Farm Lands in BangaloreAt a time when most industrialists are reeling under the recession effect, the Yeddyurappa government has charted a programme to bring
back their smiles.

The cabinet meeting on Wednesday decided to allow private companies or trusts to buy agricultural land for industrial purposes.

Accordingly, section 109 of Karnataka Land Reforms Act 1961 will be amended to pave way for industrialists to buy agricultural land. “Not only industries
, even educational institutions, housing projects and activities can be established on the purchased agriculture land. The government intends to encourage industries to come up,’’ primary and secondary education minister Visvesvara Hegde Kageri told reporters.

The existing provision in the Act allows industrial or housing development on agricultural land on not more than ten units, while educational institutions can be set up on not more than two units. The deputy commissioners (DCs) now can approve only 10 acres for non-agricultural purposes. In case the investor intends to buy more than 10 acres, the cabinet or government is empowered to grant the permission.

With the proposed amendment in the Act, an investor planning to buy huge tracts of land for industrial or housing purpose, need not go before the cabinet. Only the conversion from agriculture to non-agriculture purpose from the competent authority is required.

Sources in the industries department explained that land “units’’ have been categorized into A,B,C and D. Wet land is categorized under “A’’. One acre of wet land constitutes a unit. All waste lands come under the “D’’ category. Here more than 5 acres constitute one unit.

However, this scheme has a rider. Only those investors recommended by cabinet sub-committee headed by revenue minister G Karunakara Reddy will be eligible to buy agricultural land.
Source-Times of India, Bangalore, February 19, 2009