In the year 2020 parliament passed 3 agriculture sector bill commonly known as 3 farm bills.
- Farmer produce trade & commerce (promotion &facilitation ) bill 2020
- The Farmer (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020
- The Essential Commodities (Amendment) Bill, 2020
This bill has become a topic of controversy all over India with a tagline of anti – farmer’s bill. As this bill is been interpreted that it will destroy the agriculture sector of every state.
Historical Background of the bill
After independence, farmers gave their produce directly to the consumers. But due to zamindari systems etc, they had to face many problems. So to save farmers from exploitation government launched APMC ( agriculture produce market committee). According to this act, farmers could not sell directly to consumers or no one can directly take from them. And all sellIing will be done through Mandi.
In APMC things are sold on an auction basis when farmers take their produce to the mandi. Auction process includes MSP ( minimum support price) and Price discovery mode. So supply chain of APMC is like reaching final goods to consumers from farmers in between many middlemen are included – traders, commission agents, transaction agents and many more which are helping farmers directly or indirectly.
In 1963 when APMC ACT came its main objective was to protect farmers from exploitation. But due to further changes its is becoming a hub of exploitation itself. So APMC needs to be amended and should not be removed.
These 3 farmer’s bill is passed by Central government according to our provision given under article 249 of the constitution which talks about that Centre has the right to make laws on the state list. Also through entry 33 of list 3 which says that Centre and State both can make laws on agriculture. So by using this entry 33, Centre made essential commodities act.
According to BILL-1 previously, farm produce was sold at notified wholesale market run by APMC & each APMC has licenced middlemen who would buy from farmers at price set by auction before selling to institutional buyers. But now in a new system, the concept of middlemen will be eliminated. The farmers would be directly exposed to the corporate world and they may find difficulty in negotiating with large scale buyers whose produce is less. Also, this new bill talks about the removal of geographical restriction but previously also there were no such restrictions on farmers to sell elsewhere.
BILL -2 This is about contract farming. This law will allow farmers to enter into agreements with Agri -firms, large buyers to produce a crop for a pre-agreed price.
This may be a positive point to farmers because if recent price increases they can get on the pre-agreed price. But the problem in this bill is that MSP will be removed and due to this state government will lose control over the prices. So here farmers are demanding to link MSP to contract prices.
BILL -3 talks about Hoarding.
Under this act previously only a specific amount of goods can be stored. But according to new change now unlimited stocking by private players will be possible. It may lead to artificial price fluctuation and ultimately ever year’s farmer harvest will suffer.
Different states of farmers in India are revolting against these 3 BILLS because this new farm bill wants to create a new parallel system where the state government will lose its control. And more or less may be disastrous to some concerned states.
As after independence, every state has its development rate and every state for its development takes fund from APMC market also. In this present bill concept of APMC is removed as such mandi tax will be abolished. This could lead to a problem in the state’s development.
So to maintain balance publically, economically, and socially in society this passed bill should be amended, taking care of every citizen who is living, earning and surviving in this country.
Moreover, every small or marginal farmer will suffer because if private buyers start purchasing directly from farmers then taxes that are charger at mandi will be lost, and indirectly state government will lose his control i.e state protection will be removed. Also, jobs of million workers of mandi will be in danger. This new parallel system which government wants to create in this, the 3 acts are more favourable towards companies & not legally empowering the farmers.
I think for sure instead of creating the new bill, APMC could be amended. MSP could be strengthened by making it legal right. Also, the middle man should not be removed as may be, it could be seen as a boon to new and old farmers in selling and purchasing farm produce. Other than this investment in the agriculture sector must be from the state government side, not from the private sector. As private-sector forces could vary & and farmers may be on the wimp and fancies of the corporate world. And whatever price they will be given from their products they had to accept that which could be problematic for a long term goal.
At last, I would conclude by saying that from the income of every public who are directly or indirectly related to this bill contribute in state’s development and ultimately which leads in nation’s progress and development too. So the bill should be like this that it should touch the heart of every common man in positive attitude because if people happily contribute to development , the state will flourish and ultimately nation will prosper.

Leave a comment