Agriculture Bill 2020: An Apolitical Analysis

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The government recently passed a bill. Outside of the physical boundaries of each state's APMC markets, it enables intra-state and multi-state exchanges of agricultural products. Only under exceptional circumstances does the federal government have the authority to control the supply of specific foods. The following are the goals of APMCs: To control the sale of agricultural products. Agriculture marketing development is restricted by APMCs in the following ways: By limiting the number of people who are allowed to purchase. The growth of private markets is stifled. The practice of selling directly to companies and retail customers is being phased out. Promoting online purchases is not a good idea. Market yards' specific properties are governed by trade committees established under state APMC Acts. This Ordinance mandates that farmers' produce be sold both intra-state and inter-state. State governments do not allow market fees, cess, or levies in the form of additional taxes. In exceptional circumstances, the central government can use this Ordinance to control the supply of cereals, pulses, potatoes, onions, edible oilseeds, and oils. Farmers struggled to defend MSPs, or minimum support rates, which they believed would be impacted by the new legislation. Just 6% of the farming community sell their goods at MSP prices, according to statistics. Since agriculture is on the State List, the Central will be unable to pass any legislation in this region. Punjab and Rajasthan are considering taking legal action to extend their APMC mandi yards' boundaries. The lost revenue from mandi fees and taxes is also a problem for states.

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