156 AGRICULTURAL CAPITAL 



but if it results in the extended improvement of their 

 land it will tend to their permanent benefit. It cannot 

 be considered unjust to them, since the additional 

 period of exemption suggested for the tenant's im- 

 provement is only one-third of that which the land- 

 owner receives from Government for his own im- 

 provement.'* 



The most serious obstacle to the construction of 

 wells is, however, the one first alluded to — namely, 

 the tenant's want of capital. The remedy for this evil 

 proposed by the Irrigation Commissioners was that 

 the Government should loan the necessary capital to 

 the tenant, and recover it from him by annual instal- 

 ments. This is the system of State advances known 

 in India as takavi. These advances are nowadays 

 regulated by specific Acts — namely, the Land Improve- 

 ments Loan Act (XIX. of 1883) and the Agriculturists' 

 Loans Act (XII. of 1884). Under the former Act 

 money is advanced for specific purposes of land im- 

 provement, and under the latter for seed, cattle, and 

 other miscellaneous agricultural purposes. But the 

 object of the two Acts is closely connected, for it will 

 often be the case that in order to make efficient use of 

 his improvement the cultivator will find it necessary 

 to provide himself with cattle and manure, well gear- 

 ing, and the like, if not with seed. 



Under these two Acts the Government has made 

 considerable contributions to the agricultural capital 

 of the provinces. During the ten years ending 1900-01 

 Rs. 54,72,000 were advanced under the Agriculturists' 

 Loans Act and Rs. 26,49,000 under the Land Improve- 

 ment Loans Act.f But the Irrigation Commissioners 

 were of opinion that the system was capable of very 

 much greater development. The spirit in which these 

 Commissioners approach the subject of State advances 

 shows how far opinion has travelled from the ancient 



* ' Indian Irrigation Commission Report,' part ii., p. 203. 

 t Ibid., p. 59. 



