Udham Singh Nagar, one of the richest districts in Uttar Pradesh, now in the eye of the storm, owes its astounding growth in the past three decades to the entrepreneurship of the sturdy Jat peasantry from Punjab.

A combination of virgin, fertile, abundant Terai land and the instincts of the farmer have converted the once barren tracts into one of the most fertile lands in the world. This state-of-the-art agriculture has brought money to the business, too. With its strong links with agriculture, the agro-based industry is also doing well.

The most important reason for the success of agriculture in the district is the attitude of farmers--using modern tools and techniques, they maximise yield and minimise waste. Another reason is that in Udham Singh Nagar, agriculture is not seen as an illiterate or semi-literate man's vocation. Most farmowners are educated -- some professionals like engineers -- who are aware of what is happening in the world. The scenario is quite different from what one finds in most northern villages: in general, the educated members of a peasant's family shift to cities and opt for modern professions, leaving agriculture to the male family member who could not excel in school.

Most farmers have other interests as well. H S Cheema, state president, Shiromani Akali Dal, UP, owns, among other things, a paper mill. P N Mehta, who once owned the largest 2,200-acre farm, has been involved into businesses as diverse as food processing, rice mills, dairy farming, piggery, poultry, fishery and a cinema hall.

Rajiv Kapoor, a second generation settler, is also into poultry, fishery, plantation, seeds development and hoteliering. Ashok Lavania, another farm owner, has a rice mill and is involved in seeds development. "Both agriculture and industry have benefited from integrated development," says Lavania.

Besides stronglinkages between agriculture and industry, Udham Singh Nagar also witnessed a fruitful academics-farming interface. It was especially useful for the people who did not have any experience in farming. A number of first timers also struck gold with agriculture in US Nagar. Says Kapoor, "Since my family did not have an agrarian background, we did not even know when to cut the crop. It would often rot. We gained from experience.

Assistance from Pant Nagar agricultural university also played a key role."Mehta couldn't agree more. When Terai Development Corporation was formed, Pant Nagar University had 40 per cent stake in it. Mehta was a director with the corporation which has been instrumental in promoting seed development.Mehta and other farm owners feel that lowering of the ceiling limit on farms will have an adverse effect on the production and productivity of agriculture; and, since industry is largely dependent on farm produce, the entire business of the district will be hurt. This is despite the Centralgovernment's assurance that the ceiling will not be lowered in the area once it is included in Uttrakhand. Farm owners say that they are not being treated fairly. "It was the Punjabis who showed courage and enterprise, not anybody else. They transformed the area," says Cheema.

Today, farmers h ave been fighting hundreds of court cases. They have spent crores of rupees and a lot of time in litigation, the resources which could have been channelised into something more productive.

At present, there are three kinds of ceilings in the proposed Uttaranchal state--44 acres in hills, 27 acres in the Bhabhar region and 18 acres in Terai. These are the three categories of soil in the state. Bhabhar soils lie between the Shivaliks and the Himalayas with a width of 15.6 km. It covers all areas of the Nainital, Dehradun and Pauri districts. The soil is gravel and shallow in depth with rapid water percolation. Terai soil is clayey and is very fertile. Farmers demand that the Bhabhar ceiling should be applicable inUdham Singh Nagar. The Kumaon Garhwal Chamber of Commerce and Industries supports this demand.

K C Singh, MLA from Kashipur, and the only Congress representative from Uttarakhand in the UP Assembly, feels that the fears of the farm owners are misplaced. "Common sense says that a state that is not over-populated does not need to lower the existing ceiling limit. In fact, there is a possibility that the limit may be abolished."

The assurances notwithstanding, the farmers are apprehensive. Unless the political class resolves to convince the farmers that their interests will not be sacrificed at the altar of populist measures, they will not put in their heart and soul in increasing productivity, as they had done in the past.

Some time back, Mehta's son invested Rs 1.5 crore in Pune in the poultry business. The reason--he does not want to face litigation and other complications which his father is facing. Business runs away from uncertainty and survives on enterprise.