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Kulpi raises questions on direct land purchase mechanism

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Swati Garg Kulpi (South 24 Parganas)
Last Updated : Jan 20 2013 | 2:22 AM IST

“We will not talk to middlemen and property brokers”, a small gathering of sharecroppers in Kulpi told Business Standard, in what could well turn out to be an ominous declaration. 

In this one pledge, the farmers have rejected Chief Minister Mamata Banerjee’s acceptance of land buying transactions for industry to be tackled through middlemen. 

Kulpi is a port town in South 24 Parganas district, 78 kilometres from Kolkata. 

A joint venture between Keventer and Dubai-based DP World was slated to come up with a private container port and a special economic zone in Kulpi. The project, which would require an investment of Rs 2,600 crore, has been stuck for 16 years due to clearance issues. 

“Middlemen are there, they will always be there. You have to deal with them,” Banerjee had said recently when she met the investors and made it clear that her government would not acquire land for industrial projects. However, for the sharecroppers of Tangrachar and Rangaphala, two scenic villages near the Hooghly river in Kulpi, dealing with middlemen is turning out to be a nightmare. 

Together, Tangrachar and Ranghaphla have a population of about 3,000, most of which are dependent on land and the river for livelihood. 

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“Land which has been sold at Rs 1.5 lakh a bigha to a middleman is being sold to the promoter at Rs 3 lakh a bigha, who will then sell to the company at an even higher price. Why then, should we not talk directly to the company?” asked Gopal Kayal, a sharecropper. Farmers were paid up to Rs 60,000 per bigha. One bigha is equal to 14,400 square feet in West Bengal. 

According to estimates by local residents, 1,000 acres have already been sold, without the knowledge of the sharecroppers, most of whom have some land as well. 

However, a rule established in 1978 by the Left Front-led CPI(M) government maintains that registered sharecroppers have legal protection against eviction and have a right to a share of the produce. Also, in case of sale they are supposed to get 25 per cent of the price of the sold land. 

No wonder then, they want to re-negotiate compensation. 

“The babus (owners of land) in Diamond Harbour have sold the land without informing us. But we have our papers and the monthly receipts of the crops we sold them. They cannot just throw us out,” said Anukul Tikadar, another sharecropper. 

Unless there are negotiations, along the lines demanded by the farmers, amid arbitration by representatives of the government, Kulpi is ready to agitate. “This village is closed to measurements. We will not allow them to enter, until the company sits with us for talks,” said Tikadar. 

When a party of middlemen arrived last week to measure the land, it was blocked through human chains formed by women and children, reminiscent of, and, inspired by Nandigram. 

MYSTERY BEHIND SALE 

However, the villagers have no clue about the identity of the ‘company’ that they are referring to. All that they know is the land is being bought for a shipping-related project. The brokers and middlemen that they are dealing with are from Diamond Harbour and Kolkata. 

“Work on the shipping project has started. They have bought over 1,000 acres already and rumour is that the first round of road construction along fields will start next month,” said Shyamal Das, a local resident. 

However, the project itself is yet to get the government approval. Promoters, too, deny any knowledge of land being bought for their project. 

“How can I possibly acquire land for a project that is yet to get approval from the government? I am, however, meeting the government and have been told that obstacles to the project will be removed in 15 days,” said M K Jalan, chairman, Keventer Projects. 

Jalan said the land being bought fell within the purview of his project boundaries. He, however, denied being involved with middlemen. 

“Middlemen have been continuously approaching me to sell the land which they have blocked but since the project has not been cleared by the government, the company developing the Kulpi Port is not authorised to buy the land,” he added. 

The middlemen phenomenon is not new to land issues in Bengal. In 2009, the 1,600 acre information technology (IT) township project was scrapped at Vedic Village near Rajarhat, a Kolkata suburb. 

The Vedic Village fiasco, as it came to be later known, saw local residents turning their ire on one of the land brokers. This ultimately led to the death of one person and substantial damage to property. The incident was a landmark, in as much as it raised questions over the direct land purchase route. The project was being developed by Vedic Realty which ultimately appointed brokers to acquire the land, which was of substantial acreage. 

PROBLEMS IN PROJECT 

Problems currently stem from the fact that land is not just being bought, but barricades are being created around the Hooghly river that is a lifeline to these villages. 

The problem, according to local residents, is compounded by an element of duplicity and coercion in the manner dealings are taking place. 

“They promised us that until we negotiate with the company, we will be allowed access to the water. However, within days of the sale, they blocked the access. This means, we can no longer catch fish, which forms a big part of our income,” said Dhudhkumar Mondal, whose family sold eight bighas. 

Experts say since there is an absence of government intervention in land acquisition for large projects, it will automatically lead to pressure tactics by middlemen and brokers. 

“Land markets are notoriously imperfect, especially in a country like ours which has land resources in short supply. Acquiring land through only the private sector will mean implicit participation by brokers. This automatically implies employment of coercion and subtle pressure tactics,” said Anup Sinha, professor of economics, IIM-Calcutta. 

The absence of trust among farmers is palpable. Social activist Anuradha Talwar claims a deed of sale reviewed by her had the names of 16 companies, all of whom had a single address. Talwar leads the Paschim Banga Khet Majoor Samity, an independent trade union. 

“The companies that are buying land have no manufacturing interest, proven by the fact that most are obscure names, with one common address. Either land is being bought for one big company on the sly or these purchases are speculative,” she explained. 

Common to most speculative purchases is the phenomena of the price of land rising manifold. This has happened at Kulpi as well, for the price of land has risen over five-fold from Rs 30,000 a bigha to Rs 1,60,000 a bigha within three and half months (in the last three months). 

Talwar, who incidentally, stood by Mamata Banerjee during the Singur agitation, has written to the district magistrate seeking a stay on the sale and an inquiry into the nature of the company/companies making these purchases but is yet to receive a reply. 

“We are still waiting for action from the government’s side. Last week, a man was sent to the hospital because of coercive tactics by middlemen. This will not be the last of such incidents,” Talwar said. 

The residents of Kulpi want a rehabilitation plan to be drawn up. Social welfare, however, seldom features on the list of priorities when middlemen broker deals. 

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First Published: Jul 21 2011 | 12:33 AM IST

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