Karnataka: Is it time to lift the Land Ceiling Act?

The main contention of those who favour free market for land in Karnataka is that it will attract more investment, modernize backward linkage in the supply chain and usher in new technologies in farming. Currently, Karnataka falls within the arid zone in India. There is no perennial source of water for the farmers to rely on, the water table is depleting due to the overuse of bore wells making us the second most arid state in the country next only to Rajasthan. The current irrigation projects cover only 30% of the net sown area according to the Karnataka State Economic Survey. Hence, prospective buyers will not be willing to invest with such odds stacked against them. For a perfect operation of capitalistic market there are certain prerequisites required such as Infrastructure, Literacy and peoples empowerment. According to the Economic Survey 2012 literacy rate in Karnataka is around 75% just above the national average but functional literacy is around 60%, further according to the Karnataka PWD reports nearly 75% are village roads that are mostly narrow, unpaved mud tracks and about 3% of the total network is of 2 or more lanes, which includes National Highways, State Highways, and Major District Roads; the rest are either single lane or intermediate lanes. Given the poor rail connectivity in Karnataka, road network is often the only linkage between the rural and urban economies of the State. Further, according to the Union Home Ministry there has been a dismal rate of conviction in the cases of atrocities against the poor and marginalised SCs and STs. Karnataka has one of the lowest rates of conviction of 3.3 per cent. Hence, a greater attention to these issues is demanded before a capitalistic market is ushered in. If the Land Act of Karnataka is modified, it will give unbridled access to all the people to invest in lands. This might lead to Elite Predation by the local dominant classes/castes who have enough resources to invest and hence, alienating the small and marginal farmers and hence leading to greater unemployment. Further, there is also a possibility that the main industrial capital investment may fall as it is these dominant classes/castes are the ones who are spearheading the industrial growth of the state. The current land reforms were made to ensure equitable distribution of lands and ensure equitable benefits for the poor and the marginalized. If unbridled access is given to capitalists to buy lands, it will certainly alienate the poor, especially the depressed classes as they are the ones who will be affected the most, and might lead to the rise of Naxallite type of extremism. Further, there is always the fear of increasing absentee landlordism and conversion of productive lands to non- agricultural uses, thereby reducing agricultural output and endangering our food security.

The proposed model of the Land Act will also lead to an increase in crony capitalism due to two major reasons. Firstly, the administration especially, at the lower levels are in shambles with rampant corruption and is in no shape to act as an impartial distributor of resources as required by the capitalistic markets. Secondly, the Act gives rise to unwanted middle men who will exploit the farmers innocence and ignorance. This shows that the farming society and the social institutions as a whole is not in any shape to take advantage of modern capitalism. Dr.Girish Nashi in his article argues that in States like Punjab and Tamil Nadu where there is no land reforms, the farmers have prospered. Here He has failed to notice that it is only the well off dominant caste/classes who have benefited. For Example in Punjab it is the dominant Jat Sikhs who have cornered all the benefits and the lower Majabhi Sikhs remain in their downtrodden state. Further , thses states were chosen to implement the Green Revolution and hence they enjoy certain benefits of irrigation, mechanization, High Yielding Variety of Seeds and scientific farming. To improve agriculture in our state a unique kind of Agriculture Revolution is required to suit the climatic and geological conditions. This can be achieved by intensifying investments on crop research and irrigation projects. At the same time care has to be taken to achieve inclusive growth to lift up the lower caste/classes. A study of green revolution areas by noted Sociologist Daniel Throner has shown that inequalities in these areas have increased significantly due to the green revolution. Dr.Girish Nashi further argues that current land reform Act of 1971 allows only people with less than 2lakhs annual income to be eligible to buy agricultural lands and this will hinder agricultural development as the buyer may not be able to put in the additional capital required to increase yeald and productivity. He also points out that declining size of land holdings will be dysfunctional for agriculture. These are very relevant points raised, but one has to acknowledge that agriculture is the main source of bread for the rural poor and in a country that has 70% of its citizens depending on agriculture, the government cannot just wash its hands off and leave the market forces to take over, alienating the very people it is supposed to protect. Therefore and effort is required to bring agriculture under the companies act as corporate farming concept seeks to do is one of the better ways to gradually instil competitive sprits and strengthen the agriculture sector. Corporate farming allows pooling in of lands and resources thereby enabling greater capital investment, greater land holdings and hence making it possible to bring in new farming practices, machinery and hence modernizing the agricultural system. The development of the society should the main aim of the governance so as to achieve the critical mass required for capitalism. A new set of land reforms has wide repercussions which affects all social systems which demands a wider discussion and a holistic approach to tackle the manifest ( unforeseen) consequences. Amaresh G N Graduate Student University of Massachusetts Amherst United States of America University ID : 27023521