The bills are Farmers' Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, the Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020 and the Essential Commodities (Amendment) bill, 2020. The act aimed at transforming agriculture in the country and raising farmers’ income.
The Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020 permits the electronic trading of farmers’ produce and allows setting up of transaction platforms for facilitating direct online buying and selling of farm products.
The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act , 2020 provides for a farming agreement prior to the production or rearing of any farm produce.
A guaranteed price to be paid for the purchase of farming produce will be mentioned in such agreements.
The Essential Commodities (Amendment) Act, 2020 allows the central government to regulate the supply of certain food items only under extraordinary circumstances such as war and famine.
The new act aims at creating additional trading opportunities outside the APMC market yards to help farmers get remunerative prices due to additional competition. This will supplement the existing MSP procurement system which is providing stable income to farmers.
The act will create an ecosystem where the farmers and traders will enjoy freedom of choice of sale and purchase of agri-produce. It will open more choices for the farmer, reduce marketing costs for the farmers and help them in getting better prices.
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