Farm Facts: Critical analysis

Factual Legitimacy Inquiry

1. “Markets and fairs” is listed in entry 28 of the State List, and “agriculture” is listed in entry 14 according to Article 246 of the Constitution. However, the Center is authorized to control “inter-State trade and commerce” by entry 42 of the Union List. Trade and commerce “within the State” are covered by article 26 of the State List; but, they are also governed by entry 33 of the Concurrent List, which gives the Center the authority to establish laws that supersede those passed by the states.
2. Trade and commerce in “foodstuffs, including edible oilseeds and oils, fodder, cotton, and jute” are covered by Entry 33 of the Concurrent List. To put it another way, the Center has the authority to enact any legislation that supersedes current state APMC Acts and eliminates all barriers to farm produce commerce both within and between states.
3. That is exactly what the FPTC Act does.Some experts do, however, distinguish between “trade” and “marketing” in agriculture. Agriculture as a whole would include all of a farmer’s activities, from clearing and cultivating fields to selling their own produce. Just as much “agriculture” occurs in the farmer’s primary sale at a mandi as it does in the field. Only when the farmer has “marketed” the produce does “trade” start.
4. According to this interpretation, the Center has the right to draft legislation that prohibits stockholding and export limits and encourages the free flow of agricultural products both within and between states. However, this is only possible following the farmer’s sale. The states are responsible for “marketing” agricultural produce, which includes regulating its initial sale not the centre.The Judiciary will have to take a call on the constitutional validity of the farm acts, 2020.

Misconceptions regarding MSP

1. Contrary to the widely held belief that the current Minimum Support Price (MSP) system is being changed, an examination of the most recent laws reveals that these agricultural measures actually offered farmers more options.The government has stated unequivocally that MSP procurement will proceed, and the mandis will continue to operate.
2. In addition to the mandis, farmers will be able to sell their produce somewhere else under the new arrangement.It is noteworthy that, based on data from the National Sample Survey, the 2015 Shanta Kumar Committee report found that a mere 6% of farmers actually sell their products at MSP pricing. The MSP regime is not immediately impacted by any of the laws

Misconceptions regarding contract farming

There are worries that contract farming would result in small and marginal farmers losing their land to large corporations. To safeguard farmer interests, land ownership is sufficiently protected.It is expressly forbidden under the statute for any sponsor company to purchase, lease, or mortgage farmer land.It is important to remember that contract farming is entirely voluntary, and farmers cannot be coerced into signing a contract.

Inevitability of agricultural reforms

Forty percent of Indians are farmers, and an even larger proportion of the impoverished are among them. The data that is currently available indicates that farmers face extreme stress.The empowerment of our rural population and farmers is essential to the economic and social development of India.

Reforms in the agriculture sector are therefore desperately needed in order to replace the outmoded agricultural policies.The farm bills in India are consistent with global practice, as several developing nations have modified their agricultural policies since the 1990s to promote private sector participation, which would significantly boost the industry.The recent farm legislation have also received support from the International Monetary Fund, which sees them as a significant positive step.

Farm Acts, 2020: The Indian Parliament proposed three demonstrations in September 2020 that were referred to as the Indian Agribusiness Demonstrations of 2020, or the Homestead Bills. On September 27, 2020, Indian President Slam Nath Kovind conceded his endorsement. It would have permitted ranchers to sell straightforwardly to food processors by liberating an arrangement of government-run discount markets.

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