The Madhya Pradesh government has announced a significant increase in compensation for farmers whose land is acquired for various projects. Chief Minister Shivraj Singh Chouhan, in a cabinet meeting chaired by him, approved the fourfold hike in compensation rates. The decision is expected to benefit thousands of farmers across the state.
Key Highlights of the Decision
The new compensation structure will apply to land acquisitions under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013. The government has increased the multiplier factor from 1.5 to 2.0, effectively raising the compensation amount by four times for farmers. Additionally, the solatium amount has been increased from 30% to 60% of the market value.
Benefits for Farmers
Farmers will now receive enhanced compensation, which includes the market value of the land, a solatium of 60%, and additional benefits for loss of livelihood and rehabilitation. The state government has also simplified the process for claiming compensation, ensuring timely disbursement of funds.
Reactions from Stakeholders
Agriculture Minister Kamal Patel welcomed the decision, stating that it reflects the government's commitment to the welfare of farmers. Opposition parties, however, criticized the move as insufficient, demanding that compensation be linked to the actual market value of land in urban areas.
The decision is expected to accelerate infrastructure projects in the state, as land acquisition disputes have often delayed development works. The government has also set up a grievance redressal mechanism for farmers to address any issues related to compensation.



