The theory of evolution has proven to be the most effective tool to deal with unfavorable conditions. Those who do not change with time become time. Similarly, after independence, a protective cover of the state was provided to the farmers to help them to sustain life. Thereafter increasing population and lower productivity forced us to bring change in farming patterns with the introduction of fertilizers and high yield variety seeds.
In the follow-up to the goal, the three farm laws were passed to overcome the impediments in achieving the goal. But, the strong lobby of rich and influential groups did not let this happen and the whole goal to reform the agricultural market in the country was left at the mercy of these groups who are earning a lot from this established farming and marketing system. But the recent growth trajectory of farming activity cemented the fact that the three farm laws were made in accordance with the demand of time.
Increasing farmers’ income
A report by NSS (National Sample Survey) suggests that in six years (2012-13 to 2018-19), farmers’ income increased to about 59%. The report says, in 2012-13 the average income of farmers was Rs 6426 and in 2018-19 it reached about Rs 10218.
The report further states that one of the highest growths in income has been seen in the states like Bihar, MP, and Uttar Pradesh. In Bihar, where in 2012-13, the average farmers’ income was about Rs 3558 & which reached to Rs 7542, a whopping rise of 112%.
This rise in farmers’ income has been attributed to the growing food processing industries in India. The value addition in the raw farm produces increases the price which benefits both farmers as well as businesses.
Recent news reports also suggest that in some areas, farmers are selling farm produce more than the MSP (Minimum Support Price). Moreover, the government’s efforts to break the monopoly of traditional agricultural marketing to democratize the selling of farmers’ produce are now bearing fruits.
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Freedom of farmers
Under e-NAM (National Agricultural Market), a pan-India electronic trading portal that networks the existing APMC mandis to create a unified national market for agricultural commodities, a unified effort is being created to trade agricultural products which will in bringing stability in prices ultimately providing conducive environment for the growth of agro-economy.
But the three farms law was an overhaul reform, which would have proven to be the evergreen revolution in farming sectors.
The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020 and Essential Commodities (Amendment) Act, 2020 were made to commercialize the farming activities in India.
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It would have expanded the scope of trade areas of farmers’ produce from select areas to “any place of production, collection, aggregation” and created a legal framework for farmers to enter into pre-arranged contracts with buyers including mention of pricing. Further, the change in Essential Commodities Act would have removed foodstuff such as cereals, pulses, potatoes, onions, edible oil seeds, and oils, from the list of essential commodities and would have created a free market of agricultural produce trade.
Moreover, the recent geopolitical conditions and growing food processing industries would have proved to be the once-in-a-century opportunity for farmers to free themselves from years of state’s bondedness in agri-trade.
