CHENNAI: Amid protests over the recently enacted farm Acts in a few parts of the country, Union Minister for Finance, Nirmala Sitharaman on Tuesday termed them as reforms in the agriculture sector.
“They were long-awaiting reform measures in the field of agriculture. Producers can now sell their produce in any part of the country at a price suitable for them, and farmers can decide the price and the buyer themselves,” the minister said, while addressing mediapersons in Chennai.
Sitharaman added that agriculture comes under the State List, which means farmers can trade only within the State. However, inter-state trade can be facilitated only by the Central government as it falls under the Concurrent List, the minister added.
The three laws – Essential Commodities (Amendment) Ordinance 2020; Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Ordinance, 2020; and Agricultural Produce Marketing Committee (APMC) Act – were passed recently by Parliament.
‘Farmers can now sell on digital platforms without paying tax’
The lack of provision for a Minimum Support Price, permission for online trading of agriculture products and contract farming which allows farmers to enter into an agreement with firms and agreement for selling products through private markets, have all come under sharp criticism from political parties and farmers’ association.
Defending the Acts, the minister said, “Several states had allowed farmers to sell produces to only a few possessing licenses, at a price fixed not by the farmers but by the traders. These Acts have removed that barricade and they can now trade across the country.” She further said that the farmers now can even sell on digital platforms where they need not pay any tax.