New farm Acts aim to transform agriculture sector & raise farmers’ income

Narendra Modi government has accorded high priority to the development of agriculture sector and has taken several measures with an aim to transform the sector in the country as well as to raise farmers’ income. The government has recently implemented new farm Acts in this direction which include Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020 and the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020.

The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020 will promote barrier-free inter-state and intra-state trade and commerce outside the physical premises of markets notified under State Agricultural Produce Marketing legislations. The farmers will not be charged any cess or levy for sale of their produce and will not have to bear transport costs. Under this Act, farmers will be able to engage in direct marketing thereby eliminating intermediaries resulting in full realization of price.

The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Act, 2020 will empower farmers for engaging with processors, wholesalers, aggregators, wholesalers, large retailers, exporters  on a level playing field without any fear of exploitation. The farmer will have full power in the contract to fix a sale price of his choice for the produce and they will receive payment within maximum 3 days. 


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