Maharashtra Govt Plans Law Allowing Tribal Farmers to Lease Land to Private Entities
- Ram Siddharth
- Sep 20, 2025
- 2 min read

In a significant policy shift, the Maharashtra government is preparing to enact a law that will allow tribal farmers to lease their land to private entities for agriculture and mineral excavation. The move, announced by State Revenue Minister Chandrashekhar Bawankule, aims to provide tribal communities with a steady income while ensuring their ownership rights remain protected.
What the New Law Proposes
Currently, tribal farmers are not permitted to independently enter into lease agreements with private companies. The new legislation will change this by enabling them to directly engage with private parties under transparent agreements.
Key features include:
Annual Lease Rent: Minimum of ₹50,000 per acre or ₹1,25,000 per hectare, with flexibility for higher rates based on mutual agreement.
District-Level Oversight: All agreements will involve the participation of the district collector to ensure fairness and transparency.
Mineral Excavation: Farmers will be allowed to sign MoUs with private firms for extraction of major and minor minerals, with compensation per tonne or per brass of minerals mined.
Simplified Process: Decisions can be taken at the district collectorate level, reducing dependency on Mumbai’s Mantralaya for approvals.
Why It Matters
This policy is expected to:
Provide tribal farmers with new revenue streams.
Attract private investment in rural and tribal regions.
Protect land ownership rights while reducing bureaucratic hurdles.
Prevent delays caused by existing regulations that often discourage potential partnerships.
Officials stressed that the law is being framed to balance economic opportunity with safeguards against exploitation of tribal land. By ensuring district-level monitoring, the government hopes to empower tribal communities without compromising their rights.
If implemented, this reform could mark a turning point in how tribal lands are utilized, offering farmers a more direct share in Maharashtra’s agricultural and mineral wealth.



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