The Hindu Business Line : Diversification of crops — TN plantation sector seeks land reforms Act change

THE plantation sector is seeking an amendment to the Tamil Nadu Land Reforms (Fixation of Ceiling on Land) Act, 1961 to facilitate diversification of plantation crops to a certain extent and thereby avert any deeper financial crisis in existing plantations and guarantee employment to the large labour force.

The suggestion put forth by the Planters' Association of Tamil Nadu (PAT) would, according to its Chairman, Mr D. Hegde, involve "no demand on governmental revenue".

In a memorandum to the Revenue Secretary Dr N. Sundaradevan, the PAT chairman, while supporting the sector's argument for seeking an amendment to the Land Reforms Act has pointed out the similarity and dissimilarity between the manufacturing industries and plantations. He said both are covered by the Industrial Disputes Act, 1947.

Under Section 25-O of the Act, an industrial establishment employing 100 or more workmen cannot be closed down for financial or other reasons except by obtaining the prior permission of the Government, which will seldom be forthcoming, because the workers will be rendered jobless.

This provision is applicable for plantation establishments also, but the similarity ends here.

While the manufacturing sector has the freedom and option to prevent closure if it can raise necessary funds, change its line of production including plant and machinery and take to manufacture new products, this option is not available for plantations because their producing assets are living tea bushes, coffee plants and rubber trees planted and nurtured in the soil. These crops are area and elevation specific.

The Act is rigid, for the exemption is made available only as long as the land continues to be cultivated with the crops defined in the Act. Agriculture-oriented plantations are choked at both ends," he added.

Planters have identified a few alternative crops such as vanilla, cocoa, cinnamon, cashew, pepper and a few varieties of herbs for cultivation based on climatic pattern and elevation of the different plantation regions. Such diversification, he said would ensure continued employment to the existing labour force without affecting the ecological balance in the hill areas.

The PAT has appealed for favourable amendment to section 73 of the Land Reforms Act so as to extend the exemption to these crops as well.

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