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[LETTER OF INSTRUCTION NO. 46, (1972-12-07)](
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[ LETTER OF INSTRUCTION NO. 46, December 07, 1972 ]

TO: Secretary Conrado Estrella
Department of Agrarian Reform

In the implementation of the Government's Land Reform Program pursuant to Presidential Decree No. 27, you are required to -
  1. Immediately set up pilot projects in the most strategic areas, if possible in all the regions where tenancy has been generating social unrest.
If possible, set up one pilot project in each of the provinces in Central Luzon - Nueva Ecija, Pampanga, Tarlac, Bulacan.

Prepare the program for these pilot projects, especially the funding requirements for the administrative units, and the credit needs of the farmers and other support services such as roads and other infrastructures.
  1. In the implementation of the program, the needs of the farmers for home lots should not be overlooked, and appropriate measures should be taken along this line.
It is necessary also for the Government at this time to pinpoint the areas needed for the expansion of urban communities , for housing and for industrial establishments.

Hence, in the implementation of the land reform program the requirements of these equally important program of the government should be taken into consideration.
  1. If your experience after operating within the limited spheres of the pilot projects points to the necessity of implementing Presidential Decree No. 27 by phases, you shall be guided in the implementation of the program in each region or province by the following priorities:
First Priority: - In landed estates or landholdings larger than 24 hectares:

Second Priority: - In landholding of 24 hectares and less out not below 12 hectares.

Third Priority: - In landholding of 12 hectares and less

These priorities will provide the  small landowners,  who constitute part of the  social middle class,  with time to adjust their economic  life plans.

These instructions are issued to ensure the efficient and orderly administration and implementation of the land reform program.

Done in the City of Manila, this 7th day of December, in the year of Our Lord, nineteen hundred and seventy-two.

Republic of the Philippines