The main hitch is not the value it is the delay in making payment. The land is acquired when there is no activity in the area and the market price itself is very low. If it is paid across the counter, there will be no problem. But in actual practice, the process is enormous and by the time the actual payment is being made, the area had been developed and the market prices sours. The beneficiary then feels that he is being robbed. His comparison is with the present market price. Therefore, unless the value is paid immediately and transaction confirmed, the dispute is bound to happen.
who made them Professor's who will come to bid in remote area's Parikshit Ghosh, Associate Professor at Delhi School of Economics or Maitreesh Ghatak, Professor of Economics at London School of Economics
Profs Ghatak and Ghosh, You do not have much idea of the reality. Take the case of Singur in West Bengal. It was only the Tatas who were interested to have a factory there. Even then Tatas were not keen to pay the full price of the land because they bargained hard with the Government of West Bengal and got the land lease at nominal rates. In such a scenario what kind of auction could have taken place? Auction can work in the outskirts of the expanidng cities where there is huge demand for land but not in places that are far away from cities where some firm would like to set up an industry.
The approach is totally wrong .Land or Any other asset cannot be acuired forcefully it should only be by free mutual consent.Govt of INDIA has surplus land with it it should be utilised first.For example in Delhi ministers are living in govt bunglows each plot is more than 4 acres.This is absurd all this land should be auctioned and ministers should be accomodated in flats somewhere in outer delhi befitting them. And how can people living in big govt bunglows for decades and paying pittance decide whose land to acquire.
1. farmer is loosing lifestyle in addition to loss of ownership of land during acquistion of land. let us say a farmer has 6 people. father, mother, farmer, farmers wife, a boy kid and girl kid. here in future boy and girl may learn alternative way of life. farmer,his wife, his parents cant change their vocation. what about that?
2. land was perinial source of income. being fixed asset it was not easy to sell due to procedures and strong feeling regarding owning land. land is only equity capital for farmer.
3. when farmer sells land may be it at acquistion price or mutually agreed price, he does not know what to do with it. ( at least 75% farmers may not be knowning what to do with sudden huge money with them) most of them end up with acquiring non yielding assets like lavish house/car. after 3 years most of these rich people again be come daily wage earners.
4. let farmers never sell land. for any project if any institution needs land, let them get it on lease for long time. further to this a compensation for using land let it be there. this helpas farmer to retain ownership, get regular source of income and in future date,any appreciation in land price will accrue to him. at later date if institution wants to continue lease, revised land price will determine revised lease......
Re: auction land
by Nisith Sarkar on Jul 26, 2012 03:54 PM
It is not practical to bid the land for the farmers compensation.I think Govt. should acuir land for the Industry/other purpose with compensation of market price and at the same time fermers involed legally as a part of the Industry to be st up in his land. nisith
