pakistan and Bangladesh were dependent on agriculture during 2017.
A significant (
p < 001) reduction in the contribution of the agricultural workforce to the total workforce was noted in China (48% to 18%), India (61% to 43%) and Brazil (24% to 10%) between 1991 and 2017 (
Table 4). The advantage of large farms lies in the opportunity they provide to reduce labour costs by putting each worker to a task and encouraging specialization. This will help in improving both natural aptitudes and acquiring skill and speed, which is upscaled by constantly performing the same operation. A general explanation of the inverse relationship between farm size and productivity can be offered in terms of the low opportunity cost of family labour in a labour-surplus economy and the resultant variations in the input of human labour. Modernizing agriculture involved the introduction of new technology which required the increased use of capital in agriculture. Even with the use of some capital and new technology, however, many farm operations require the intensification of labour use, such as seedbed preparation, weeding, irrigating and harvesting. Thus, labour is also of critical importance in modern agricultural development.
In general, the per capita productivity of the agricultural workforce was significantly (
p < 0.01) higher in countries with a low share (<10%) of the population in the agrarian workforce. For instance, per person productivity (USD) was highest in Israel (84,613 USD) and the USA (83,736 USD), which had only 1% and 2%, respectively, of their population as an agricultural workforce. The higher per capita productivity also implies large-scale mechanization with large size holdings. The results indicate that the per capita productivity of predominantly agrarian countries during 2017 ranged between 991 USD (Bangladesh) and 92,682 USD (Australia). A leap in growth in workers’ productivity was recorded by China (7.1 times) and Brazil (4.6 times) between 1991 and 2017. This could be attributed to an increase in farm size (i.e., a larger area per worker) and the application of technologies [
33,
34]. The highest compound annual growth rate (CAGR) in per capita workers’ productivity was registered by China (7.9%), followed by South Africa (6.9%) and Brazil (6.1%). This could be attributed to a lower rate of capital accumulation and a more efficient use of all the factors of production [
35] even in the absence of technology transfer, international investment, research and development, and aggregate scale effects. Trade affects economic growth through comparative advantage. The authors of [
36] emphasize the supply-side role in sustainable growth, in which agriculture continues to play an important role but one different to what it was when demand-side effects were stronger [
37]. Among the major agrarian-based countries studied in this paper, the growth rate was the lowest in Pakistan (0.4%), which could possibly be due to the poor application of science and technology [
38]. The literature generally discusses labour-surplus models, the empirical assessment of disguised unemployment such as in India and the backward sloping supply curve of labour.
3.1.4. Equity in Ownership of Agriculture Landholding
The average farm size across the world is determined by the countries with the largest number of farms and those with the largest share of the world’s agricultural land. The landholding (unit area of agricultural land owned by a farm household) size increased significantly (
p < 0.05) in most of developed countries from 1960 to 2000, while it decreased in developing countries (
Table 5).
The average landholding size across the major agriculturally important countries during 2000 was the highest in Australia (3243 ha), which, however, cannot be included as part of the generally improving trend in developed nations because the average farm size in Australia is an outlier relative to farms in other parts of the world [
44]. While Uruguay (287 ha) and the USA (178 ha) also had considerably larger average landholding sizes, they were very low in India (1.3 ha) and Bangladesh (0.3 ha). The decrease over time in the average farm size in India could be attributed to the rise in population in the corresponding period. In larger countries, especially developed countries like the USA and Australia, farm size initially increased till 1990 and subsequently there has been a slight declining trend. In China, all agricultural land and homesteads in the suburban and rural areas are owned by rural collectives and are called collective land (
jiti tudi) [
45]. The current changes in land policy, which facilitate private ownership of agricultural land by individuals and enables easy land selling, have led to land consolidation [
46].
Analysis of the compound annual growth rate (CAGR) during the period 1981 to 2011 in population and landholding size for the major countries of the world showed that Saudi Arabia had the highest population growth rate (3.08%), followed by Israel (2.43%) (
Table 6), while it was lowest in Cuba (0.46%).
Except for Brazil and Sri Lanka, which recorded a CAGR of 0.07% and 0.01%, respectively, the growth in per capita agricultural land during 1981–2011 was negative in other countries, implying that the per capita agricultural land availability shrank. A steep decline in per capita land availability was recorded in Pakistan, Bangladesh, and Israel, which could be attributed to higher population growth in these countries. The correlation coefficient value between the two variables was −0.74, implying an inverse relationship between them.
Holden and Otsuka [
47] investigated the relationship between farm size distribution, productivity and equity in African countries with a hypothesis that the two former variables had an inverse relationship. They also emphasized that higher population pressure would intensify agriculture on smaller farms.
The equity in agricultural land ownership/operation is an important indicator of socio-economic stability, at least in the agriculturally significant developing countries [
48,
49]. Besides this, land ownership inequality has been traditionally taken to explain high levels of income inequality especially in the countries where the agricultural sector predominates [
50]. The Gini index of land ownership for the major agriculturally important countries for two points in time was taken into consideration in order to examine whether land ownership moves towards distributive justice (if the Gini index moved towards zero) or towards inequality (if the Gini index approached one) [
51,
52]. The significant (
p < 0.05) reduction in the Gini index in Egypt 1961–2000 suggests that that country managed to ensure the increasing equality of land ownership distribution (
Table 7). The trend was similar in India, though the reduction in the Gini value was not significant (
p > 0.05). Bangladesh, Brazil, France, Pakistan and the USA recorded an increase in the index, suggesting movement of agricultural land ownership towards inequality, which also means agricultural land is being concentrated among fewer people. A study by Guerena and Wegerif [
53] organized on behalf of the International Land Coalition indicates that around 84% of farms worldwide share 12% of the total agricultural land area, while just 16% of farms control the remaining 88% of agricultural land. They also state that the Gini coefficient of land ownership is 0.55 in Asia and 0.85 in Latin America.
Women accounted for 25.3% of global agricultural employment during 2019, while in the least developed countries this was 61% and in India it was 55% [
54]. Data on female land ownership data available with FAO [
55] indicates that in countries like the USA, Mexico, Brazil, Argentina and India the share of women agricultural landholders is in the range of 10–19%, while in Canada, France and Spain it is in the range of 20–29%. Many countries, like Algeria, Mali, Congo, Egypt and Saudi Arabia, have a range of 0–9%, and in only a few countries, like Peru, Botswana and Italy, is it 30–39%.
In Asia, women account for 35 to 60% of the agricultural labour force [
56]. Women comprise, on an average, 43% of the agricultural workforce in developing countries, ranging from 20% in Latin America to 50% in East Asia and Sub-Saharan Africa. However, women have less access to agriculture-related assets, inputs and services than men [
57]. It is estimated that with the provision of access to productive resources on the level of men, women could enhance the yield by 20–30%, raising overall agricultural output in developing countries by two and a half to four percent. This gain in production could lessen the number of hungry people in the world by 12–17%, besides increasing women’s income [
58].