CHANDIGARH, July 21 — To pacify mounting farmer resistance to its land pooling policy, the Punjab government on Monday announced that Letters of Intent (LoIs) will now be issued within 21 days of receiving landowners’ consent. It also enhanced the annual advance payout to Rs 50,000 per acre — a significant jump from the earlier promised Rs 30,000.
The move comes amid a wave of protests by farmers and growing political opposition. With the Samyukt Kisan Morcha (SKM) and all major Opposition parties backing agitating farmers, the Aam Aadmi Party (AAP)-led government is under pressure to defuse tensions ahead of the SKM’s planned tractor rally on July 30.
“Farmers will continue cultivating their land and keep all profits until development begins,” said a senior government official.
“Once development work starts, the compensation will be revised upward to Rs 1 lakh per acre per year, and that amount will be disbursed regularly until the work is complete.”
The revised benefits mark a shift from the initial offer, under which farmers were to receive Rs 30,000 per acre annually for three years after handing over land under the pooling model.
Still, opposition to the policy shows no signs of slowing. Farmers’ unions and political parties have called the scheme inadequate and unfair, raising concerns about delayed compensation, loss of ownership, and transparency in the urban development process.
Despite the new promises, protests continue in various districts, with dharnas led by state units of the Congress, Shiromani Akali Dal, and BJP, all expressing solidarity with the SKM. Many leaders have already announced their participation in the upcoming rally.
Farmer leaders argue that without written guarantees and legally binding timelines, government assurances remain hollow. “We’ve seen promises change too often,” said a protesting farmer in Mohali. “LoIs in 21 days is a good start, but we want the entire process to be time-bound and transparent.”
The land pooling policy, aimed at acquiring land for urban expansion and infrastructure without outright acquisition, is modeled on similar initiatives in states like Haryana and Andhra Pradesh. But unlike in those states, Punjab’s farmers — particularly smallholders — have voiced deep mistrust over future land valuation and promised returns.
Read More: Punjab Congress Launching Statewide Stir Against Land Pooling Policy
