The capital of the country is under siege. The farmers of some of the northern states of India are protesting against the recently passed Agricultural Reform Acts. The most discussed topic is the possible plight of the poor farmers after implementation of these acts. The supporters and opposers of the acts are evenly divided but there is a feeling that the acts have been rushed through and the country should have been given more time.
It would seem impossible if we were told that these acts are only a culmination of the process that started, not one or two, but twenty years back.
Do we really need more time than that?
Let us look at the genesis of the Acts over the years.
2000-2003 (NDA GOVERNMENT LED BY PRIME MINISTER A.B. VAJPAYEE)
Shankarlal Guru Expert Committee was appointed in December 2000 to suggest ways and means to make Agriculture marketing system more efficient. The committee submitted its report in June 2001.
To examine these recommendations, the Agriculture Ministry constituted an Inter-Ministerial Task Force in July 2001 which submitted its report in June 2002.
The steps recommended by this task force included:
• Removal of restrictive provisions hindering a competitive marketing system
• Promotion of direct marketing
• Encouragement of contract farming
• Rationalization of Market fee and tax structure
• Facilitate National Integrated Market
These recommendations resulted in the passage of the Model APMC Act 2003 which encouraged the state governments to amend their individual state acts in accordance with this model act.
2004-2014 (UPA GOVERNMENT LED BY DR. MANMOHAN SINGH)
Ministry of Agriculture formulated a Model APMC Rules 2007, based on the APMC Act of 2003, and called for their adoption by the various state governments.
Various states such as Andhra Pradesh, Arunachal Pradesh, Assam, Gujarat, Himachal Pradesh, Rajasthan and Maharashtra, ruled by different parties (Congress, BJP and others), adopted the Model APMC Act of 2003 at different times between 2005 to 2011.
UPA government set up the M.S. Swaminathan chaired National Commission on Agriculture in 2006, which recommended promotion of Unified National Market.
Minister of Agriculture, Sharad Pawar, constituted an Empowered Committee in March 2010, on Agri-marketing reforms under the Chairmanship of Harshwardhan Patil, (A minister of State Government of Maharashtra led by Congress Party) and 10 State Ministers.
Parallelly, Sharad Pawar personally wrote to all Chief Ministers in August 2010, urging them to implement the reforms on the lines of the model APMC Act 2003. Among other things, the letter written by Sharad Pawar said, “the need to amend the present APMC act on the lines of Model APMC Act 2003 to encourage the private sector in providing alternative competitive marketing channels in the overall interest of farmers/producers and consumers cannot be overemphasized”.
Sharad Pawar echoed the same sentiment again while responding to a question in the Rajya Sabha on agriculture marketing reforms in May 2012, when he stated that “there are some (reforms) which have already been accepted, for instance, recommendation regarding liberalizing agri-procurement…We have requested all the Cooperation Ministers in the States to make amendment in the APMC Act.”
The Patil Committee, which had been set up in 2010 submitted its report in 2013 which among other things, suggested simplification of procedure of contract farming, investment in development of post-harvest infrastructure, barrier free national markets, waiving off of market fee on fruits and vegetables etc.
2014-20 (NDA GOVERNMENT LED BY PRIME MINISTER NARENDRA MODI)
The new NDA Government constituted the Dalwai Committee to concretize various proposals. The Committee, after extensive consolation, recommended adoption of the new Agricultural Marketing Act of 2017.
The New Model Agricultural Marketing Act, 2017 was adopted fully by 11 states – Arunachal Pradesh, Gujarat, Assam, Nagaland, Meghalaya, Odisha, Uttarakhand, Tripura Goa, Karnataka and Himachal Pradesh.
6 states partially adopted the 2017 Marketing Act – Haryana, Punjab, Uttar Pradesh, West Bengal, Madhya Pradesh and Tamil Nadu.
A second Dalwai Committee was set up in 2018 to protect the interests of producers and sponsors of Contract Farming. This second Dalwai Committee, recommended another Model Act which dealt with Contract Framing.
This Model Contract Framing act was circulated to all States/UTs in May 2018. Tamil Nadu and Odisha have adopted this Model Contract Farming Act of 2018.
Contract farming was already informal practice in many states. In Punjab, a separate Contract Farming Act has existed since 2013.
High-Powered Committee of Chief Ministers for ‘Transformation of Indian Agriculture’ was set up in June, 2019, to implement reforms and know the intent of states.
Problems faced by farmers due to lack of marketing reforms were also noted by Parliamentary Standing Committees on Agriculture. Their recommendations were no different from those made over the past two decades.
As is obvious from this chronology, the extensive consultation process on Agricultural Marketing Reforms had spread over two decades, during which different governments headed by different political parties had all proceeded in the same direction and recommended similar things.
As a culmination of this process, on 3 June 2020, The Union Cabinet, after its 21st May consultation with States on Ordinances, approved the promulgation of two Ordinances:
The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020
The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance, 2020.
After promulgating the Ordinances, the Government of India worked to sensitize farming communities, FPOs and Cooperatives etc, to raise awareness on the advantages of ‘One Nation One Market’ and explain the Ordinances’ benefits.
After debate and discussion, Lok Sabha passed both the bills on 17th September, 2020 and Rajya Sabha on 20th September, 2020.
Can we really say that the bills have been passed in a hurry? Has the federal structure been compromised? Have the states not been involved?
The facts are obvious that vested interests of all hues are using the bogey of the ‘poor farmer’ for furtherance of their own agenda. Sharad Pawar is shouting himself hoarse against what he propagated himself. Akali dal, a part of all the deliberations since the Vajpayee government expects the country to believe that for 20 long years they knew nothing. The Communists are seeing an opportunity to delay their extinction and the anti-India forces are smacking their lips.
It is indeed sad to see the political desperation that even the interest of the poor small farmer can be sacrificed by the opposition for their petty political gains.
The Acts have taken a long 20 years to see the light of day when the farmer, like everyone else can see himself free from exploitation and while the existing system continues as it is he has a choice too and hence greater bargaining power.
Let us appreciate the facts and give the farmer what has been long overdue.
- Dr. Dharinder Tayal, Spokesperson, BJP Chandigarh.