Small holding

Indian Economy glossary

Topic: Land Reforms, the Green Revolution and Farm Subsidies · NCERT: Beyond NCERT

Meaning

A small holding is an operational land holding of 1 hectare or more but less than 2 hectares. It is a size class in India's Agriculture Census, which is held every five years. An operational holding means all the land one person farms as a single unit, owned or leased in. Small and marginal farms together make up most Indian farms. That is why small-farm viability is central to policy on credit, leasing and custom hiring of machines.

Example

In the Agriculture Census 2015-16, small and marginal holdings (below 2 ha) were about 86% of all holdings but operated only about 47% of the area. A farmer operating 1.5 ha of paddy land would be counted as a small farmer.

Don't confuse with

  • Marginal holding: this is the class below 1 ha, the largest class by number. The small class starts at 1 ha.
  • Ownership holding: a landless tenant who leases in 1.5 ha still has a small operational holding.

Related concepts

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