Three bills aimed at transformation of agriculture in the country and raising farmers’ income were introduced in Lok Sabha on Monday, the first day of this year’s monsoon session, aiming to replace ordinances promulgated on June 5, 2020.
Bills presented on monsoon session day 1
- The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020
- The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020
- The Essential Commodities (Amendment) Bill, 2020
Union Minister of Agriculture & Farmers’ Welfare, Rural Development & Panchayati Raj, Shri Narendra Singh Tomar introduced The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020 and The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020, while Minister of State for Consumer Affairs, Food & Public Distribution, Shri Raosaheb Patil Danve introduced The Essential Commodities (Amendment) Bill, 2020 in the Lok Sabha.
Mr Tomar said that the measures contained therein will enable barrier-free trade in agricultural produce, and also empower farmers to engage with investors of their choice. He added that these steps are only the latest in a series of measures taken by the Government, which shows its continuous commitment to championing the cause of welfare of the farmers of India.
The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020
The bill seeks to provide for the creation of an ecosystem where the farmers and traders enjoy the freedom of choice relating to sale and purchase of farmers’ produce which facilitates remunerative prices through competitive alternative trading channels to promote efficient, transparent and barrier-free inter-State and intra-State trade and commerce of farmers’ produce outside physical premises of markets or deemed markets notified under various State agricultural produce market legislations; to provide a facilitative framework for electronic trading and for matters connected therewith or incidental thereto.
The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020
It seeks to provide for a national framework on farming agreements that protects and empowers farmers to engage with agri-business firms, processors, wholesalers, exporters or large retailers for farm services and sale of future farming produce at a mutually agreed remunerative price framework in a fair and transparent manner and for matters connected therewith or incidental thereto.
The Essential Commodities (Amendment) Bill, 2020
It seeks to remove commodities like cereals, pulses, oilseeds, edibleoils, onion and potatoes from the list of essential commodities. This will remove fearsof private investors of excessive regulatory interference in their business operations.The freedom to produce, hold, move, distribute and supply will lead to harnessing of economies ofscale and attract private sector/foreign direct investment into agriculture sector.
While India has become surplus in most agri-commodities, farmers have been unable to get better prices due to lack of investment in cold storage, warehouses, processing and export as theentrepreneurial spirit gets dampened due to Essential Commodities Act. Farmers suffer huge losses when there are bumper harvests, especially of perishable commodities. The legislation will help drive upinvestment in cold storages and modernization of food supply chain. It will help both farmers and consumers while bringing in price stability. It will create competitive market environment and also prevent wastage of agri-produce that happens due to lack of storage facilities.