NAGPUR: In an effort to simplify the land acquisition process for industries, Maharashtra’s Minister of State for Finance, Planning, Agriculture, Labour, Relief, and Rehabilitation, Ashish Jaiswal, has proposed a draft initiative allowing direct land purchases, bypassing the Land Acquisition Act that mandates a fourfold payment rate.
Jaiswal’s proposal aims to grant full land ownership to industries, as opposed to the current system which allows for only leased land. Currently, the Maharashtra Industries Development Corporation (MIDC) facilitates land acquisitions for industries. Upon paying the fourfold price, industries can only lease the land, explained Jaiswal. According to the draft proposal, companies looking to acquire large tracts of land would be permitted to negotiate directly with landowners.
“By purchasing land directly, industries will not be required to provide jobs to displaced individuals. The Land Acquisition Act stipulates resettlement and rehabilitation measures that would not apply in this case,” he noted, confirming that his proposal eliminates these obligations.
Speaking at an industrial relations meeting hosted by the Vidarbha Economic Development (VED) Council, Jaiswal mentioned that the draft policy is in progress, and he anticipates swift action from the state government. Members of the VED expressed their support for the proposal.
Currently, buyers under the Land Acquisition Act are exempt from stamp duty, and sellers do not have to pay capital gains tax. Jaiswal stated that similar exemptions should be considered for the proposed mutually negotiated land purchase policy.
The minister is also developing a policy aimed at establishing fair wages. “While we have the concept of minimum wages, there should also be a framework for fair wages. An employee’s retirement wage can be anticipated from the outset by considering inflation and other factors,” he commented.
Additionally, Jaiswal is working on a proposal to grant industry status to the mining sector, which would provide additional benefits.
“While it’s essential to protect workers’ rights, we must also ensure that industrialists are not subjected to undue harassment. Recently, I attended a meeting chaired by Chief Minister Devendra Fadnavis, who affirmed that any wrongful targeting of industries will be addressed promptly. In such scenarios, the pertinent superintendent of police will also face consequences,” he added.
