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MP land acquisition: Cabinet approves compensation up to 4 times market value
The Madhya Pradesh Cabinet approved compensation for agricultural land acquired for critical infrastructure up to four times the market value. The decision is intended to accelerate development projects such as irrigation schemes, roads, bridges, railways, and dam construction, and to improve farming families' economic conditions. The move was taken under the 2015 Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Rules, following a sub-committee's recommendation after consultations with farmer groups and industry bodies.
Why It Matters
The decision could hasten infrastructure projects and affect landowners' compensation, signaling a push to speed up development in rural areas.
Timeline
1 Event
Cabinet decision on higher compensation for land acquisition
April 22, 2026
The Madhya Pradesh Cabinet approved compensation up to four times the market value for agricultural land acquired by central and state governments from farmers in rural areas for critical infrastructure projects such as irrigation schemes, roads, bridges, railways, and dam construction. The decision was announced by state minister Narendra Shivaji Patel and cited to accelerate development and improve farming families' economic conditions. The approval was made under the Madhya Pradesh Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Rules, 2015. A sub-committee of state ministers had submitted a recommendation for higher compensation after studying policies in other states and consulting farmer organisations and industry bodies, including CREDAI.