"I am amazed and shocked (by the protests)," Aamir told news channel CNN-IBN. "They (the people of Gujarat) should understand what I am saying."
"I won't be dissuaded by these protests," he asserted.
The screening of Aamir's latest hit "Rang De Basanti" was stopped across Gujarat and his effigies were burnt in many cities there Saturday, a day after he expressed solidarity with members of the Narmada Bachao Andolan (NBA) staging a sit-in protest in New Delhi.
The dam on the Narmada river in central Gujarat is expected to solve the water problem in drought-prone parts of the state.
But NBA and other critics have opposed the project, saying adequate steps had not been taken by the government to rehabilitate the thousands of people, mainly tribals and small farmers, who have been displaced by the dam.
Aamir said: "The people of Gujarat should know I have only love and respect for them. These demonstrations are staged by political parties. Everybody can see the TV footage of protests, the parties have collected a bunch of hoodlums."
In Gujarat, the Narmada dam is considered the "lifeline" of the state and is an emotional issue. The youth wings of both the ruling Bharatiya Janata Party (BJP) and the opposition Congress have led demonstrations against the actor.
But Aamir clarified he fully supported developmental works in Gujarat.
"I have shot (Oscar-nominated) 'Lagaan' in Kutch, staying there for six months. I know the water problem there. But I am also for farmers who are displaced. They must be rehabilitated properly, and not on paper."
Referring to "Rang De Basanti", a film about the awakening of the younger generation to their social responsibilities, Aamir said: "The film has affected me. We should voice our concerns, we should protest to the politicians."
He called on the prime minister and the chief ministers of Gujarat, Madhya Pradesh, Rajasthan and Maharashtra - the four states that will benefit from the Sardar Sarovar dam - "to take the responsibility of the displaced farmers".