CII calls for urgent land reforms to boost India's manufacturing ambitions

New Delhi, Aug 10 (IANS) The Confederation of Indian Industry (CII) on Sunday called for urgent and comprehensive land reforms to help India achieve its goal of becoming a leading global manufacturing and investment hub by 2047.

It said that while India has made significant progress in many areas of reform, the land sector still faces challenges that are slowing industrial growth and discouraging investors.

In a statement, CII said India’s strong policy framework, industrial capabilities, large domestic market, and young workforce make it an attractive investment destination, especially at a time when global trade and investment patterns are changing.

However, to fully tap into these opportunities, India needs a forward-looking competitiveness agenda with land reforms as a key priority.

CII stressed that improving access, reducing costs, and simplifying regulations for businesses is essential.

It suggested forming a GST-like council to coordinate land policy between the Centre and states, given that land governance lies mostly under state jurisdiction.

The industry body also pointed out that the current India Industrial Land Bank is mostly an information tool and should be upgraded into a national platform that not only provides data but also allows for direct allotment of land through a single digital interface.

Highlighting the inefficiencies in the current system, CII noted that registering property in India involves nine procedures, takes 58 days, and costs nearly 8 per cent of the property’s value.

In comparison, countries like New Zealand complete the process in just 3.5 days at a fraction of the cost.

To address this, it recommended setting up Integrated Land Authorities in each state to handle allotments, conversions, dispute resolution, and zoning in one place.

CII also called for digitising land use conversion processes, rationalising stamp duty rates to a uniform 3–5 per cent across states, and shifting from presumptive to conclusive land titling to reduce disputes.

It said that land disputes account for two-thirds of civil litigation in India, creating uncertainty for investors.

The industry body further urged states to publish data on land disputes, adopt flexible zoning norms that encourage mixed-use development, integrate environmental sustainability into industrial planning, and connect large rural land parcels to industrial corridors through better infrastructure.

According to CII, these reforms would not only make India more competitive but also boost rural development, attract more investments, and drive inclusive economic growth.

--IANS

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