Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020

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The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020
Emblem of India.svg
Parliament of India
  • An Act 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
Citation Act No. 20 of 2020
Considered by Parliament of India
Enacted by Lok Sabha
EnactedSeptember 17, 2020 (2020-09-17)
Enacted by Rajya Sabha
EnactedSeptember 20, 2020 (2020-09-20)
Signed by Ram Nath Kovind
President of India
Signed27 September 2020
Legislative history
Bill citation Bill No. 112 of 2020
Bill published onSeptember 17, 2020 (2020-09-17)
Introduced by Narendra Singh Tomar
Minister of Agriculture and Farmers Welfare
First reading September 17, 2020 (2020-09-17)
Second reading September 20, 2020 (2020-09-20)
Status: Repealed

The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020 was an act of the Indian Government that creates a national framework for contract farming through an agreement between a farmer and a buyer before the production or rearing of any farm produces. [1] [2]

Contents

The act was collectively passed as part of the 2020 Farm Bills.

Background

This Act, along with the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act , was promulgated by the Union Cabinet on 5 June 2020.

The Lok Sabha (lower house) approved both bills on 17 September 2020, and Rajya Sabha (upper house) on 20 September 2020. For the latter, the Official Opposition demanded physical voting instead of voice voting, but to no effect. [3] Voting rules of Rajya Sabha state that members of the House can challenge the voice voting decision, in which case the votes need to be recorded. [4] However, the Chairman of the House passed the Bill with only voice voting and claimed that the Opposition had created chaos since the rules state that division voting required all members to remain seated while maintaining decorum. [5] [6]

Provisions

The Government asserts that the Act helps protect farmers engaging with agribusiness firms, processors, wholesalers, exporters, or large retailers for farm services and sale of future farming produce by a mutually-agreed lucrative price framework fairly and transparently through a contract. [7] [8]

The Act provided for a 3-level dispute settlement mechanism by the conciliation board, Sub-Divisional Magistrate, and Appellate Authority. The agreement had to provide for a conciliation board as well as a conciliation process for the settlement of disputes. [9]

Criticism

The Act was met with wide criticism from farmers all over the country (particularly Punjab, Haryana, Western Uttar Pradesh, Uttarakhand and Rajasthan) mainly under the argument that, without any regulation, farmer's interests will be overlooked. [10] [11]

Since the Appellate Authority was the highest level of appeal for the farmer against any private entity, the farmer is effectively prevented from moving the Court. Thus, the Opposition parties claim that the Act is highly skewed in favor of private entities as the individual farmers did not have the resources that private companies had. [12]

On 31 December 2020, All 140 MLAs, including lone BJP members approve a resolution against farm laws in Kerala. The resolution passed by voice vote with all 140 MLAs supporting it. [13]

See also

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References

  1. "Explained: What are the three new Agri sector bills and how will they benefit the farmers | All you need to know". Jagran English. 18 September 2020.
  2. "Agricultural reforms: Here's a look at key measures in the legislation passed in Lok Sabha - Landmark agricultural reforms". The Economic Times.
  3. "Farm Bills Clear Parliament Amid Unprecedented Drama In Rajya Sabha". NDTV. 20 September 2020.
  4. "VOTING AND DIVISION". rajyasabha.nic.in.
  5. "Eight opposition members suspended from Rajya Sabha over farm bill chaos". 21 September 2020.
  6. "Order in House must for division, clarifies Rajya Sabha deputy after reports allege rule-breaking".
  7. "Lok Sabha passes 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". pib.gov.in.
  8. Act No. 20 of 2020 PD-icon.svgThis article incorporates text from this source, which is in the public domain .
  9. "The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020". PRSIndia. 14 September 2020. CC-BY-icon-80x15.png  This article incorporates text available under the CC BY 4.0 license.
  10. "Quixplained: What are the 3 farm laws, and why are farmers protesting?". indianexpress.com. 17 October 2020.
  11. "Farmers protest in Karnataka against new agriculture law, several detained". dnaindia.com. 28 September 2020.
  12. "Farm bills are seen by farmers to deliver freedom — not to them, but to private capital". The Indian Express. 26 September 2020.
  13. "Kerala: All 140 MLAs, including lone BJP member, approve resolution against farm laws". www.msn.com. Retrieved 31 December 2020.