3 min read.Updated: 24 Sep 2020, 09:24 PM ISTHimanshu
The retreat of APMCs may not help farmers without a regulatory framework for private markets
Among the three bills on agricultural reforms approved by Parliament this week, perhaps the most contentious one is the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020. It seeks to provide for trading areas outside mandis of an Agricultural Produce Marketing Committee (APMC). This has been a source of anger among farmers. The basic argument behind the reforms is that APMC mandis impose charges which reduce the price realization of farmers. The commission charged by middlemen is an example. By allowing unregulated trading areas beyond APMC mandis, the law seeks to remove intermediaries from agricultural trade and raise price realization for farmers.
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