ABSTRACT

This chapter discusses the general political and economic reforms, the importance of agriculture in the Albanian economy, and the history of land tenure rights in Albania. It reviews the policy debate, and discusses the alternative options for agricultural privatization, problems in reform implementation, and policy responses. The chapter explains the impact of the factors on the choice of the privatization process and the resulting decollectivization. Agrarian reform was a very important part of the overall economic reforms in Albania, because agriculture is a significant part of this country’s economy. Agriculture is well distributed within the country, but is most intensive in the western coastal lowland. In principle, ‘land distribution’ meant conceding ownership or use rights to land and other agricultural assets to farm workers, agricultural producer cooperative members, and other rural residents. Privatization in agriculture brought about considerable changes in the incentives structure and in motivations.