Facing Pushback from Farmers, Punjab Government Announces LOI in 21 Days and  Fresh Incentives Under Land Pooling Policy

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A series of new incentives to win back farmer confidence, is a commitment to issue Letters of Intent (LoIs) within 21 days of receiving their consent. In a significant revision of compensation terms, the government has also enhanced the financial package being offered. Farmers will now be paid an annual advance of ₹50,000 per acre, a notable increase from the initial ₹30,000 per acre offered during the first three years of the land acquisition process

Thenewsdose.com

Chandigarh,July 21,UPDATED:7.20PM

As discontent brews over the Aam Aadmi Party (AAP)-led Punjab government’s land pooling policy, authorities on Monday announced a series of new incentives to win back farmer confidence. Significant among these is a commitment to issue Letters of Intent (LoIs) to participating farmers within 21 days of receiving their consent, aimed at fast-tracking procedural delays that have been a major cause of dissatisfaction.

In a significant revision of compensation terms, the government has also enhanced the financial package being offered. Farmers will now be paid an annual advance of ₹50,000 per acre, a notable increase from the initial ₹30,000 per acre offered during the first three years of the land acquisition process. This amount will be disbursed annually until development begins on the pooled land.

“Until the development starts, farmers will not only receive the advance payment but can also continue to cultivate their land and retain full profits from their produce,” said a senior government official. “Once the actual development work commences, the annual compensation will be increased to ₹1 lakh per acre. This higher amount will continue to be paid regularly until the development process is complete.”

The land pooling policy, part of the state’s urban expansion and infrastructure development strategy, has faced strong opposition from farming communities. Critics argue that the scheme lacks clarity, does not ensure long-term benefits to landowners, and threatens agricultural livelihoods. In response, the government’s latest concessions appear to be an attempt to quell the growing backlash and project the policy as farmer-friendly.

However, resistance continues to mount. All major Opposition parties in Punjab, along with the Samyukt Kisan Morcha (SKM) — the farmers’ umbrella body that spearheaded the nationwide protests against the now-repealed farm laws — have extended their support to the agitating farmers. While political parties have already held sit-ins across the state, they are now gearing up to participate in SKM’s tractor rally scheduled for July 30, a move expected to further intensify pressure on the ruling dispensation.


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