The myth of extractive Indian landlordism: the case of Colonial Bengal

Working paper

How extractive were Indian landlords before land reform? At least in the case of the Bengal Zamindars, this paper argues that they were not very good at it. The fundamental reason is that they gave their land out on cash rent permanent leases. I outline the implications of this for the distribution of income– the tenant was basically a peasant proprietor subject to a rent charge–then show that inflation dramatically reduced the real rental burden over the long run. I compile a new dataset on nominal rents per acre in Bengal between 1790 and 1940. These abysmally failed to keep up with inflation: by the 20th century, in real terms, they were less than a third of what they had been at the start of the 19th century. Next to no movement in nominal rents strongly suggests that they were customary rather than rack rents, and that such long term land contracts (a form of private property) were secure. Colonial Bengal, almost accidentally, underwent a gradual, peaceful, and largely market-driven land reform that few commentators seem to have picked up on.

Authors: Nagar, A

• Publication status: Published
• Publisher: University of Oxford
• Series: Oxford Economic and Social History Working Papers
• Place of publication: Oxford
• Publication date: 2026-05-26
• Paper number: 231
• Language: English