Agriculture Bill: Claims and Objections

 The Union Cabinet passed three ordinances related to agriculture in June 2020, the Agricultural Produce Trade and Commerce (Promotion Facility) Ordinance, 2020, Price Assurance of Farmers (Empowerment and Protection), Contracts and Agricultural Services Ordinance, 2020, and Essential Commodities (Amendment). Ordinance, 2020 | These three ordinances were brought during the lockdown  continued in the covid-19  and they are expected to be enacted in the current monsoon session of Parliament. In spite of all the opposition, the Central Government has passed all the three bills in the Lok Sabha for improvement in the agriculture sector. However, the Rajya Sabha is facing hurdles in the way of making the law of these three bills. What will be the far-reaching consequences of these ordinances and how much will this affect the farmers and in what form, I am not in a position to tell you clearly at this time. The result of this will be known only in the coming time, but we want to tell you what are the claims of the government and what are the objections of the people.

 Highlights of the Farmer Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020

1. Farmers are free to decide the price of their produce on their own

2. The obligation to sell the crop of the farmer in government mandis is over

3. The farmer in the country Will be able to sell to anyone and  anywhere

 4. Tax will not be charged outside the market which will reduce transaction costs 

 5. The payable amount along with the amount slip will be provided to the farmer as soon as buyer purchases the crop

 6. The buyer has to pay the full dues of the farmer within 3 days .

 7. ‘One country , one market’ system will be introduced 

Government claim 

1. The minimum support price and market system will be operational.

2. There will be relief in the cost of transportation and mandi charges.

3. There Be freedom to sell your produce at your desired price.

4. Intermediaries will be curbed by direct involvement of farmers and buyers.

5. Competitiveness of digital trade directly in the agriculture sector will benefit the farmers and their income will improve with the farmer getting remunerative prices.

Objections and doubts 

1. The Mandi system will end and the arbitrariness of outside companies will increase.

2. Allegation of privatization of agricultural industry in the name of contract farming.

3. Private companies will be empowered on farmers' fields and farming will be harmful for small farmers.

Key points of Farmer (Empowerment and Protection) Agreement on Price Assurance and Agricultural Bill -2020 

1. Before sowing the crop, the farmer will be able to make a contract to sell at a price 

2. Provision will be made to prepare a national framework on agricultural reasons

3. Initiative to connect farmers with agriculture, processors, integrators, wholesalers and exports

4. Contracts from private sectors for high technology transfer, capital investment

5. Research and development will be increased with the participation of the private sector and quality seed supply will be ensured to the contracted farmers.

5. Provision for regular and timely payment to contracted farmers.

 Government claim 

1. Farmers will get protection and help in their empowerment in a transparent way.

2. The risk of farmers' crops will be reduced and they will not have to go anywhere to find buyers.

 Objections and doubts  

1. The company will interfere in everything from the methods of growing the crop, due to which the farmer will remain a laborer on his own land.

2. The alleged scientific farming of contract farming will eliminate traditional agricultural knowledge.

Essential Commodities Act (Amendment) Bill - 2020 

1. Cereals, pulses, oilseeds, edible oils, onions and potatoes will be out of the list of essential commodities.

2. Private investors in the field of agriculture, agro farming will get rid of regulatory interference in business operations.

3. Farmers, products, product deposit limits, movement Delivery discounts will be available

. Farmers will be able to sell crops in other states instead of regional mandis

. Modern agriculture will usher in the opening of private sector and foreign direct investment in the agriculture sector.

 

The government claims that the 

new provisions will increase the competition in the market, it will increase the scope of purchasing of crops and increase in competition will give the right price. 

As per  present  rule Farmers in the country can sell their produce in the agricultural produce market only to licensed traders. The number of traders is decreasing in these markets, due to which there is no competition , as a result farmers have to suffer losses. By law, the farmers could not send the products out in the open, so even the traders of the mandi became obedient. Agricultural Produce (Trade and Commerce) Promotion and Reforms Ordinance - 2020 gives farmers freedom to sell their produce anywhere. This ordinance also recognizes online purchase and sale of agricultural produce.