By coming to power, the Communist Party indicated the path along which the agrarian policy would take place. The Law on Agrarian Reform and Colonization was passed, according to which land was taken from some and given to others. According to the principle the land is owned by the one who cultivates it, the agrarian reform and colonization were carried out. Croatia was in the agrarian sense overpopulated, especially in certain areas, and carried out the internal colonization. However, it was not enough for all interested peasants, so Croatia also participated in the federal colonization. Within the borders of Croatia, colonization took place in the area between Drava and Sava rivers. It was a big task in every sense. It was necessary to move a large number of people from their regions to the area of colonization. Previously, a land fund was created from which the beneficiaries of the reform and colonization were supplied with land. The attempt to create peasant labor cooperatives failed. However, large estates and enrichment on them as in the past, have been disabled, and feudal relations have finally been abolished. These measures affected a large number of people, so they were of great economic, social and political significance. After a long period of time and a hard struggle, the peasants finally became the owners of the land.