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Home Agriculture and Economic Development Land Reforms Measures 


Land Reforms Measures:


(i) Requisition of Land:


In so many countries under land reforms the lands are taken over by the govt. But this method was adopted under socialist countries. But in case of Mixed economies under land reforms an upper ceiling of land is stipulated which a land owner can retain with himself. While the land which is above this ceiling is confiscated by govt. Such upper ceiling of the land determines re-distribution of the land. However, in certain cases, the upper ceiling is determined on political basis, rather on economic basis. If the level of upper ceiling is very high only a few land lords will come into the grip of land reforms. In this way, govt. will fail to get reasonable amount of land to redistribute. If this upper ceiling is set at a lower level the small peasants will oppose it.


It has also been observed that the determination of upper ceiling of land through land reforms may discourage the land owners as their income will be depressed down. Accordingly, the agri. sector will become an unprofitable profession and the land owners may shift over to some other professions.


In certain cases, along with upper ceiling it is also allowed to retain some additional land in the form of meadows, orchards and gardens.


In so many cases under land reforms it is legally restricted to purchase the land more than the upper limit. Again, more than that amount cannot be inherited. Furthermore, the upper limit is decreased as a country develops.


It may also happen that so many countries do not want to face those problems which would arise due to land reforms like redistribution of land and compensation to the ex-owners of the land. Therefore, the govts. announce that those land owners who voluntarily sell the extra lands will be given tax exemptions etc. This method was adopted in Egypt, Taiwan and Thailand. But the poor peasants do not possess the funds to purchase such land. As a result, the redistribution of land will hardly be beneficial.


(ii) Distribution of Land:


The land being confiscated through land reforms can be distributed amongst the landless peasants. Moreover, it can also be used to convert the small holdings into economic holdings. Normally, the taken over lands are distributed amongst those tenants which are already cultivating them. Again, it is given to those small farmers and tillers which are residing in that area at very nominal price. This was followed in case of Pakistan, Egypt and

Syria. The land so distributed amongst the poor growers cannot be resold or redistributed. If the farmers fail to cultivate such tracts of land the govt. may get such land back from the tenants.


(iii) Compensation:


In socialist countries when govts. get the extra lands they do not compensate the landowners by giving any payment etc. But in Western and Mixed economies the compensation is considered necessary from legal and ethical point of view. However, the modes and techniques of compensation differ from country to country. If the amount of compensation is higher it will not lead to reduce the inequalities. Moreover, in connection with the determination of compensation the issue of pricing of the land will rise. Some lands are more valuable than others. In so many cases the amount of compensation is not given at once - rather it is given in installments as it was done in case of Pakistan and Columbia.


(iv) Tenancy:


The countries where the number of tenants are more the land reforms fail to change the land owners. It means that before and after land reforms the ownership of the land remains the same either he himself or his relative. In such situation the need is to improve the lot of the tenants, a harmony be brought about between the owner and the grower so that agri. production could increase. Therefore, in so many countries the land reforms are aimed at protecting the interests of the tenants, i.e. the owners will not eject the tenants. The ejectment could be made if (a) the tenants fail to pay the stipulated rent, (b) the tenants are improperly utilizing the land resources, (c) the tenants do not cultivate the land, (d) the tenants have sublet the land, and (e) the owner wishes to cultivate land.


Under land reforms it is also decided that how much rent will be paid by the tenants to the owners, and how much investment will be made by the owners. The amount of rent should not be so high that the tenants could not pay it. Moreover, in case of crop failure there should be the exemption of the rent.


But practically one finds that measures suggested to improve the lot of tenants are nothing more than paper work. To take-over the land is an administrative step while the protection of rights of the tenants is a permanent process which is impracticable. Moreover, it is not necessary that both the owners and tenants will cooperate in this regard. In agrarian societies the tenants are just tenants, they can not unite themselves in organizations or associations and they are unable to negotiate with their owners. The tenants are the borrowers of the owners, they have been the tenants since many a generations. The tenants are nothing more than servants. How the owners will treat them equally.


Because of these reasons the issue of improving the tenant-owner relationship is hardly given any importance in land reforms. Such all is possible if the system of tenancy is abolished.


(v) Proper Use of Land:


The redistribution of land will be least beneficial if the lands are not properly used and utilized, the

complementary inputs are not provided with; the tenants are not acquainted with modern techniques of cultivation, they are not told regarding marketing trends and they are not gotten rid of money lenders and exploiters. Therefore, for the success of land reforms need is to provide extension services to the fanners. They should be provided with credit. As far as UDCs are concerned the commercial and cooperative banks are always

found hesitant to provide loans to the small growers. Accordingly, the tenants as usual go on borrowing from land lords and money lenders. In such situation, even the land reforms fail to break the clique of feudals and money lenders.


It is also an objective of land reforms to improve agri. marketing system; the farmers will have to be provided with the storage facilities; to avoid cobweb fluctuations the support prices schemes will have to be implemented effectively; the system of cooperative farming and cooperative societies should be made more viable; and the supervised farming be popularized.


Relevant Articles:


Role of Agriculture Sector in Economic Development of a Developing Country
Structure of Third World Agrarian System
Economics of Agricultural Development/Stages of Agricultural Development
Strategy for Agricultural and Rural Development
Economics of Small Scale Agriculture
Economics of Agriculture Specialization
Role of Agriculture in Economic Growth
Agriculture Surplus as a Source of Capital Formation and Economic Development
Surplus Labor as a Source of Capital Formation and Economic Development
Agriculture Sector and Capital Formation in Developing Countries
Land Reforms or Agrarian Reforms
Land Reforms Measures
Effects of Agrarian Reforms
Agrarian Reforms and Economic Development
Green Revolution (GR)
Nature of Green Revolution (GR)
Causes or Importance of Green Revolution (GR)
Effects of Green Revolution (GR) on Income
Problems/Demerits of Green Revolution (GR)
Relationship Between Farm Size and Farm Output with Respect to Productivity
Productivity of Lands
Relationship Between Green Revolution and Size Productivity

Principles and Theories of Micro Economics
Definition and Explanation of Economics
Theory of Consumer Behavior
Indifference Curve Analysis of Consumer's Equilibrium
Theory of Demand
Theory of Supply
Elasticity of Demand
Elasticity of Supply
Equilibrium of Demand and Supply
Economic Resources
Scale of Production
Laws of Returns
Production Function
Cost Analysis
Various Revenue Concepts
Price and output Determination Under Perfect Competition
Price and Output Determination Under Monopoly
Price and Output Determination Under Monopolistic/Imperfect Competition
Theory of Factor Pricing OR Theory of Distribution
Principles and Theories of Macro Economics
National Income and Its Measurement
Principles of Public Finance
Public Revenue and Taxation
National Debt and Income Determination
Fiscal Policy
Determinants of the Level of National Income and Employment
Determination of National Income
Theories of Employment
Theory of International Trade
Balance of Payments
Commercial Policy
Development and Planning Economics
Introduction to Development Economics
Features of Developing Countries
Economic Development and Economic Growth
Theories of Under Development
Theories of Economic Growth
Agriculture and Economic Development
Monetary Economics and Public Finance

History of Money

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