New Delhi: After many protests, the Central Government also passed 3 bills to improve the agriculture sector after introducing it in the Lok Sabha. There was a lot of ruckus in the Lok Sabha on all three bills. Along with the opposition, the Akali Dal, an ally of the NDA, has also objected to this. The situation is so bad that Minister Harsimrat Kaur Badal resigned.
However, Rajya Sabha is facing trouble in the way of these three bills becoming law, where it seems a bit difficult for the central government to get majority due to the opposition of its allies. So let us know what is going on on the three bills.
Farmers Produce Trade and Commerce Promotion and Facilitation Bill, 2020:
Farmers are free to fix their own prices.
Obligation to sell farmer's crop in government Mandis ends
Farmers will be able to sell their products to anyone, anywhere in the country.
Transaction costs will not be taxed outside the market
The buyer will give the delivery receipt including the due price to the farmer as soon as he purchases the crop
The buyer has to pay the remaining amount of the farmer within three days
Business platform i.e. online purchase of crop is also possible
There will be measures to move towards a country and a market system
Farmers will also be able to sell crops through other alternative trade channels.
The business dispute will be settled within 30 days
Government claim:
Minimum Support Price (MSP) and the market system will remain operational
There will be relief from transaction costs like transportation and mandi charges
Freedom to sell crops at your desired price
Intermediaries curbed by direct involvement of farmer and buyer
Advantage of competitive digital business direct entry into agriculture
Improvement in the income of farmer by getting remunerative price
Opposition's objection:
By ending Mandi system, external companies will increase arbitrarily
The agricultural industry will be privatized in the name of contract farming
Private companies will be empowered on farmers' fields
Farming will be harmful to small farmers
Provisions of the Agreement Bill-2020 on Farmers' Empowerment and Protection Price Assurance and Agricultural Services:
Before sowing the crop, the farmer will be able to sell the contract at a fixed price
Provision has been made to prepare a national framework on agricultural agreements
It will connect farmers with agricultural firms, processors, aggregators, wholesalers and exporters
High technology transfer, capital investment also opportunity for a contract with the private sector
Private sector participation in agriculture will enhance research and development
Ensure the supply of quality seed to contracted farmers
Monitoring of crop health, loan facility and crop insurance facility will also be provided.
Conservation of regular and timely payment to the farmer
Government claim:
Will protect farmers in a transparent way
Will also help in empowering farmers
Farmer's risk for the crop will be reduced
No need to go anywhere to find a buyer
Opposition's objection:
Our community structure is not fit for the pattern of the West
The new law will make the farmer a labourer on his own land
Companies will intervene in everything from the ways of growing crops
The alleged scientific cultivation of contract farming will eliminate traditional agricultural knowledge
Provisions of Essential Commodities Act (Amendment) Bill-2020:
Cereals, pulses, oilseeds, edible oils, onions and potatoes will be out of the list of essential commodities
Private investors in the agricultural or agro-processing sector will get rid of regulatory interference in business operations
Farmers will get exemption of their produce, product deposit limit, movement, distribution and supply
If farmers sell crops by taking them to other states instead of regional Mandis, then the profit will not increase if mandi tax is paid
Private companies will be given an exemption to purchase directly from farmers, there will be no restriction on the deposit limit of agricultural products
Modern agriculture will usher in the opening of the private sector and foreign direct investment in the agriculture sector
Government claim:
New provisions will increase competition in the market
This will increase the scope of purchase of crops
Farmers will get the right price due to increased competition
Farmers will also get private investment and technology
Opposition's objection:
Farmers getting protection from the MSP system will be weak
No control over the price of food items
Massive hoarding will be encouraged, inflation will increase
Middlemen will benefit instead of farmers
Law will be weak after amendment, hoarders will be autocratic
Big companies and supermarkets will only benefit from the provision
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