Agricultural Land Purchase in Karnataka by a Company

Hi Farm Nest Team,

I am interested in buying agricultural land in Karnataka. However, section 79 of the Karnataka Land Reforms Act is a big hindrance.

Can a firm / company be formed of agriculturists and non-agriculturists to purchase agriculture land in Karnataka?

I am witnessing a lot of agricultural land transfers and formation of new layouts in and around Bengaluru and 100% of these firms have income above 2 lakhs/annum (Section 79 of Karnataka Land Reforms Act). How do they do it? Do they form a JV with the farmer in developing the layout. Does Deputy Commissioner approves such conversion if the plot size is less than 2.5 acres, rather than going through a High Powered Screening Committee chaired by the cabinet minister and the respected CM.

Please help me in finding solutions for this.

Thanks & Regards,
Sam Agri

Resp Sam Agri, Upto my knowledge, it is very long process in karnataka state, for companies to purchase agri lands.

First companies have to contact farmers , who wants to selll their lands, with very flexible time period. On executing agreements with them, the company has to approach revenue authorities, of the taluk,district and state.

The need of purchase, how it will be useful to the agri community, state and country to be narrated and they have to be convenced.

Then the process starts but it requires more time as more number of inspections and permissions are rquired.

One company by name Pioneer seeds corporation ltd has acquired some acerage in Kalnayakanahalli, gowribidanur taluk, Chikballapur dist, Karnataka State . Pl try to meet those company executives and try to gather the process.

best of luck sirs,  g.p.rao  , farmer

Hi G P Rao Sir,

Thanks for guiding me for the above subject. However, I am bit worried if the revenue authorities would apply Section 79 and treat the transaction as null and void, after executing the sale deed with the owner (farmer), thereby confiscating the property. Further, what is the procedure to convert it into “Residential” category - N.A. conversion.

I have seen a lot of people converting Agricultural land into “Residential” category. What is the loophole in bypassing section 79. Is it possible by entering into a MoU with the owner (farmer). Is it only possible by converting the land to residential use in the name of the original seller/owner.

Kindly provide your feedback on this.

Thanks & Regards,
Sam Agro

M/s Sam Agro, I thought you are an agriculturist . I know only the procedure for agri lands. Conversion to residential lands , Real estate, etc , I am with no knowledge.

g.p.rao, farmer