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New Delhi : Two bills aimed at transforming agriculture in the country and raising farmers’ income were passed by Lok Sabha on September 17, 2020. 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, were introduced in Lok Sabha on  September 14, 2020, by Union Agriculture & Farmers’ Welfare, Rural Development & Panchayati Raj Minister Narendra Singh Tomar to replace ordinances promulgated on June 5, 2020.

Replying to the discussion on the Bills before they were passed by the Lok Sabha on September 17, Tomar said that the Government under Prime Minister Narendra Modi is fully committed to the welfare of Gaon-Garib-Kisan. He reassured emphatically that while farmers will now be free from the restrictions of having to sell their produce at designated places only, the procurement at Minimum Support Price will continue and mandis established under State laws will also continue to operate.

Tomar said that these legislations will bring about revolutionary transformation and transparency in the agriculture sector, electronic trading will increase, and there will be accelerated agricultural growth as private investment will be attracted in building supply chains and agricultural infrastructure, new employment opportunities will be created and rural economy will get a boost, which will in turn help strengthen the national economy, according to a PIB release.

The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, seeks to provide for the creation of an ecosystem where the farmers and traders enjoy the freedom of choice relating to sale and purchase of farmers’ produce which facilitates remunerative prices through competitive alternative trading channels to promote efficient, transparent and barrier-free inter-State and intra-State trade and commerce of farmers’ produce outside physical premises of markets or deemed markets notified under various State agricultural produce market legislations; to provide a facilitative framework for electronic trading and for matters connected therewith or incidental thereto.

The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Bill, 2020, seeks 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 for farm services and sale of future farming produce at a mutually agreed remunerative price framework in a fair and transparent manner and for matters connected therewith or incidental thereto.