Farm bills 2020

The farm bill is a package of legislation passed roughly once every five years that has a tremendous impact on farming livelihoods.

1. FARM BILLS 2020 Presented by: Dileepkumar Emandi Follow me on— LinkedIn - https://www.linkedin.com/in/dileepkumar-emandi-277237136

2. What is a farm bill? On 20 th September 2020,parliament passed three farm bills ,which created protests in the country. The Three bills are: 1.The Farmers Produce Trade and Commerce(Promotion and Facilitation)Bill,2020. 2.The Farmers(Employment and Protection)Agreement on Price Assurance and Farm Services Bill,2020. 3.The Essential Commodities(Amendment)Bill,2020. The farm bill is a package of legislation passed roughly once every five years that has a tremendous impact on farming livelihoods.

3. The Farmers Produce Trade and Commerce(Promotion and Facilitation)Bill,2020. This bill allows barrier-free intra-and inter-state trade of farm produce. Farmers can eliminate middlemen and sell directly to instituitional buyers at prices to be agreed between them. Prohibits state governments from levying any market fee for the trade of farmers produce conducted in an ‘outside trade area’.

4. The Farmers(Empowerment and Protection)Agreement on Price Assurance and Farm Services Bill,2020. This law will allow farmers to enter into agreements with agri-farms,exporters or large buyers to produce a crop for a pre-agreed price. Minimum period: one crop season; Maximum period: five years(unless the production cycle is more than five years).

5. The Essential Commodities(Amendment)Bill,2020. Seeks to remove cereals ,pulses ,oilseeds ,edible oils, onion and potatoes from the list of essential commodities. This Bill proposes to allow economic agents to stock food articles freely without the fear of being prosecuted for hoarding.

6. How will the bills benefit the farmers? Bypass the Essential Commodities Act and be free to store inventory which was constrained so far by stocking limits of ESCA. Free to make contracts and transfer risk to businessmen in deals made over a crop even before yield is made or met. With Farmers’ Produce Trade and Commerce bill, farmers can sell the produce as per their choice. So the problem of middlemen, which is one of the main loopholes of APMCs will be eliminated.

7. Farmer’s objections and Demands: The acts are more favorable towards the companies and not legally empowering the farmers. Farmers are worried that MSP will be removed. APMC reforms are needed , not its removal. The middlemen will NOT go away. Farmer’s groups are worried this exposes them to corporates who have more bargaining power and resources than small or marginal farmers.

8. Conclusion There are two possible scenarios after the implementation of these bills: 1. SCENARIO-A Private markets-higher prices for produce-better for farmers. 2. SCENARIO-B No more govt support of MSPs-Farmers at the whims of market/corporates.

9. References: https://www.timesnownews.com/india/article/what-is-the-farm-bill-and-why-are-farmers-protesting-against-it/689215 https://www.thehindu.com/news/national/the-hindu-explains-who-gains-and-who-loses-from-the-farm-bills/article32705820.ece https://images.app.goo.gl/ZLofZAeotJ6s6jVN8 https://youtu.be/oQlicIzQork

10. THANK YOU Presented by: Dileepkumar Emandi Follow me on— LinkedIn - https://www.linkedin.com/in/dileepkumar-emandi-277237136