The three farm bills introduced in Parliament aim to reform agricultural trade and commerce in India. Specifically, the bills aim to (1) allow farmers to sell produce outside of APMC markets, (2) establish a framework for contract farming agreements between farmers and buyers, and (3) deregulate food commodities by removing them from the essential commodities list. However, the bills are facing opposition for bypassing state governments' power over agriculture and markets, failing to ensure remunerative prices for farmers, and potentially undermining food security. Farmers remain concerned the bills will disadvantage them in negotiations and reduce government assistance.
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Radio Feature Script
The three farm bills introduced in Parliament aim to reform agricultural trade and commerce in India. Specifically, the bills aim to (1) allow farmers to sell produce outside of APMC markets, (2) establish a framework for contract farming agreements between farmers and buyers, and (3) deregulate food commodities by removing them from the essential commodities list. However, the bills are facing opposition for bypassing state governments' power over agriculture and markets, failing to ensure remunerative prices for farmers, and potentially undermining food security. Farmers remain concerned the bills will disadvantage them in negotiations and reduce government assistance.
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RADIO FEATURE SCRIPT
Good morning everyone. Welcome to All India Radio today we are
going to discuss about the farm bills 2020. Three Bills on agriculture reforms were introduced in the Parliament to replace the ordinances issued during the lockdown 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
What do the ordinances entail?
The Farmers’ Produce Trade and Commerce (Promotion and Facilitation)
Ordinance has following provisions Opens up agricultural sale and marketing outside the notified Agricultural Produce Market Committee (APMC) mandis for farmers Removes barriers to inter-State trade Provides a framework for electronic trading of agricultural produce.
The Farmers (Empowerment and Protection) Agreement of Price
Assurance and Farm Services Ordinance relates to contract farming. It has following provisions Provides framework on trade agreements for the sale and purchase of farm produce. The written farming agreement, entered into prior to the production or rearing of any farm produce, lists the terms and conditions for supply, quality, grade, standards and price of farm produce and services.
The Essential Commodities (Amendment) Ordinance
Removes cereals, pulses, oilseeds, edible oils, onion and potatoes from the list of essential commodities. The amendment will deregulate the production, storage, movement and distribution of these food commodities. The central government is allowed regulation of supply during war, famine, extraordinary price rise and natural calamity, while providing exemptions for exporters and processors at such times as well.
Why are these bills being opposed?
1. Against the Spirit of Cooperative federalism
o Since agriculture and markets are State subjects – entry 14 and 28 respectively in List II – the ordinances are being seen as a direct encroachment upon the functions of the States o The provisions are viewed as against the spirit of cooperative federalism enshrined in the Constitution.
2. No mechanism for price fixation
The Price Assurance Bill, while offering protection to farmers
against price exploitation, does not prescribe the mechanism for price fixation. There is apprehension that the free hand given to private corporate houses could lead to farmer exploitation.
3. Food security undermined
Easing of regulation of food items would lead to exporters,
processors and traders hoarding farm produce during the harvest season, when prices are generally lower, and releasing it later when prices increase. This could undermine food security since the States would have no information about the availability of stocks within the State. Critics anticipate irrational volatility in the prices of essentials and increased black marketing.
What are the farmers’ concerns?
Farmers are apprehensive about getting Minimum Support Price for their produce. Other concerns include the upper hand of agri-businesses and big retailers in negotiations, thus putting farmers at a disadvantage. The benefits for small farmers from companies are likely to reduce the engagement of sponsors with them. The farmers also fear that the companies may dictate prices of the commodities. What farmers need and are asking for is legally guaranteed remunerative prices, that the government should commit within the same legislation to maximum procurement of various commodities tied with local food schemes, market intervention from the state, agri-credit reforms to benefit small and marginal holders and particular neglected regions, as well as reforms in crop insurance and disaster compensation.
Important value additions
Article 246 adopts a threefold distribution of legislative power between the Union and the states. The subject-wise distribution of this power is given in the three lists of the Seventh Schedule of the constitution: o List-I- the Union List o List-II- the State List o List-III- the Concurrent List
That’s all for today. Thank you. We will meet again with some more information.
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