The number of post basic and higher post basic schools during seventies increased rapidly, consequent increase in the number of students passing out Std.XII also was witnessed. These students were earlier given admissions in the agriculture colleges, but that opportunity was lost on account of a change of policy in the agriculture university. Very few students were able to opt for the arts faculty. For a very large majority of the rest of the students in the higher post basic stream there was only one faculty open-rural higher education institutions. But there were only four gram vidyapiths working in this field which could take about 200 students. Many times more were left out. For about a decade this situation prevailed. Thereafter the Gujarat Government started granting permission to establish new gram vidyapiths. So, with a view to accommodate our students passing Std. XII as well as others like them from Banaskantha and sabarkantha district, Lokniketan Trust established Lokniketan Mahavidyalaya in 1987.
Those passing Standard XII are eligible to get admission in this Mahavidyalaya. Therefore, the students from the science stream and the common stream are also eligible here, but education being given in this Mahavidyalaya being work-oriented is not of their choice. Hence hardly any such student gets admission here. Most of the students are from the post basic stream. They have got their education from Standard VIII in that stream and in this Mahavidyalaya, the continuity of the pattern of education being maintained it is quite suitable for them. The syllabus in this Mahavidyalaya leads them to the degree of 'Bachelor of Rural Studies' in a period of three years. Our Lokniketan Trust was awarding the students passing the final examination and completing the course of studies successfully, awarded the degree of 'Bachelor of Rural Studies.' Since 1987 this Mahavidyalaya, along with other Mahavidyalayas situated in three districts of north Gujarat have been affiliated to North Gujarat University So the said degree is now being awarded by that university so the said degree is now being awarded by that university.