|| Are Corporates Paying More For Farmers?
The national capital has been witnessing massive farmers protest over three agricultural bills recently passed by the Modi government. First, protesting farmers were branded as middlemen. Then came the allegation that Khalistani separatists have penetrated the protest. The ruling dispensation further claims that farmers are turning out in large numbers as they are misled by the opposition. Finally, Prime Minister Narendra Modi plunged into the scene to defend the governments agri laws. The BJP launched virulent media and social media campaign to claim that the recent agriculture bills benefit farmers.
Myth 1: Farmers have no freedom to sell their produce outside agricultural mandis. The new bills usher in freedom for the farmer to sell his produce to any buyer, thereby fetching a better price.
But, the reality is otherwise. The majority of the agricultural produce of India is already sold outside the agricultural markets. The official data shows that even for paddy and wheat, only 29% and 44% of the harvest are sold in a mandi, while 49% and 36% is sold to either a local private trader or an input dealer.
The last Situational Assessment Survey showed that of the 31 crops covered in the survey, local private traders were the main buyers in case of 29 crops.
Myth 2: The inefficient middlemen dominated, regulated agriculture markets monopolize the agricultural trade. This is harming the farmers.
Look at the facts. R Ramakumar, professor at the Tata Institute of Social Sciences, in an article in the Hindu, The perils of deregulated imperfect Agri markets writes, already 18 states have allowed the establishment of private markets outside the APMC and 19 states have allowed the direct purchase of agricultural produce from the farmers.
The National Commission for Agriculture has recommended that every Indian farmer should be able to reach a mandi in one hour by a cart. Thus, the average area served by a mandi was to be reduced to 80 sqkm. For this, the number of mandis was to increase to at least 41,000. But, India in 2019 has only 6,630 mandis with an average area served of 463 sqkm. Statistics reveal that there is an inadequate number of markets.
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|| Are Corporates Paying More For Farmers? The national capital has been witnessing massive farmers protest over three agricultural bills recently passed by the Modi government. First, protesting farmers were branded as middlemen. Then came the allegation that Khalistani separatists have penetrated the protest. The ruling dispensation further claims that farmers are turning out in large numbers as they are misled by the opposition. Finally, Prime Minister Narendra Modi plunged into the scene to defend the governments agri laws. The BJP launched virulent media and social media campaign to claim that the recent agriculture bills benefit farmers. Myth 1: Farmers have no freedom to sell their produce outside agricultural mandis. The new bills usher in freedom for the farmer to sell his produce to any buyer, thereby fetching a better price. But, the reality is otherwise. The majority of the agricultural produce of India is already sold outside the agricultural markets. The official data shows that even for paddy and wheat, only 29% and 44% of the harvest are sold in a mandi, while 49% and 36% is sold to either a local private trader or an input dealer. The last Situational Assessment Survey showed that of the 31 crops covered in the survey, local private traders were the main buyers in case of 29 crops. Myth 2: The inefficient middlemen dominated, regulated agriculture markets monopolize the agricultural trade. This is harming the farmers. Look at the facts. R Ramakumar, professor at the Tata Institute of Social Sciences, in an article in the Hindu, The perils of deregulated imperfect Agri markets writes, already 18 states have allowed the establishment of private markets outside the APMC and 19 states have allowed the direct purchase of agricultural produce from the farmers. The National Commission for Agriculture has recommended that every Indian farmer should be able to reach a mandi in one hour by a cart. Thus, the average area served by a mandi was to be reduced to 80 sqkm. For this, the number of mandis was to increase to at least 41,000. But, India in 2019 has only 6,630 mandis with an average area served of 463 sqkm. Statistics reveal that there is an inadequate number of markets. https://www.gulte.com/political-news/39596/7-myths-on-farm-bills