Politics
23 Jun, 2026
Assam Cabinet clears automatic land conversion for micro, khadi enterprises
Business To Business, Guwahati, 23rd June, 2026: The Assam Cabinet on Tuesday approved a proposal to allow the automatic conversion of agricultural land for certain economic activities, including micro and khadi-based enterprises, allied industries, and solar power projects.
Announcing the decision, Himanta Biswa Sarma said the move is aimed at reducing procedural hurdles and encouraging investment and entrepreneurship in the state.
Key Land Reform Proposal
The Cabinet approved the Assam Regulation of Re-classification and Re-classification-cum-Transfer of Lands (Amendment) Bill, 2026, which will be introduced in the state assembly next month.
Under the proposed changes:
- Agricultural land can be automatically reclassified for eligible micro enterprises.
- Khadi and village industries will benefit from simplified procedures.
- Allied economic activities can be established without seeking separate approvals from district commissioners.
- Solar power projects will also qualify for streamlined land conversion.
The government expects the reform to accelerate project implementation and improve the ease of doing business.
Amendments for Private Universities
The Cabinet also approved amendments to the Assam Private Universities Act, 2007.
The proposed changes will ease requirements related to:
- Minimum land holdings
- Endowment fund obligations
for entities seeking to establish private universities in the state.
Expected Impact
According to the government, the reforms are intended to:
- Encourage entrepreneurship and small-scale industries
- Promote renewable energy investments
- Reduce administrative delays
- Attract greater private investment in higher education
- Support employment generation and economic growth
The measures form part of Assam's broader effort to simplify regulatory processes and attract investment across manufacturing, services, education, and renewable energy sectors.