Compensation for crops and livestock when the State reclaims land

Lao Dong Newspaper Legal Consulting Office replied:

Article 103 of the 2024 Land Law (effective from August 2024) stipulates that when the State recovers land causing damage to crops and livestock, compensation shall be made according to the following provisions:

1. For annual crops, the compensation level is calculated based on the yield value of the harvest for that crop. The yield value of the harvest is calculated based on the highest yield in the previous 3 consecutive years of that crop in the locality and the compensation unit price;

2. For perennial trees, compensation is calculated based on the actual damage value of the garden.

For perennial trees that are harvested multiple times and are in the harvest period, the compensation level is calculated based on the unharvested garden yield corresponding to the remaining number of years in the harvest cycle and the compensation unit price;

3. For crops that have not been harvested but can be moved to another location, compensation will be paid for moving costs and actual damage due to moving and replanting.

For forest trees planted with state budget capital, natural forest trees assigned to organizations, households and individuals for planting, management, care and protection, compensation shall be made according to the actual damage value of the garden; compensation shall be divided among the managers, caretakers and protectors according to the provisions of the law on forestry;

4. When the State recovers land and causes damage to aquatic animals or other animals that cannot be moved, compensation for actual damage shall be made according to the specific compensation level prescribed by the Provincial People's Committee;

5. Owners of crops and livestock specified in Clauses 1, 2, 3 and 4 of this Article may reclaim crops and livestock before handing over the land to the State;

6. The provincial People's Committee shall issue unit prices for compensation for damage to crops and livestock according to the production process issued by the Ministry of Agriculture and Rural Development or by the locality in accordance with the provisions of law; the unit prices for compensation for damage to crops and livestock prescribed in this Article shall be consistent with market prices and must be considered for adjustment when there are fluctuations to serve as a basis for calculating compensation when reclaiming land.

Thus, when the State reclaims land, compensation for damage to crops and livestock is regulated as above.