Land Pooling (readjustment)

Another technique for promoting efficient, sustainable and equitable land development in the urban fringes is land pooling/readjustment.

Land readjustment works best when implemented in small to medium-size areas.

How It Works?

  1. Assemble small rural land parcels into a large land parcel
  2. Provide it with infrastructure and public spaces in a planned manner
  3. Return the reconstituted land to the owners

Note: The cost of the provision of infrastructure and public spaces is covered by the sale of some of serviced land.


There are several important prerequisites for the successful implementation of land readjustment:

  • It must be supported by the national, regional and municipal governments. It is important that the national Government provides regulations and guidelines to ensure fairness in the system;
  • The land readjustment agency must be given powers to coordinate and to get access to assistance from various government departments;
  • The land registration and cadastral system needs to be efficient;
  • There has to be a sufficient number of skilled and highly dedicated negotiators at the local level as well as objective and well-trained land valuers;
  • As the method is based on public/private cooperation, the majority of the landowners should support the use of the technique. Forceful acquisition of land should be avoided


  • It provides an opportunity for a planned development of the land and infrastructure network
  • It avoids the problem of the so-called “leap-frog” development where different types of land uses and densities are mixed.
  • Developers in many Asian countries often have a problem because plots in the urban fringe are small, irregularly shaped and lack access to public roads.
  • It provides an opportunity for the provider of infrastructure and services to recover the incurred costs as well as to get access to land for this purpose.
  • Also lead to increased public revenues from property taxation.

Case of Andhra Pradesh

The Andhra Pradesh government’s plan to convert an agrarian economy into a “throbbing urban agglomeration”.

Ap govt came with innovating land pooling , a statutory framework in which farmer give land to developers w/o payment and get 1000 yards of developed area after few years worth of crores

  • All such steps bypassing SIA, consent from community etc under LARR 2013
  • Ap announced 50 k acre of fertile land for greenfield capital while Chandigarhhad used only 9k and later 6k that too Barren land , such high area will only give windfall profits to developers and no one else
  • Also political leaders and developers saying farmer :” if u don’t give we will make ur land as green belt thus land of no use finally terrorising the farmers “
  • Area has taking approx 30 villages having one of best soils and climate in country losing 1000cr of multi-crop variety each year

Social aspects

  1. Land from large no. of people who depend upon farming for livelihood will be taken away; dis-empowers the community; goes against inclusive development.
  2. Most adverse impact on community of small farmers and landless labours.
  3. Devoid of their traditional livelihood source “farming”, they might fall into “poverty”
  4. Large amount of monetary compensation will lead to rise of social evils and consumption expenditure.
  5. People might sympathize “naxalite”; region may see growth of naxalite movement in future.

Economic aspects

  1. Diversion of fertile farmlands for urban use with adversely impact our food security.
  2. Commercial farming and orchards in the region add significantly to state economy; any diversion will hamper state GDP.
  3. New state is fund starved; green field capital goes against fiscal prudence.

Environmental aspects

  1. City on upper reaches of Krishna river will destroy the river; making the vicinity flood prone.
  2. Such large scale conversion to urbanization will enhance emissions; causing climate change; disturbing indigenous ecosystems.
  3. Regeneration capabilities of aquifers in the region will reduce; threatening native vegetation.

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