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#The Economist explains: The fight over India - s land laws

The fight over India s land laws

Apr 20th 2015, 5:36 by J.O S. | MUMBAI

INDIA’S parliament reopened today after a short break. The government led by Narendra Modi is trying to pass amendments to a 2013 land-acquisition bill through parliament’s upper house, where it lacks a majority. Under the existing bill, any forced sale of land requires the consent of at least 70% of affected owners and must also pass a social-impact test. Compensation is set at double the market value for urban plots and quadruple for rural land. The demands of the bill are a leading reason why investment projects are at a standstill. In December Mr Modi’s government issued a temporary executive order that did away with the consent clause for certain projects. The amended bill would make that change permanent. But the opposition Congress party claims that removing the consent clause rewards business interests at the expense of poor farmers. Yesterday it mustered a huge rally in Delhi in protest. Why is land acquisition such a contentious issue in India?




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