Economic Affairs, Vol. 64, No. 4, pp. 813-819, December 2019
DOI: 10.30954/0424-2513.4.2019.17
©2019 EA. All rights reserved
How to cite this article: Bansal, S. and Grover, D.K. (2019). Tenant
farming in Punjab: nature, pattern and constraints. Economic Affairs,
64(4): 813-819.
Tenant Farming in Punjab: Nature, Pattern and Constraints
Surbhi Bansal* and D.K. Grover
Department of Economics and Sociology, Punjab Agricultural University, Ludhiana-141004, Punjab, India
*Corresponding author: surbhi.bansal1993@gmail.com (ORCID ID: 0000-0003-3780-9850)
Received: 20-06-2019 Revised: 15-10-2019 Accepted: 27-11-2019
ABSTRACT
The paper has demonstrated slow growth rate of agricultural output, escalating input cost, declining
proft margin, fragmentation of land, and unemployment are the symptoms of the Punjab’s economy. In
such a situation, it become imperative to study how the tenant farmers survive in farming. To keep in
mind the above facts, the present study was undertaken to examine the nature of tenancy system and
constraints faced by tenant farmers in the state. The study was based on the primary data, collected from
120 farmers, for all the three agro-climatic zones of Punjab pertaining to the crop year 2017-18. Descriptive
tools were used to study the nature of tenancy and mean score was used for constraints analysis. The
study highlighted that to make them self employed or fulfll the need of family, tenant farmers took land
on leased from cultivator who switched to another sector and migrated in large number outside the
country. From the study it was perceived that with the increase of size of holding and majority of tenant
farmers adopted land holding to improve the scale of farming and to be economically viable.
Highlights
m Expensive farm machinery, inefective government policies and inadequate timely fnancial assistance
from banks were found as major constraints confronted by the tenant farmers.
m The legalization of land leasing, transparency in leased contracts, factors afecting the tenant farming
is the main policy implications to encourage the tenant farmers in the state.
Keywords: Tenant farming, Nature of tenancy system, Legalization of land leasing, Constraint analysis
Tenancy is one of the oldest agrarian institutional
devices evolved in order to make the distribution
of operational holdings more equitable than the
distribution of ownership holdings and contributes
to a beter distribution of income than would be
possible without it (Srivastava 1983). Thus the
promotional role of tenancy as an institution has
an important bearing upon the distribution of
land ownership. Contrary, the distribution of land
ownership not only determines the concentration of
land holdings in the rural economy but also shapes
the tenancy structure. The traditional view of tenancy
market holds the view that the small farmers, in
general, intend to leased-in land, while the large
farmers are involved in leased-out operation. This
temporary transfer of land via tenancy is evolved
to facilitate adjustment and interlinked transactions
in agriculture (Bardhan and Rudra 1978). The
tenancy is seen as a source of exploitation of the
tenant and thus some proponents of the thought
leveled it as a semi-feudal institution which retards
technological innovation in agriculture (Bhaduri,
1973; Bharadwaj, 1974; Prasad, 1974). Being inelastic
in supply and immobile in nature it assumes greater
importance among the farming community with an
increasing demand for it. Main factors which afect
the demand for land are population, urbanization
and productivity. It is, however, felt that owing to
enforcement of various land laws, high cost of farm
technology, exorbitant land prices, etc. the land
market has somewhat frozen (Chadha and Baumik
1992). In fact the efficiency of tenant farming is