Clearly, the main challenge is the increasing concentration of land, and what has resulted from the unequal distribution of land: hoarding of profits and other resources, while other sectors become impoverished and inequality grows. The government, however, does not consider this inequality a problem. It argues that what is needed in Ecuador is to promote greater productivity and to generate greater added value in production. Accordingly, the government has not made an effort to establish distributive land policies. The government's lack of effort sparked a debate around a new land law.
In 2012, social organizations presented a draft Law of Land and Territories with clear proposals on land redistribution, prohibitions of latifundios, establishments of the social function of property, and the recognition of territories, among others. The state response was disseminated two years later, with the proposal of Organic Law of Productive Rural Lands, which prioritized productive land uses. Subsequently, at the end of 2014, a third draft of the Law of Rural Lands and Ancestral Territories was launched, which proposes contents for the private productive sector, whether large or small, and also considers elements for communal property and for territories.
This draft Law was extensively discussed during 2015, with the participation of the state, indigenous and peasant organizations, NGOs, research centers, activists, and others. Finally, the Law was approved at the beginning of 2016. This law left peasants and Indigenous People dissatisfied because of the Law’s focus on production, and the fact that it does not address fundamental elements of agricultural policy that are needed for Ecuador.
The issue of defining the latifundio and its extension has been postponed until the law’s regulations are discussed. Discussions on land markets, foreign property rights, redistributive policies are also postpone. The views and perspectives of indigenous and peasant landholders have not been considered. Therefore, the future challenge of addressing agrarian issues remains significant.