Industrialists demand for conversion of leasehold plots to freehold

Presently, all plots in Noida and Greater Noida are sold on a 99-year lease. Industrialists want freehold rights of their properties under the UP Industrial Act 1976

: Industrialists in Noida and Greater Noida are demanding from the Uttar Pradesh government to convert their leasehold lands into freehold, saying that the existing policy is contrary to the government’s policy of ease of doing business.

They said landholders often face multitude of issues if they want to make any changes to the land, for example, rent it or pass on ownership to a relative, or to get the land amalgamated or separated in parts, etc. (HT Archive)

To press their demand, representatives of Indian Industries Association (IIA) have been holding meetings with public representatives and bureaucrats since the last month.

Presently, all plots in Noida and Greater Noida are sold on a 99-year lease. Industrialists want freehold rights of their properties under the UP Industrial Act 1976.

According to Rakesh Bansal, chairman, IIA Greater Noida Chapter, from chief secretary Durga Shankar Mishra to state industries minster Nand Gopal Nandi, to local MLAs and MP, they have written to or met with almost all senior authorities over their demand for freehold.

He explained that it’s being made because land holders often face multitude of issues if they want to make any changes to the land, for example, rent it or pass on ownership to a relative, or to get the land amalgamated or separated in parts, etc.

“To get any such work done, industrialists have to make repeated visits to government offices, as the process is tedious and complicated,” said Bansal.

Vishard Gautam, national secretary of IIA, said the demand is not only just for Noida and Greater Noida but entire Uttar Pradesh.

“...The IIA also wrote to UP chief minister Yogi Adityanath in December last year, requesting conversion of leasehold land of the industries to freehold,” said Gautam.

Meanwhile, Uttar Pradesh’s minister of state for industrial development Nand Gopal Gupta ‘Nandi’ said the authorities have an apprehension that conversion to freehold of industrial plots may harm interest of workers and small units.

While there has been a long-standing demand of the industrialists for conversion of freehold land into leasehold, there is an apprehension of industrial authorities’ officials that once freehold is done, the land may be put to other land use, mainly commercial, which may result in closure of industries thus harming the interests of workers and small units, he said.

“We in the government are examining various points of views and will take a well thought out and justified decision, which will be in the interest of all stakeholders,” the minister added.