Assam Govt Introduces Bill Allowing Tea Gardens to Utilise 5% of Land for Commercial Use

Amendment Bill proposes permitting tea estates to utilise or lease up to five per cent of their land for government-approved commercial projects while preserving tea cultivation

Guwahati: The Assam Government introduced the Assam Fixation of Ceiling on Land Holding (Amendment) Bill 2026, proposing to allow tea garden owners to utilise or lease up to to five per cent of their land for government-approved commercial activities.

The Bill, tabled in the State Assembly by Revenue and Disaster Management Minister Keshab Mahanta, aims to create additional economic opportunities for tea estates while ensuring that tea cultivation remains their primary purpose.

If passed, the legislation will allow estate owners to either develop approved projects themselves or lease the designated land to individuals, companies or other entities for a period determined by the government.

The proposed amendment identifies tea tourism, food and cash crop cultivation, livestock farming, green energy projects, food processing industries and social infrastructure as eligible activities.

According to the Statement of Objects and Reasons, the amendment seeks to improve the utilisation of tea estate land, attract institutional investment, promote tea-linked enterprises and provide estates with additional sources of income while contributing to Assam’s broader economic development.

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