CHANDIGARH: The Punjab government has decided not to adopt the Centre's Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) that ensures remunerative prices for crops and protects them against market volatility.
It has also cited concerns over mandatory reforms linked to the Model Agricultural Produce and Livestock Marketing (Promotion and Facilitation) Act, 2017.
A few days back, the state government also objected to the draft Seeds Bill, 2025, proposed by the Centre, stating it favoured the corporates, while ignoring the interests of the small and marginal farmers.
Source said that a decision that the State will not be part of the Pradhan Mantri Annadata Aay Sanrakshan Abhiyan and Price Stabilisation Scheme schemes was taken in a recent meeting, headed by Punjab Agriculture Minister Gurmeet Singh Khudian, attended by the chairman of the Punjab State Farmers’ and Farm Workers’ Commission, Sukhpal Singh, and Director of Agriculture Gurjit Singh Brar.
Under PM-AASHA, the Price Stabilisation Scheme (PSS) involves direct procurement of pulses, oilseeds and copra at MSP to stabilise prices.
The Price Deficiency Payment Scheme (PDPS) compensates farmers for the difference between the MSP and the market price when crops are sold below the Minimum Support Price (MSP).
Sources said that the main objection raised by the State government was to the mandatory clause, which requires the State to adopt the Model Agricultural Produce and Livestock Marketing (Promotion and Facilitation) Act, 2017, as a precondition for implementing the PDPS and PSS.
This Act, which was introduced in 2017 by the central government, was to replace the APMC Act of 2003, which seeks to liberalise agricultural markets by promoting private participation and facilitating trade beyond traditional mandis.
The State government had already rejected this Act as it would weaken the well-established APMC mandi system and MSP-backed procurement framework in the State.
The condition put by the Centre is that before implementing the PDPS and PSS, the State will have to sign an undertaking accepting the adoption of the 2017 Model Act.
The Act also mandates that the procurement by the Centre will be restricted to 25 per cent of the all-India production of the concerned commodity for a particular season.
Sources said that under this scheme, the state governments are required to exempt all duties and taxes related to procurement, transportation and warehousing under the PSS operations.
``These conditions will lead to revenue losses and reduced autonomy in agricultural marketing,’’ said an official and added that the farmers are required to register on a designated portal, and reimbursement is processed after verification through land and revenue records.
Meanwhile, earlier in a reply to the Union Ministry of Agriculture and Farmers Welfare, the State government had stated that if the draft Seeds Bill, 2025, is implemented, it might lead to unrest among farmers, the majority of whom own small and marginal landholdings.
The government has also raised concerns that the Bill leans towards centralisation of the seed business and is trying to impinge on the right of regulation enjoyed by the State government till date.
The government added that the zone-based system introduced in the Bill did not guarantee representation of the State in the Central Seed Committee, unlike the present system, thereby limiting the state’s voice in decision-making processes affecting the seed sector, said sources.
Sources also said that the State Agriculture Department had examined the Bill thoroughly and held several discussions on its provisions before rejecting it.
The Bill prima facie favours large seed manufacturing companies.
Also, there is no mechanism to give compensation for crop failure, even as trials on seeds conducted in foreign lands will be recognised before the seeds are allowed in the Indian market. This could lead to more genetically modified seeds entering the market.
The Bill also seeks to seize the powers of regulation of seeds from the states and give it to the Centre.
The proposed Bill will replace the Seeds Act, 1966, and the Seeds Control Order, 1983. The Bill was released for public comments by the Union Government in November last year.
While the draft bill mandates the registration of all seed varieties and not just the notified ones, as is the case now, it also has inbuilt provisions to check the sale of fake seeds.
Notably, the farmers will also have the right to save, use and sell seeds saved in the farm, provided they do not sell them by rebranding the seeds.
