BHOPAL: The BJP-ruled Madhya Pradesh has become perhaps the first state in India to initiate action under the one of the three new agri laws, the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act.
In Pipariya block of Hoshangabad district, many paddy farmers had entered into contract with Fortune Rice Limited in June, as per which the company promised to purchase their produce at highest prevailing market price.
But with the paddy prices now peaking up to Rs 2,950 per quintal, the company officials went incommunicado.
Subsequently, two farmers wrote to the SDM in Pipariya on December 10 seeking action under the new contract farming law.
ALSO WATCH:
“On December, 10 several farmers reported that they had entered into an agreement with Fortune, as per which the company had promised to buy their produce at the prevailing highest price in the mandi plus Rs 50 bonus. But the company officials switched off their phones on December 9, leaving the farmers no option, but to approach us for action under the new contract farming law,” Pipariya SDM Nitin Taale told The New Indian Express.
A notice was issued to the company and a conciliation board was constituted. On the Board’s recommendation, the administration directed the company to start buying the paddy at Rs 2,950 per quintal plus Rs 50 bonus.
“Now, the company has started the process of buying paddy at Rs 3,000 per quintal,” the SDM informed.