Question

How was the Mahalwari system different from the Permanent settlement?

Answer 1

Hint: After the East India Company became Diwan of Bengal, British officials took control of financial administration of the territory. They organised its revenue resource for which they introduced different systems like Permanent settlement system, Mahalwari system and Ryotwari system.

Complete answer: Permanent settlement and Mahalwari settlement were introduced by the British to resolve the problem of an agrarian and economic crisis which resulted in lower agricultural output. Company officials thought that investment in land, agriculture, trade and resources of the revenue had to be encouraged at any cost.
The Permanent settlement was introduced by Lord Cornwallis in 1793. It was implemented in the provinces of Bengal, Bihar, Orissa and UP. Zamindars were asked to collect rent or revenue which was fixed permanently. It was not to be increased ever in future as assumed that it would ensure a regular flow of revenue. If the zamindar was not able to pay, his zamindari rights were taken off.
 The Mahalwari system was introduced by Holt Mackenzie in 1822 in which revenue was to be paid by a village known as ‘mahal’, and it was revised periodically. The village headman had the responsibility to collect them rather than zamindar. It was implemented in the areas of Punjab, and north-west provinces of the Bengal presidency. Under this system, all village land, forestland and pasture land were included.

Note: After implementing both the system British realised that they were not getting any profit as in permanent settlement zamindars were not investing in improving the land and they were not even able to pay revenue on time. On the other hand in the Mahalwari system, farmers were exploited and even in drought, and they had to pay revenue.