Land Tenure Security in Sindh: Boosting Agriculture

Agriculture remains the backbone of Pakistan’s economy, contributing approximately 18.9% to the national GDP and employing nearly 42% of the labor force, according to the Pakistan Economic Survey (2022–23). Within this national framework, Sindh plays a pivotal role, producing around 25% of the country’s total agricultural output. Agriculture is not only a key economic sector in Sindh but also a vital source of livelihood, with nearly 60% of the province’s rural population dependent on it for employment and sustenance (Sindh Bureau of Statistics, 2023). Despite this centrality, the agricultural sector in Sindh continues to face multiple structural constraints, chief among them is land tenure insecurity.

Land tenure insecurity in Sindh stems from outdated land records, informal tenancy arrangements, and an inequitable distribution of land ownership. Many farmers, particularly smallholders and tenants, lack formal land titles or lease agreements, leaving them vulnerable to eviction and exploitation. Without secure rights to land, farmers are discouraged from making long-term investments in soil fertility, irrigation infrastructure, or mechanization, which in turn inhibits productivity gains. Furthermore, insecure land tenure prevents farmers from using land as collateral to access institutional credit, thereby limiting their ability to purchase quality inputs or adopt modern farming practices.

This paper explores the structure of the land tenure system in Sindh, its economic ramifications for agricultural productivity, and the policy interventions necessary to promote tenure security. By drawing on empirical studies and case examples, it highlights how reforms in land documentation, legal protection for tenants, and improved access to formal credit can catalyze rural economic development. Strengthening land tenure rights is essential not only for boosting agricultural output but also for enhancing farmer welfare, reducing poverty, and supporting broader goals of sustainable rural development. Addressing tenure insecurity could serve as a transformative lever in revitalizing Sindh’s agricultural economy.

Land Tenure System in Sindh

The land tenure system in Sindh is deeply rooted in historical and socio-political inequalities that continue to constrain agricultural productivity and rural development. The province’s agrarian structure is dominated by a small class of large landowners, or waderas, who control extensive estates. In contrast, a vast majority of farmers are tenant cultivators, commonly referred to as haris, who farm under insecure and often exploitative arrangements. According to the World Bank (2021), approximately 35% of agricultural land in Sindh is tenanted, with around two-thirds of these tenancies operating under informal sharecropping arrangements, widely known as the batai system.

A defining feature of Sindh’s land tenure regime is the prevalence of informal and unwritten agreements. Most tenant farmers do not possess formal lease documents, making them highly susceptible to arbitrary eviction, sudden rent increases, and lack of bargaining power. While the Sindh Tenancy Act of 1950 was intended to protect the rights of tenant farmers, its implementation remains weak due to limited administrative capacity and entrenched landlord influence. As a result, tenant farmers often lack legal recourse when disputes arise.

Additionally, fragmented landholdings pose a significant barrier to efficient farming. Many smallholders operate non-contiguous plots, which hinders mechanization, increases production costs, and reduces overall productivity. This fragmentation is further compounded by the absence of land consolidation programs and modern cadastral mapping.

Another critical concern is the stark gender disparity in landownership. Despite women making up a substantial portion of the agricultural labor force, they own less than 5% of agricultural land in Sindh (FAO, 2022). Without formal ownership or inheritance rights, women are largely excluded from decision-making and credit access, limiting their contributions to agricultural development.

Economic Impacts of Insecure Land Tenure

Insecure land tenure in Sindh significantly undermines agricultural productivity, rural development, and environmental sustainability. One of the most critical economic consequences is the restricted access to formal credit. Without clear land ownership or secure lease agreements, farmers are unable to use land as collateral, effectively barring them from institutional lending. According to the State Bank of Pakistan (2023), only 15% of farmers in the country can access formal credit. The situation is even more dire in rural Sindh, where less than 20% of households utilize formal financial services (IFAD, 2022). Consequently, tenant farmers are forced to turn to informal lenders who charge exorbitant interest rates, often between 30% and 50% annually, leading to cycles of debt and dependency (ADB, 2021).

The lack of secure tenure also disincentivizes long-term investment in agricultural inputs. Farmers are reluctant to invest in soil fertility improvements, efficient irrigation systems like drip or laser leveling, and climate-resilient seed varieties, especially when their tenure is unstable. A study by IFPRI (2022) revealed that farmers with secure tenure are 40% more likely to adopt modern agricultural technologies.

This hesitation results in significantly reduced agricultural productivity. Wheat and cotton yields in Sindh are estimated to be 20–30% below their potential, primarily due to low input use and outdated farming methods (PARC, 2023). The productivity gap is evident when comparing rice yields: Sindh averages 2.5 tons per hectare, while Punjab, where tenure systems are comparatively more secure, achieves 4.5 tons per hectare (FAO, 2023).

In addition, insecure tenure promotes unsustainable land use practices. Farmers, uncertain about long-term land access, tend to overexploit resources, leading to widespread soil salinity, waterlogging, and deforestation. These environmental consequences degrade 40% of Sindh’s arable land (Sindh Irrigation Department, 2023), further threatening the province’s food security and climate resilience. Addressing tenure insecurity is thus vital for economic, environmental, and social sustainability.

Policy Recommendations

To address the deep-rooted challenges posed by insecure land tenure in Sindh and promote equitable agricultural growth, a multi-pronged policy approach is essential. The first step is reforming land titling and registration systems. Digitizing land records, as successfully demonstrated by Punjab’s Land Record Management System, can significantly reduce land disputes, minimize corruption, and enhance transparency. Expanding similar systems to Sindh, under the National Land Reform Program, could enable formal land titling for tenant farmers, offering them legal recognition and a stronger foundation for accessing credit and support services.

Strengthening tenancy laws is equally important. The Sindh Tenancy Act (1950) should be rigorously enforced to safeguard tenant rights, ensuring protections against arbitrary evictions and unfair rent hikes. Policymakers should consider introducing rent ceilings to limit exploitative practices and promote fair landlord-tenant relations. Promoting long-term leasing models, such as 10-year contract farming arrangements, would further incentivize land improvements and provide stability for tenant farmers. Tax incentives for landowners who formalize tenancy agreements could help accelerate adoption of such models.

Enhancing financial inclusion is also key. Developing tailored microfinance products, such as leasehold mortgage loans, would empower landless farmers to invest in productivity-enhancing inputs. Expanding social safety nets like the Benazir Income Support Program (BISP) to include agricultural input subsidies would ease financial burdens on smallholders.

Farmer education and capacity building are crucial for effective policy implementation. Strengthening agricultural extension services to deliver training in climate-smart agriculture and sustainable practices can boost productivity and resilience. In parallel, NGO-led legal aid initiatives can help raise awareness among farmers about their land rights and legal protections, fostering greater confidence and assertiveness in land negotiations.

Together, these reforms can transform Sindh’s land tenure landscape, unlocking productivity gains, empowering marginalized farmers, and laying the groundwork for a more inclusive and resilient agricultural economy.

Conclusion

Land tenure security plays a pivotal role in enhancing agricultural productivity, promoting rural development, and ensuring environmental sustainability in Sindh, Pakistan. The province’s current land tenure system, dominated by informal arrangements and unequal ownership patterns, has perpetuated economic inefficiencies and social inequalities, especially for tenant farmers and women. Without formal rights to land, farmers face barriers to accessing credit, investing in sustainable practices, and adopting modern technologies, resulting in suboptimal yields, environmental degradation, and persistent rural poverty. The case of Sindh vividly illustrates how tenure insecurity undermines not only individual farmer welfare but also the broader agricultural economy and climate resilience of the region.

Addressing these challenges requires a comprehensive policy approach. Reforms in land registration, stronger enforcement of tenancy laws, long-term leasing models, improved financial access, and farmer capacity building are essential for creating an enabling environment. Digital land titling and targeted subsidies can further catalyze positive change by reducing disputes and encouraging productive investments. Empowering marginalized groups, particularly women and tenant farmers, through legal rights and training can unlock untapped potential across Sindh’s agricultural sector.

References: Asian Development Bank; World Bank; FAO; IFAD; Pakistan Economic Survey; State Bank of Pakistan; Sindh Bureau of Statistics; IFPRI; ADB; PARC; Sindh Irrigation Department

Please note that the views expressed in this article are of the author and do not necessarily reflect the views or policies of any organization.

The writer is affiliated with the Department of Agricultural Economics, Faculty of Social Sciences, Sindh Agriculture University Tandojam Sindh, Pakistan and can be reached at sadiabrohi2@gmail.com

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