Farm Bill 2020 Summary: There has been a huge uproar when the Parliament passes the agriculture bill 2020. The three farm bills are:
1. The Farmers’ Produce Trade and Commerce (Promotion and Facilitation), Bill
2. The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill
3. The Essential Commodities (Amendment) Bill
What is Farm bill 2020 in India: Detailed Summary, All you should need to know
Farm bill 2020 will transform the agriculture sector. It will increase the income of the farmers, which is claimed by the Centre. By 2022, the Government said, the annual income of the farmers will be double. With the agriculture bill 2020, the farmers can sell their products independently. They do not have to rely on the Government controlled market and Mandis. The farmers can also sell their products outside the Mandis and even intra-state trades are encouraged in the Farm bill 2020. All farmers can engage with different business companies, exporters, and retailers. They can also use various modern technologies.
Agriculture bill 2020: Pros & cons of three farm bills
1. The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill
This bill gives the farmers the right to sell their products outside the APMC market and Mandis. It lets the farmers get better prices for their goods. Any levy of cess will not be charged from the farmers for this sale under this ACT.
Pros:
- The farmers will have more choices
- It will reduce marketing costs
- The farmers will get a better price
- Farmers can supply the goods to different regions for a better price
- It will help the even distribution of goods
Cons:
- The state will lose the revenue, which they used to get from Mandis
- Commission agents will suffer a heavy loss
- It may lead to the end of Minimum Support Price, and private companies may take over the market
2. The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill
This bill gives the farmers the right to get engaged with agribusiness firms, exporters, retailers for the sell at a pre-decided price.
Pros:
- Reduces the risk of unpredictable market
- Farmers get access to modern technologies
- Boosts farmers income
- Reduces the cost of marketing
Cons:
- The big corporate may dominate the Indian agriculture and food business
- Weaken the power of farmers
- The bill will help private companies, exporters, and wholesalers to flourish
3. The Essential Commodities (Amendment) Bill
This bill removes cereals, onion, potatoes, pulses, and oilseeds as essential commodities and eradicates the stock holding limits on such items except for special circumstances.
Pros:
- Brings price stability
- Attracts private investors and FDI into the agriculture sector
Cons:
- Big companies will get the freedom to stock commodities
- Big companies can dictate and impose terms on the farmers
The Government says the MSP mechanism will continue for farmers. The Farm bill 2020 will enhance the income of the farmers and give them a better market to sell their products. It will also promote private investments which will aid in the development of the agricultural sector and generate employment opportunities.
