Government Planning to Bring Central Law to Reduce Farmers’ Dependence on APMC

Government will soon come up with a central law to push barrier free inter-state trade and give farmers a choice to sell their produce outside the mandi premises. This would be a parallel marketing choice for growers who so far have to be dependent on the licensee traders in mandis of their respective states.

While announcing the third tranche of stimulus package, Finance Minister Nirmala Sitharaman said that farmers must not be bound to sell their agriculture produce only to the licensees in Agricultural produce market committee (APMCs).

She said, “We are bringing a central law to facilitate barrier free inter-state trade for farmers who will have option to sell their produce at an attractive price”.

This plan will promote trading on Centre’s eNAM portal that has around 1000 mandis across the country on board.

Growers will also have an option to sell their produce directly to the Farmer Producer Organizations (FPOs), big retailers & cooperatives without bringing produce to mandis.

PK Joshi of the National Academy of Agriculture Science (NAAS) said that “During Covid-19 period, farmers were permitted to sell their produce directly. Now this will act as a marketing channel parallel to theAPMCs giving bargaining power to farmers”.  

Source - Economics Times