In August, The central government announced financial incentives for states to promote land reforms through the Scheme for Special Assistance to States for Capital Investment 2024-25.The plan includes Rs 10,000 crore for land-related reforms and Rs 5,000 crore for creating a Farmers’ Registry in the financial year 2024-25.
Recent Announcements For Land Reforms Under the Scheme
- In rural areas, Unique Land Parcel Identification Numbers (ULPIN), also referred to as Bhu-Aadhaar, will be assigned to land parcels.
- ULPIN is a number that would uniquely identify every surveyed parcel of land and prevent land fraud, especially in the hinterlands of rural India, where land records are outdated and often disputed.
- Cadastral maps will be digitised, and land subdivisions will be surveyed to reflect current ownership. Additionally, a comprehensive land registry will be established.
- In urban areas, States will receive financial incentives to digitise land records using Geographic Information System (GIS) mapping.
- They are also required to develop IT-based systems for property record administration, updating, and tax management.
Financial Support for Various Other Initiatives Under the Scheme
- Support for Working Women’s Hostels: The government has allocated Rs 5,000 crore for constructing hostels to boost female workforce participation, with state governments providing land at no cost or covering acquisition costs, and the hostels will be managed under a Public-Private Partnership (PPP) model while retaining state ownership.
- Vehicle Scrappage: Rs 3,000 crore will be provided in incentives for the scrapping of old vehicles.
- Industrial Growth: Rs 15,000 crore is earmarked to stimulate industrial development.
- Infrastructure Development: Rs 1,000 crore will be allocated for infrastructure development, with equal distribution among Haryana, Uttar Pradesh, and Rajasthan.
- Centrally Sponsored Schemes: Rs 15,000 crore will support states’ shares of Centrally Sponsored Schemes, including Urban and Rural Infrastructure Projects.
- SNA Sparsh Model: Rs 4,000 crore will be allocated for the implementation of a just-in-time fund release model.
- Capital Expenditure Targets: Rs 25,000 crore will be provided in incentives for meeting capital expenditure targets for FY 2024-25.
Major Initiatives Undertaken for Land Reforms
- Pre Independence: Under British rule, farmers lacked land ownership, with land titles held by zamindars, jagirdars, and other intermediaries. Several key challenges, such as the concentration of land in a few hands, exploitative leasing practices, poorly maintained land records, and fragmented land holdings, hindered the effectiveness of land reforms in India .
- Post-Independence Reforms: To address the above mentioned issues, the government appointed a committee in 1949 chaired by J. C. Kumarappa, which recommended comprehensive agrarian reforms like abolition of intermediaries, tenancy reforms, ceiling on landholdings, consolidation of landholdings.
- Abolition of Intermediaries: The removal of the zamindari system eliminated intermediaries between cultivators and the state.
- Tenancy Reforms: It aimed to control rent, ensure security of tenure, and grant ownership to tenants.
- Ceilings on Landholdings: Land Ceiling Acts were introduced to cap the maximum land one could own, preventing land concentration among a few.
- Based on the Kumarappa Committee’s recommendation, the ceiling was set to three times the economic holding size needed for a family’s livelihood. By 1961-62, states had enacted varying ceiling limits, which were standardized in 1971. National guidelines set limits between 10-54 acres, depending on land type and productivity.
- Consolidation of Landholdings: Land consolidation aimed to address fragmentation by reorganizing small, scattered plots into larger, manageable units. Most states, except Tamil Nadu, Kerala, Manipur, Nagaland, Tripura, and parts of Andhra Pradesh, enacted consolidation laws, with compulsory consolidation in Punjab and Haryana and voluntary consolidation in other states.