Industry split over acquisition of land

The divergent recommendations on how government should acquire land made by the National Advisory Council and the Uttar Pradesh government has split industry down the middle.

Shedding any pretense of reconciling differences,the two leading industrial chambers,Ficci and CII issued clashing statements on Friday. While CII director general Chandrajit Banerjee said the government cannot absolve itself of the responsibility in land acquisition for industry,Ficci secretary general Rajiv Kumar welcomed the Mayawati government’s hands-off policy,saying it supports market-based land acquisition which will be transparent and more favourable for farmers.

The UP government has passed on the onus to the private sector.

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Both the chambers have used strong language to press their position. The differences could scupper the chances of the proposed Land Acquisition (amendment) Bill being passed in the monsoon session.

Indian industry,both public and private sector needs land for expansion but it is buffeted by the discordant noises from different states. This has impacted expansion plans of several companies ever since the land issue rose to the surface.

At stake is adequate compensation for farmers,most of whom own small plots of land in a densely populated country.