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The compensation for perennial crops land under Vietnam law

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Land for growing perennial crops is a type of land in the group of agricultural land specified in Article 10 of the Land Law 2013 in Clause 1. Circular 27/2018/TT-BTNMT stipulating the inventory and statistics of land promulgated together with Appendix 01, the land for planting perennial crops is the land used for planting perennial plants. A land where crops are grown once and have the characteristics of growing and harvesting from that crop for many years. So about the matter The compensation for perennial crops land under Vietnam law” Let’s find out with LSX in the article below.

Legal grounds

  • Land Law 2013
  • Circular 27/2018/TT – BTNMT
  • Decree No. 44/2014/ND-CP

What is land for perennial crops?

Perennial crop land is a type of agricultural land specified in the 2013 Land Law. Currently, there is no specific regulation on what land for perennial crops is, so based on the classification of perennial crops, we can understand the land. Planting annual crops is a type of land granted to users by a competent state agency for the purpose of growing plants for many years.

Perennial crops specified in Circular 27/2018/TT – BTNMT include the following groups: Perennial industrial plants; perennial fruit trees; perennial medicinal plants; and other perennial crops.

– Perennial industrial plants are plants that are used as raw materials for industrial production such as the following trees: rubber, coffee, cocoa…

– Perennial fruit trees can be understood as one-time crops for annual fruit harvest such as: Orange, Grapefruit, Longan, Toad, Mango…

– Perennial medicinal plant is understood as a plant whose purpose is for medicinal products to grow and develop for many years.

– Other perennial plants are understood as perennial trees that can be used for wood and shade, such as eucalyptus trees, phoenix trees, etc.

Term of using land for planting perennial crops with individual households

In case the land use term for perennial crops is 50 years

According to Clause 1, Article 126 of the 2013 Land Law, the time limit for land allocation and recognition of agricultural land use rights is 50 years for households and individuals directly engaged in agricultural production according to Clause 2, Article 129 of the 2013 Land Law. with the quota of land allocation for perennial crops as follows:

• The quota for allocation of land for perennial crops to each household or individual is no more than 10 hectares for communes, wards and townships in the delta;

• No more than 30 hectares for communes, wards and townships in the midland and mountainous areas.

• In case households and individuals are allocated additional land for planting perennial crops, the land limit for perennial crops shall not exceed 05 hectares for communes, wards and townships in the delta; no more than 25 hectares for communes, wards and townships in the midland and mountainous areas.

Upon the expiration of the time limit, households and individuals directly engaged in agricultural production may continue to use the land according to the prescribed time limit, if they wish.

From the above regulations, for households and individuals using land for planting perennial crops and having land allocated or recognized by the State with land use rights with the prescribed limit, the land use term is 50 years.

Upon the expiration of the term, they may continue to use the land according to the prescribed time limit if there is a need.

In case the land use term for perennial crops is not more than 50 years

According to Clause 2, Article 126 of the Land Law 2013, the lease term for agricultural land to households and individuals must not exceed 50 years. When the land lease term expires, households and individuals may consider continuing to lease the land if they have a need.

Thus, for households and individuals that use land for planting perennial crops that are leased by the State, the term of use shall not exceed 50 years and the State will consider continuing to lease the land if there is a need.

The compensation for perennial crops land under Vietnam law

Clause 2, Article 74 of the 2013 Land Law stipulates: “The compensation shall be made by allocating land with the same use purpose as the recovered land. The specifics of the type of land to be recovered shall be decided by the People’s Committee of the province at the time of the decision on land recovery.”.

Thus, the land compensation price in general and the compensation land price for perennial crops in particular are decided by the Provincial People’s Committee at the time of land recovery decision. Accordingly, the price of land in each locality will be different. However, the law also has provisions to determine this specific land price such as:

– On the principle of determining land price:

According to Clause 1, Article 112 of the 2013 Land Law, land valuation must ensure the following principles:

a) According to the lawful land use purpose at the time of valuation;

b) According to the land use term;

c) In accordance with the common land price on the market for the transferred land with the same use purpose, the winning price at auction of land use rights for places where there is an auction of land use rights or income from the use of land. land use;

d) At the same time, adjacent land plots with the same use purpose, profitability and income from similar land use will have the same price.

– Regarding the order and procedures for land price determination:

Article 16 of the Government’s Decree No. 44/2014/ND-CP dated June 15, 2014 on land prices stipulates:

1. The order of implementation of specific land price determination specified in Article 15 of this Decree shall comply with the following provisions:

a) Determining specific land valuation purposes;

b) Investigate, synthesize and analyze information on land plots and market land prices; apply land valuation method;

c) Formulate the land price plan and submit it to the People’s Committee of the province;

d) Appraisal of land price plans;

dd) Finalize the draft land price plan and submit it to the People’s Committee of the province for decision;

e) Provincial-level People’s Committees decide on land prices.

2. A specific land price determination dossier submitted to the provincial-level People’s Committee for decision includes:

a) A report on the land price plan;

b) Draft land price plan;

c) A report explaining the formulation of the land price plan;

d) Written appraisal of the land price plan.

3. The appraisal of the land price plan shall be carried out by the Land Price Appraisal Council, the provincial People’s Committee shall decide to establish the Land Price Appraisal Council, consisting of the following components:

a) The President of the People’s Committee of the province shall act as the Chairman of the Council;

b) The representative of leaders of the Department of Finance as the permanent member of the Council; leaders of the Department of Natural Resources and Environment and the People’s Committee of the district where the land is located; organizations with the function of consulting on land price determination or experts on land prices and other members decided by the People’s Committee of the province.

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Frequently asked questions

Can land for perennial crops be built under Vietnam law?

According to the 2013 Land Law, one of the principles set out is to use land for the right purpose. For each type of land, the purpose of use will be recorded on the land use certificate issued by a competent state agency to the land user and recorded as “Land for perennial crops” for individuals or households. family.
Therefore, it is not possible to build a house on land planted with perennial crops. If you want to build a house, you must change the land use purpose according to the provisions of the 2013 Land Law.

Is the compensation price for land for perennial crops different from annual crops?

When the land is recovered and there is damage to annual crops, the compensation level is calculated by the output value of the harvest. The output value of the harvest is calculated according to the yield of the highest crop in the previous 03 consecutive years of the main crop in the locality and the average price at the time of land acquisition.

Which cases are not compensated when acquiring perennial crops land?

According to the 2013 Land Law, cases where compensation is not granted when the State recovers land includes:
Article 82. In case the State recovers land, no compensation is given for land
The State recovers land without compensation for land in the following cases:
The cases specified in Clause 1, Article 76 of this Law;
Land allocated by the State for management;
Land recovered in the cases specified in Article 64 and Points a, b, c and d, Clause 1, Article 65 of this Law;
In case of ineligibility for the grant of a certificate of land use rights and ownership of houses and other land-attached assets as prescribed in this Law, except for the case specified in Clause 2, Article 77 of this Law.

Conclusion: So the above is The compensation for perennial crops land under Vietnam law. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com

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