After the date of commencement of this Act, all khark land in Nepal shall be nationalized and the ownership of such land shall be transferred to the Government of Nepal and the ownership rights of the registrants in such khark land before the commencement of this Act shall be automatically terminated. But–
(a) Even if it has been used only for grazing for private use, the registered owner will be allowed to keep the land within the limits prescribed by the prevailing Nepalese law.
(b) Even after this Act comes into force, the Government of Nepal may grant exemptions for the following works in accordance with the existing Acts and Laws:-
(a) Fruit cultivation,
(b) Animal Husbandry,
(c) Cultivation of Herbs,
(d) Tea cultivation.