How To Buy Agricultural Land In Madhya Pradesh

How to buy agricultural land in Madhya Pradesh: Madhya Pradesh has the highest growth rate in the agriculture sector. Agriculture is the mainstay of the state’s economy and 74.73% of the population is dependent on agriculture. As much as 49% of the area is cultivable. About 20% of the total dryland districts of the country come from Madhya Pradesh, which reflects the superiority of dryland agriculture in the state.

In Madhya Pradesh, 40% of the total agricultural land of the country is under organic farming. Madhya Pradesh is located in central India, with 11 agro-climatic zones with diverse soil and climatic conditions, which help in cultivating a wide range of crops with diverse crop patterns. Madhya Pradesh is the largest producer of Pulses, Oilseeds, Garlic, and Coriander in India. Diversified crop patterns and the largest livestock population have helped in organic farming on 40% of the total agricultural land of the country, which not only helps to reduce the risks associated with rainfed agriculture but also improves soil health and thereby facilitate sustainable comprehensive development of the agricultural sector through sustainable development.

A step by step process on how to buy agricultural land in Madhya Pradesh, restrictions, documents required, registration, the cost of land and schemes

How To Buy Agricultural Land In Madhya Pradesh
Agricultural Land (pic source: pixabay)

Who cannot buy agricultural lands in Madhya Pradesh?

Madhya Pradesh – Anyone can buy agricultural land except NRIs or PIOs. If you are a Person of Indian Origin (PIO) or Non-Resident Indian (NRI), you cannot buy agricultural land, farmhouses, or planting properties anywhere in India and you will be able to inherit them.

The importance of land in agriculture

Land should be considered the most important aspect of production, especially agricultural production. Regardless of the development of power machine civilization and the decline of vegetable culture or agriculture, the issue of food production and supply and the question of limitation in the arable or cultivable land availability is important. So, we need more and more crops to meet their demand. But the supply of land is very limited and cannot be increased as we wish. Therefore, an accurate assessment of a country’s cultivable land resources is of paramount importance in the present-day world.

Agricultural scientists estimate that about 40% of the world’s 37 million acres of land can be considered cultivable under the current pattern of cultural environment. We have already emphasized the fact that nature determines the external limits of man’s potential resources. If it is in an area where the government has planned some infrastructure projects shortly, then an agricultural land plot can make long-term profits green.

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Agriculture Land
Agriculture Land ( pic credit: pixabay)

Compensation for rural land is higher compared to urban land in terms of government acquisition. For areas where the number of cities is increasing, state governments are planning land polling policy. Though, you will be guaranteed a regular return from the polls if you become an owner under the Land Polling Policy. Central or state government has announced some kind of infrastructure projects for buying agricultural land. Since this is true for any kind of land development, the asset you have purchased will never diminish over time. However, this is not entirely true of apartments, and flats, etc. The overall structure of the land deteriorates over time and the owner has to spend a lot of money to maintain it. Good quality and fertile agricultural land investment in a good location prevent you from incurring all the maintenance costs and gives you the option to use this specific piece of land for many purposes in the future following the legal limitations.

Process of buying agricultural land in Madhya Pradesh

Land Measurement – Land measurement means a surveyor will measure the total area of ​​agricultural land and mark the boundaries. It is important to know if you are paying for the right area for agriculture purposes. Though, the surveyor will check the measured size along with the size specified in the title certificate.

Check the documents – A lot of documents are included when you want to buy agricultural land. Then, these documents need to be checked for authenticity and legality. Here are some important documents you get as part of the purchase process.

Title Deed and Release Certificate – It provides definitive information about who is the rightful owner of the land and states whether the current seller is legally entitled to sell the land. If the land belongs to more than one person (usually in the case of large areas of land), the seller must also provide a certificate of release from the owners of the other portion.

Property Bills and Tax Receipts– Property tax is mainly required to be paid annually for the land, and ensure that the seller has paid all the arrears. Additional water, electricity, and sewerage services need to be billed for buying land.

Sale Deed and Sales Agreement – It is a document that helps to finalize an agreement. It has all the information about the property that includes owner details, exact size, and location. A sales agreement is a document that states the total cost of the sale, the names of the buyer and seller, the advance payment, and other details and their signatures. The sales agreement is important and needs to be fully prepared.

Pay stamp duty and get registered – You will need to submit the details to the local municipal department and pay the relevant stamp duty once the final sale cost has been decided. Stamp duty varies from place to place. Talk to your property lawyer to find out the stamp price in the area. The process of registration takes place in the office of the Sub-Registrar. Then, this is the process by which agricultural property is transferred to the buyer.

Few things to remember when you plant to buying agricultural land in Madhya Pradesh

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Agriculture Land Buying Tips
Agriculture Land Buying Tips (pic credit: pixabay)
  • For buying agricultural land, you are not buying disputed land
  • Different states have different laws for buying agricultural land.
  • It is important to know the principles of this state. Failure to comply with such rules may result in reversal.
  • Land should be a marketable title and it is forbidden to build a house or a place to live on agricultural land.
  • A form must be completed and then submitted to the relevant authorities to obtain a Certificate of Conversion. Make sure you need to state the reason for the change and submit the required documents along with the form.
  • Remember, don’t forget to get a NOC letter from the township to avoid any legal trouble in the future. If you are buying agricultural property, use it only for agricultural purposes. The process of change can be frustrating. Keep in mind that if you can, hire or join a land or property lawyer.
  • This will help you to check the records of the buying agricultural land and also to identify whether the seller is certified and trusted. It only minimizes the unwanted risks.

List of documents required to buy agricultural land in India

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List of Documents
List of Documents (pic source: pixabay)

Title Deed of Plot – This is constructive to check whether the seller is authorized to sell the agricultural land in his name and mainly in the case of more than one. Individuals own the land being sold, the attorney confirms this if the consent of all owners and other relevant debtors involved in the land is involved.

Agreement of sale – The buyer and seller have to sign a written agreement before the lawyer. This written agreement ensures that every document submitted by the parties involved is properly verified and there is no scope for doubt.

Stamp Duty – It is useful for the payment of government taxes, and may vary from state to state.

Land Registration – It is a document signed by both parties that are recorded in the registrar’s office and tells the T&C about the transfer of property to the buyer. This mainly includes house tax receipts, original title deeds, and past actions in the presence of two witnesses.

A land deed/sale deed – It is a document that transfers the name from the seller to the buyer. In this document, find property ownership, property location, and other information such as area measurements, boundary information, and more.

Tax Receipts and Bills – The buyer must ask for tax receipts and invoices and make sure that there is no outstanding bill or receipt amount left on the land they are buying.

EC (Encumbrance Certificate) – Encumbrance Certificate document can be obtained from the office of the Sub-Registrar and is the correct evidence showing that there is no legal obligation or complaint of the land.

Changing the title of the land – Once everything is done and dusted, the land title needs to be updated with the name of the new owner. And, make sure it is recorded in the official village records.

Submit your burden and land measurement certificate – These documents should be obtained from the Sub-Registrar’s office as valid proof that the acquired land is free from any legal complications and obligations.

Obtain an Encumbrance Certificate (EC) for buying agricultural land in Madhya Pradesh

  • To apply for EC (EncumbranceCertificate) to the Registrar for processing in the Sub-Registrar’s Office where the land is registered
  • The applicant will submit the application form for EC in the relevant Sub-Registrar’s Office complete the form with details and submit it to the relevant authority with a non-judicial stamp affixed to the documents to the respective authority as advised.
  • Authorities will announce the fees to be paid and please pay as advised.
  • Applicants are issued a receipt with identification and this request will be processed by the department.
  • Applicants are notified via SMS as an application.
  • The applicant will visit the office to get the certificate.

Required Documents

  • Application Form (can be obtained from the relevant office)
  • Proof of Address of the Applicant (Certified Copy)
  • Property Address, Survey number, and document / patta number
  • Period for which EC is required
  • Applicable Fees
  • For the purpose for which the EC has been applied.
  • Need a copy of Power of Attorney, in case of application, is made by the attorney holder
  • Aadhar Card
  • Property Card if available


  • Those who have agricultural land in their name
  • The applicant intends to purchase the agricultural land.
  • Authorized Signatory / Power of Attorney

E-stamping process for buying agricultural land in Madhya Pradesh

According to the Stamps and Management of Property and Documents Application (SAMPADA) in Madhya Pradesh, you can pay the stamp and registration charges to apply online through the dedicated portal. Now, accessing and saving these documents for future reference is faster and much easier.

Follow the steps to pay stamp duty online in Madhya Pradesh

Step 1) Firstly, you should log in to Registration and Official Website of Stamp, Commercial Tax Department, Madhya Pradesh Government,

Step 2) Log in to ‘Estamp Verify’ and proceed with the payment of the required charges.

Registration of agricultural land in Madhya Pradesh

Property Registration in Madhya Pradesh – Property registration in India is mandatory under the provisions of the Indian Registration Act, 1908. The transfer of immovable property must be registered to acquire property rights on the date of execution. The Department of Registration and Stamp is responsible for the registration of property in the State of Madhya Pradesh.

In this, the procedure of Madhya Pradesh Property Registration;

Section 25 of the Madhya Pradesh Registration Act – As per Section 25 of the Madhya Pradesh Registration Act, 1908, all the documents required for registration of deeds must be submitted to the concerned Registrar Officer within four months from the date of property registration. In case of any of the above violations, a penalty of 10 times the amount of property registration fee has to be paid.

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Purpose of property registration

The purposes of property registration are as follows;

  • The main purpose is to guarantee the authenticity of the document.
  • Tolerate advertising for transactions.
  • To prevent fraud, to protect the evidence, to ensure the transfer of the title to the owner.
  • To maintain public records by registering property.
  • To help determine if a property has already been sold.
  • Providing protection of title deeds and proving titles in case of original deeds are lost or destroyed.


  • To process in the Sub-Registrar’s office
  • One has to make sure that the property belongs to the person from whom the land is to be purchased.
  • Therefore, please apply to the Registrar (Sub-Registrar’s Office) for an EC (Encumbrance Certificate-procedure) and obtain an EC.
  • The applicant has to go to the concerned sub-registrar’s office and apply for EC as per the advice of the authorities (if the online process is available then apply online).
  • If the results are satisfactory, the documents for property registration will be prepared.
  • Now contact the Sub-Registrar’s Office and confirm the date of registration.
  • Obtain stamp paper for land registration according to the land price reached. The value of the land will be calculated based on the official value for the said area.
  • Buyers, sellers, and witnesses should go to the registrar’s office on the due date and wait their turn.
  • At their designated slot, please follow the official guidelines for implementation.
  • Please provide your original identification to the Registrar along with the DD for the said amount to be paid to the seller. After personally verifying the details, the registrar will sign the relevant order.
  • The buyer, seller, and witness must sign the registry as well as the document at the suggested locations to complete the registration.

Apply through “SAMPADA”

  • The user can contact the concerned SAMPADA Center for purchasing E-Stamp, Dead Drafting, and E-Registration in Madhya Pradesh.
  • Link to get the authorized center. Go to SAMPADA center and carefully follow operator’s instructions to get deed and buy e-stamp.
  • Based on the user’s request, the online request will be processed and slot booking will also be done with the Sub-Registrar’s Office.
  • The user will get an e-stamp, receipt of transaction, and schedule of registration.
  • For registration, personally submit the printout of the report along with the relevant documents to the Sub-Registrar’s Office at the correct time and date which appears in your declaration slip and follow the instructions of the authorities to register the property.

Required Documents

  • Encumbrance Certificate
  • Original document signed by all parties.
  • Property Details (Survey Number, Details of Surrounding Land, Land Size, etc.)
  • Challan or DD evidencing payment of full stamp duty, user charges, and registration fee.
  • Property Card
  • Proof of identity and witness of both seller and buyer.
  • PAN Card
  • Power of Attorney (if any real estate agent or any person between the seller and the buyer)
  • Original proof of identity and address proof to show to the Aadhaar card registrar.
  • Aadhaar card
  • Deeds / Documents to be registered (in case of distribution or settlement or gift etc.).
  • Map of land
  • A valuation Certificate (as required) document issued by the concerned Tehsildar is required.

Need for document – The process of land registration in India is governed by Section 17 of the Registration Act, 1908, which applies to the whole of India.

Land registration is an important document for determining the title of a property. Land or property registration refers to document registration, change of ownership, and other transactions related to immovable property. Whenever you buy land, it is important to register it with the relevant authority to ensure legal ownership and guarantee of title. It helps reduce the risk of fraud and helps create and maintain an up-to-date public record, as well as help resolve disputes easily.

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The cost of agricultural land in Madhya Pradesh

Approximately, the cost of agricultural land in Madhya Pradesh is Rs 20 lakhs to Rs 1 crore and it will change depending on many factors. The following factors can be divided into a few categories;

  • Access and land use
  • Physical attributes
  • Location
  • Price in surrounding and nearby area
  • Market value and property value

Other factors affecting the cost include proximity to other attractions or desired areas, scarcity, current, and future land usage, access to economic activities, area facilities, type and proximity of neighborhood houses to property, neighborhood round parcel type and size, zoning, future development potential. The cost of conversion of agricultural land depends on many factors such as topography, agro-climatic conditions, soil health, existing irrigation facilities or type of irrigation infrastructure, average annual rainfall limit, basic facilities like road and market, the surrounding social environment, crop sampling, crop rotation monitoring, and surrounding forest cover can all be affected.

Madhya Pradesh Records of Rights – Khasra

The Madhya Pradesh Record of Rights (ROR) is an extract from the agricultural land records registers of the Revenue Department of the State Government. ROR (Khasra) contains complete information about the land or property and the history of the landowners. This revenue document is an important indication of the legality of the land/property.

Record of Rights (Khasra) register is kept separately for each village in the concerned Revenue Department in Madhya Pradesh. The Madhya Pradesh government has digitized all land records online. Through the official website, property in Madhya Pradesh can easily access government land records.

Importance of Madhya Pradesh Records of Rights

The importance of obtaining a certified copy of the Madhya Pradesh Rights Record is stated here;

  • Madhya Pradesh Record of Rights (Khasra) confirms the real owner of the land.
  • This land record – Khasra is useful for finding false claims on lands.
  • Certified copy of rights record or use of ROR extract avoids land grabbing.
  • The Madhya Pradesh record of reasons can be used in court proceedings relating to the property.
  • The Record of Rights (ROR) will help the holder avoid any future legal trouble.

Uses of Madhya Pradesh Records of Rights

Some of the essential purposes of the Madhya Pradesh Records of Rights (ROR) are as follows;

  • In Madhya Pradesh, ROR is used to assess ownership of ancestral land or any other land.
  • The ROR or Land Record extract can be used to obtain details of the type of land and the activities carried out on the land.
  • The Madhya Pradesh ROR is an important document for obtaining information on the agricultural aspect of the land and its surrounding areas.
  • ROR or Khasra is required in the office of the Registrar when the sale of land is being mutated.
  • The Madhya Pradesh Rights Record is one of the essential documents for raising a lender to obtain a bank loan.
  • The court requires evidence of land records in the case of any civil litigation.
  • A certified copy of the ROR may be made for this purpose. When buying a property, it is important to check the seller’s land records and ensure ownership.
  • The buyer has to verify the ROR on which the land is being constructed.

Attributes in Madhya Pradesh Record of Rights

The following information about land or property is included in the Madhya Pradesh Record of Rights.

  • Details of Changes in Ownership
  • Limits of Owner rights and conditions
  • Mutation Numbers
  • Details of Loans Taken by Land Owner / Owner
  • Details of Irrigation Type (irrigated type of land or rainfed nature)
  • Information on crops planted in the last cultivating season
  • Soil Type (Agricultural or Non-Agricultural)
  • Land / Property Survey Number
  • Land Area
  • Aspects of pending litigations

Eligibility Criteria – Belongs to the Madhya Pradesh Government or any assigned land belonging to the Government of Madhya Pradesh, a certified copy of the Madhya Pradesh Rights Record will be provided, if there is no dispute over its ownership and the land concerned.

Loan Against Agricultural Land in Madhya Pradesh

What is a loan against agricultural land?

If a piece of land is in the name of a farmer, it can be used as collateral to get a loan from a bank or financial institution. When a borrower mortgages agricultural land for money, it is called a “loan against agricultural land”, it is also called an “agricultural loan”.

Features of loans on agricultural land

  • Loans against agricultural land are designed for those who cultivate crops like farmers, cultivators, or gardeners. No business or professional can benefit from this.
  • A farmer does not need to file an income tax return to apply for this loan.
  • This requires a minimum of documentation.
  • With most banks, the loan period is up to 20 years.
  • There are no hidden charges on loans for buying agricultural land.
  • Usually, the lender develops a flexible repayment plan based on the farmer’s situation.
  • The transition time is very fast and banks are sensitive to the harvest season.
  • The borrower may use the funds for agricultural purposes.
  • Also, they can use the funds to set up a greenhouse, cold storage, or gardening center.

Eligibility criteria for loans against agricultural land

  • Farmers, dairy owners, horticulturists, and any gardener are eligible to apply for an agricultural loan.
  • Most lenders prefer the applicant to be between 24 and 65 years of age. However, some banks provide loans to applicants under the age of 18. Eligibility varies from bank to bank.
  • If the land is owned by two persons, then a co-applicant is required.
  • Agricultural land is pledged as collateral. To be eligible to apply for a loan against agricultural land, the borrower must have clear title deeds to the land.
  • In general, lenders prefer lenders to maintain a residency of 2 years.
  • Banks offer loans based on mortgaged land size. They usually mention at least an acre of land that a farmer should apply for a loan.


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