Assam Tea Bodies Seek Talks on Land Rights Act

GUWAHATI-  Tea companies in Assam have formally sought discussions with the state government regarding the implementation of the amended Assam Fixation of Ceiling on Land Holdings Act, 2025, which provides land rights (pattas) to tea garden workers for housing in labour lines.

The Consultative Committee of Plantation Associations (CCPA), representing tea producers, has written to the Assam chief secretary outlining what it describes as significant financial and legal challenges arising from the amended law.

Among the concerns flagged are the status of estate lands mortgaged to banks, the potential requirement for compensation under the Right to Fair Compensation and Transparency in Land Acquisition Act, and continuing statutory obligations under the Plantations Labour Act, 1951, now subsumed under central labour codes, which mandate employers to provide housing and basic amenities to workers.

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Tea Association of India (TAI) president Sandeep Singhania said the intent behind granting land rights to tea workers is positive but cautioned against unilateral implementation. He noted that labour lines remain integral to estate operations and that management responsibilities for housing and amenities would continue unless corresponding changes are made to central labour laws.

The development follows a strong position taken by Chief Minister Himanta Biswa Sarma earlier this month. On January 1, 2026, the chief minister warned that tea estates refusing to cooperate with the implementation of the law could lose annual government incentives amounting to around ₹150 crore. He described the amendment as a corrective measure addressing a “historic injustice” rooted in colonial-era practices, under which tea workers—largely from Adivasi and tea tribe communities—were brought to Assam without being granted land ownership for generations.

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The Assam Fixation of Ceiling on Land Holdings (Amendment) Act, 2025, passed during the Assembly’s winter session in November 2025 and subsequently receiving gubernatorial assent, excludes labour lines from the category of “ancillary purposes” of tea estates. This allows the government to resume and redistribute approximately 2,18,553 bighas of land across 825 tea estates, potentially benefiting over 3.33 lakh worker families, impacting more than 14 lakh people. The law stipulates that allotted land cannot be sold for 20 years and thereafter only to other tea worker families.

The state government has begun surveys and indicated that a dedicated housing scheme will be rolled out within months. Four-member committees have been proposed in each estate to assist workers with applications and documentation.

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However, sections of the tea industry have expressed concern over long-term estate viability, the prospect of litigation and the absence of clarity on compensation mechanisms. Some industry bodies are reported to be exploring legal options, viewing the reform as being implemented without adequate consultation.

Supporters of the amendment, meanwhile, have described it as a landmark step towards dignity, security and social justice for tea garden workers, a politically significant constituency ahead of the 2026 Assam Assembly elections.

Both the government and planters’ bodies have indicated openness to dialogue, with industry representatives urging consultations to strike a balance between workers’ rights and the sustainability of Assam’s tea sector. Further developments are expected as discussions progress.