Landlords and rich peasants owned a greater percentage of land in South Vietnam, especially in the rich agricultural land of the Mekong Delta, than in North Vietnam. Prior to the provisional separation of North and South Vietnam, emperor
Bao Dai in 1953 responded to the Viet Minh program of land redistribution and rent reduction with a decree declaring that rents for land should not exceed 15 percent of the crop. The decree was unenforceable and rendered null by a failing colonial government and, in any case, contained loopholes that could have been exploited by landlords. In 1954, South Vietnam's ally, the United States, advised the new government of South Vietnam, headed by
Ngo Dinh Diem, to undertake "indispensable reforms" including land reform. In response on 8 January 1955, Diem adopted Ordinance No. 2, which capped rental of land at 25 percent of production. In October 1956, Diem adopted Ordinance No. 57 which forbade ownership by an individual of more than of rice land and prescribed the conditions and terms under which the excess land expropriated from the rich could be transferred to landless less-wealthy farmers. The U.S. would pay the landowners and receive payment from the purchasers over a 6-year period. The U.S. believed land reform was important for building support for the government and threatened to cut aid unless land reform and other changes were made. Under the program the government acquired from 1958 to 1961 and distributed . The land redistributed thus comprised less than 10 percent of the 7.5 million acres of cultivated land in South Vietnam. The land reform program implemented under Ordinance 57 was unpopular in the countryside. The Viet Minh had already divided up the land -- "fairly," in the words of one official. The government's program was less generous to the majority of farmers than had been the Viet Minh redistribution of land in areas which it controlled. The amount of land that individuals were permitted to retain was large, farmers were required to pay for land they acquired under the program, and the program was riddled with corruption and inefficiency. Many rural people believed that the United States army and the government of South Vietnam were on the side of the landlords. Military operations by the U.S. and South Vietnamese armies to clear communist insurgents from an area would often result in landlords reclaiming land previously abandoned or confiscated and redistributed by the Viet Minh or Viet Cong. Ordinance 57 resulted in the reverse of what was the objective of land reform advocates: large landowners and landlords increased their influence, especially in the important rice-growing area of the Mekong Delta. The ordinance remained in effect until 1970, but was largely unutilized after 1960 as the
Viet Cong insurgents took control or disputed government control of most of the rural areas of South Vietnam.
Land-to-the-Tiller. In 1967, land reform expert
Roy Prosterman revived the idea of land reform in South Vietnam. Drawing on experience in other countries, Prosterman proposed a "land-to-the-tiller" program to compete "with the Viet Cong for the allegiance of the peasants." The plan had two main features: (1) all agricultural land in South Vietnam was to be owned by the farmers actually tilling the land, including land previously distributed by the Viet Cong and (2) landlords would be compensated fully for the land taken from them with payment guaranteed by the United States. Prosterman estimated that the land-to-the-tiller program could be accomplished at a cost of $900 million—less than the Vietnam War was costing the United States each month. On 26 March 1970, with the Vietnam War still underway, the government of South Vietnam began implementation of the Land-to-the-Tiller program, similar to what Prosterman had proposed. The reform aimed to expropriate land from landlords not personally cultivating the land and giving it to tenant farmers; the landlords were compensated. Individual land holding was limited to 15 hectares. Legal title was extended to peasants who lived in areas under control of the South Vietnamese government to whom land had previously been given by the North Vietnamese-ruled
Viet Cong. U.S.President
Richard Nixon gave his support to new land reform measures in June 1969 in the
Midway communiqué, judging it favorable to the
vietnamization of the conflict. "By all accounts, the program was highly successful," in the words of one scholar. By the end of 1973, 953,000 land titles had been distributed to poor or landless farmers and 1,198,000 hectares of land—nearly 40 percent of cultivated land in South Vietnam—had been distributed. By the end of the Vietnam War in 1975, the U.S. estimated that land tenancy had practically disappeared in South Vietnam and that the living standard of farmers had increased by 30 to 50 percent. However, the Land-to-the-Tiller program "failed to have a decisive impact [on the Vietnam War] because it was too little, too late." ==Collective farming==