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FARMER’S ACT 2020

 

“The farmer is much more than the one who working in the fields and caring the animals; they are the one that feeds the nation”.


On September 27, 2020, the honorable president of India Mr. Ram Nath Kovind gave his assent to new famer bill. Our Prime Minister Mr. Narendra Modi hailed the bill by passage of saying “A WATERSHED MOMENT IN THE HISTORY OF INDIAN AGRICULTURE.”

 India is an agriculture dominated country. More than 70% of India’s population is directly or indirectly engaged in agricultural activities. Only due to the hard work of farmers, we are eating peacefully and they feed entire nation. Now, government has passed new bill with the aim of welfare of farmers and agriculture sector but farmers of across India have protested against these bills in roads. They have raised the slogan for protest against farmer’s bill is ‘KISAN BACHAO MANDI BACHAO’.

Farmer bill 2020 includes 3 farmer reform bills – The Farmer Produce Trade and Commerce Act 2020, The Farmer Agreement on Price Assurance and Farm Service Act, 2020 And Essential Commodities (Amendment) Act, 2020. These bills make big structural changes in agricultural sector and encourage corporate investment in agriculture sector. According to new bill, farmer can sell their product openly anywhere and get higher price. These bills give power to farmer to sell their goods directly to corporate or exporter. There will be no change in APMCs (agriculture produce market committee) and MSP (minimum selling price). These both will be continuing and farmer can sell their crop in Mandi on existing MSP.



The Farmer Produce Trade and Commerce Bill 2020, farmer can sell their product anywhere not only to APMCs approved mandis or market place but to any corporate or exporter (inside the state, outside the state). It gives freedom to farmer to select a marketplace. It also allows online trading of famer produce goods. It prohibits state government for imposed market fees on farmers for sale to corporate, exporter or electronic trade of farmer produce goods.  

The Farmer Agreement on price assurance Bill, 2020 it doesn’t describe any mechanism for price fixation. Company can make contract with farmers for buying their products. They set the price for the product, the standards and qualities. Government says that this will protect and empower farmer to sell to anyone and make a written contract which protects the farmer in case the buyer tries to cheat them. They can also sell future produce goods in today.

Essential commodities Act control the production, supply and the distribution of certain commodities. It includes items such as food items or drugs, then companies and supermarkets cannot hoard these items when there is shortage of goods and also cannot artificially increase the price. The list of essential commodities includes: Drugs, fertilizers, foodstuff, petroleum, raw jute and seeds. The new amendment has removed food stuff such as potatoes, cereals, pulses, edible oilseeds and oils. If there are uncertain circumstances like war or famine and price rise then these commodities will not be considered under the essential commodities list. The governement cannot stop a supermarket or retailer from hoarding goods unless there is 100% rise in price of perishable goods or 50% increase in price of non-perishable goods.


Meetings between farmers and government are organised many times to settle the conflict between farmers and government and to convince farmers about the benefits of the New Farmer Bill, but Farmers Minister also submit a file for make changes in some aspects of farmers bill because they put a point that the act was not discussed with exerts or state government so it is not perfect for the farmers and a committee is formed to analyze the aspects of the bills passed by the government.  

The government motive to introduce these farmer bills to boost or develop agriculture sector and double the farmer income in 2022. Government analyze that when farmer’s are free to sell their products to corporate and exporter, it help in better price and encourage corporate sector to invest in the agriculture sector. It helps in develop more advanced technology in agriculture sector. Proper agricultural machinery and equipment will be arranges by the buyer of farmer product and also provide technical guidance and advice to farmers. During crop production, the crop will continue to be owned by the farmer and crop will be insured and the farmer will also be able to take loans from financial institution.


Farmer’s are protest against this famer bill because they have feared in their mind that large retailer and corporate could dominate agriculture sector with their money power. Farmer fears that virtual disbanding of the mandi system not gives an assured price for their crops.   Farmer have doubt that in future APMCs become unavailable like BSNL and MTNL in the upcoming future has neither discussed with states nor discussed with the experts in the field of agriculture. The protest is more intense in Punjab, Haryana or west uttar Pradesh because in these areas there is more organised form of APMCs. Middlemen are become jobless and there is a possibility of middlemen in private sector also because farmer is not in the position to bargain with corporate house. In private sector, there will be no control and exploitation of middleman may multiply. We are talking about ‘ONE NATION ONE MARKET’, ‘FREEDOM OF CHOICE OF MARKET’   that farmer can sell his product anywhere where he gets better price but according to ground reality a farmer do not have a medium and money to transport goods from one place to another because government itself says 86% of farmers are marginalized.


 Farmers demand for withdrawal of these 3 laws and also settle for a legal assurance that MSP system will continue in the amendment of the laws. The farmers are the soul of the nation and it is the duty of government to take care the farmers for their growth and upliftment. The passing of the bills is a right step to providing a bigger platform to the farmers to get the standard price for their agricultural product. It will bring revolutionary changes in the lives of the market. The reforms will accelerate agricultural growth through private sector investment in constructing agricultural infrastructure and supply chains for Indian farm produce in national global markets, generate employment opportunities, and strengthen the economy. Farmers will be relieved from the barriers of selling their produce at particular designated places. The procurement process of MSP will continue and ‘mandis’ are established under the state laws will also continue to operate. It will definitely empower the farmers of India and boost their growth and development in the country and reshaped the Indian economy.

“Investments in agriculture are the strong weapons against the war of hunger and poverty and they have made like better for billions of people”

 

KEYWORDS: Watershed Moment, Structural Changes, Virtual Disbanding, Exploitation Of Middleman, marginalized, revolutionary changes

Video Links:

https://youtu.be/t_VMG9XMJRM

https://youtu.be/aLqbHOZ-2BE

https://youtu.be/Mist4zw3e3I

 

WRITTEN BY:

TARA RANI   

Student of Department of Management Studies

Geeta Engineering College

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