Mahalwari System UPSC

Mahalwari System

Mahalwari System was implemented in Gangetic valley, north-west provinces, parts of central India and Punjab. 

In NWP Mahalwari System was implemented by Holt Mackenzie. Because in North India and Punjab, joint land rights on the village were common. So, British decided to utilize this traditional structure in a new form known as Mahalwari system.

Features of Mahalwari System:

1. The revenue was determined on the basis of assessment of the produce of a Mahal (estate consisting of several villages). Here the settlement was made with the whole village community jointly and separately and taxation was imposed on the village community.

2. The village community had to distribute these tax collection targets among the cultivators

3. Each individual farmer contributed his share in the revenue.

4. Everyone was thus liable for the others’ arrears.

5. But still the ownership rights were vested with the individual peasants thusFarmers had right to sell or mortgage their property.

6. The village community did not necessarily mean entire village population. It was a group of elders, notables of high castes.

7. A village inhabitant, called the Lambardar, collected the amounts and gave to the British

8. British periodically revised tax rates.

Consequences of Mahalwari System:

1. Since Punjab, Northern India had fertile land. So British wanted to extract maximum Revenue out of this region. Land Revenue was usually 50% to 75% of the produce.

2. As generations passed, fathers divided land among sons which resulted in fragmentation of farms and farms became smaller and smaller thus productivity declined.But still British demanded Revenue in cash. So, farmers had to borrow money to pay taxes in the case of crop failures.

3. As a result, more and more farms passed into the hands of moneylenders. When farmer failed to repay debt, Moneylender would take away his farm but he has no interest in self-cultivation so he would be leasing it to another farmer.

4. Thus, sub-leasing, indebtedness and landlessness became more and more common in Mahalwari region.

Mahalwari was also called Modified Zamindari system because in Mahalwari areas, the Land revenue was fixed for the whole village and the village headman (Larnbardar) collected it. 

Meaning theoretically Village itself was a landlord/zamindar. Other names for this system were Joint rent, ‘joint lease’, ‘brotherhood’ tract (mahal) holding and ‘gram wari’ etc.