18 Methods of Valuation · 18.1 Methods of valuation
18.1.9 Valuing agricultural land: jirayat and bagayat classes, yield and capitalisation of net income
Agricultural land is valued either by comparison with genuine sales of similar land or by capitalising its net income — average yield × price, plus by-products, minus cultivation and other outgoings — with the land class (jirayat, bagayat, rice, warkas) and irrigation deciding most of the difference in value.
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Key terms
- agricultural land valuation
- jirayat
- bagayat
- motasthal
- patasthal
- rice land
- warkas
- pot-kharab
- chalu pad
- kayam pad
- 7/12 extract
- pik pahani
- hectare-are
- guntha
- acre
- Gunter's chain
- yield
- gross income
- by-products
- cultivation expenses
- net income
- capitalisation
- double cropping
- irrigation
- orchard
- double counting
What this note covers
- Core factsFoundation
- ExplainedStandard
- DeeperAdvanced
- Mains writingMains writing
- Common trapsFoundation
- Quick revisionFoundation
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