For Indiaâs Farmers, APMCs Are Fast Losing Relevance
by Tushar G. - Mar 2, 2021 12:13 PM
APMC Mandis Are Fast Losing Relevance For Farmers
Snapshot
When viewed from the lens of MSPs, pricing, trader interests, and farmer income, the APMC structure comes across as a decade-old socialist curse, hindering growth, agriculture expansion, investment, and innovation.
The socialist curse of APMCs has thrived for far too long, and while it cannot be abolished, the next best option is to have the farmers the freedom to opt for the private sector route to sell their crops.
One of the greatest misconceptions surrounding the new farm laws was that they would do away with the Agricultural Produce Marketing Committee (APMCs). Given the protests were centered around Punjab where a majority of the MSP procurement happens at the APMCs, the concerns did warrant addressing.
Synopsis
PTI
As the clock ticks down to Budget 2021-22, even as the farmers’ agitation continues, with no sign of end to the impasse between incensed farmers and a determined Centre, one thing is clear. Unlike in the past, when agriculture often got no more than lip service, this time round, Finance Minister, Nirmala Sitharaman will take care to ensure the Budget sends the right message: that this is a government that cares for farmers and farmer welfare.
About time, too. Though government has stuck to its declared goal of doubling farmers’ income by 2022, a promise repeated by Finance Minister, Nirmala Sitharaman in her budget speech last year, it was apparent, well before Covid-19 hit us, that the government would not be able to deliver. The problems of the agriculture sector go much deeper. The pandemic has only made the promise more distant. Add to that the (needless) apprehensions created by the new farm acts and the ongoing farmer agitation, and the Finance Minister has
The editorial inappropriately takes my speech given in a different context and transfixes it to the current agriculture reforms. Since agricultural reforms have been brought up in the editorial, let’s look at all the consultations and democratic processes observed in India when formulating these landmark bills. The editorial states that farm reforms were passed “with little or no evidence of consultation”. The trinity of legislation to facilitate contract farming, remove price restrictions and boost open trade have been the culmination of comprehensive, far-reaching and wide-ranging stakeholder consultations over the last two decades. A plethora of commissions, reports, task forces, model legislation, regulations and rules have suggested these reforms.