Sunday, December 10, 2006

Land Reforms

Very often we read in the news about some state government or the other promising some private corporation that land will be made available to them for setting up their business operations. Most recently the Andhra Pradesh govt. promising land for a semi-conductor fab plant and a car manufacturer, West Bengal for Tata Motors, Orrisa for mining companies and land for the special economic zones are several examples. I always thought it curious that it was the various governments that were trying to come up with land; shouldn't the corporations be buying land themselves?

Ravikiran Rao's article points out that farmers are not allowed to sell land for non-agricultural purposes. Now that makes everything clear. It is this utterly insane law that prevents corporations from directly buying land and makes them go to the state governments. It isn't difficult to imagine all the corruption this law causes. It also isn't very difficult to imagine the negative consequences of such a law, several of which are pointed out in the article mentioned above.

Do take the time to read the article. Awareness of the basic problem brings about understanding of the issues. Gaurav Sabnis has a related article on land reforms. The fundamental right to property was abolished by the infamous 44th amendment made during the emergency years. That right should be brought back.

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