Land ceiling, a key institutional reform by the Indian government during planning, aimed to distribute agricultural land fairly and dismantle feudal ownership. Its main goals and outcomes included:
Defining Land Ceiling: Land ceiling legally restricted the maximum land ownership for individuals or families. Excess land was to be seized by the government and given to landless and small farmers.
Equity Through Redistribution: The reform sought to reduce land concentration and promote social justice by redistributing surplus land, thereby helping the rural poor.
Boosting Land Efficiency: Land ceiling discouraged land hoarding, encouraging more intensive and efficient farming. Owner-farmers were incentivized to invest in productivity improvements.
Implementation Challenges: Despite good intentions, loopholes, underreporting, and political influence hampered the reform's effectiveness in many areas.
Even with these issues, land ceiling was crucial in initiating structural changes in India's agricultural economy during the planning period.