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FARM BILL 2020 EXPLAINED

 WHAT IS FARM BILL 2020?

• Three farm bills were introduced in the Parliament on September 14 to replace the ordinances issued during the lockdown.

• The farm reform bills, that have led to widespread protests in recent weeks, have been passed by the Rajya Sabha and will now be sent for President's assent

FARM BILLS EXPLAINED

The Farmers Produce Trade and Commerce (Promotion and Facilitation) Ordinance

It will allow farmers to sell their produce at places other than the agricultural produce market committee (APMC)-regulated mandis. So, if a farmer feels a better deal is possible with some other private buyer then he can take that option instead of selling in the APMC mandi


FARM BILLS EXPLAINED

The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance

It provides a framework for farmers to enter into contract farming with private players i.e signing a contract with a company to produce what it wants in return of a remuneration


The Essential Commodities (Amendment) Ordinance

The bill gives freedom to produce, hold, move, distribute and supply items that are not mentioned in the essential commodities list. So, anyone will be able to stock food articles freely without the fear of being prosecuted for hoarding. The Parliament also removed cereals, pulses, oilseeds, edible oils, onion and potatoes from the list of essential commodities


A LOOK AT THE DATA

During Independence, about 70% of India's workforce (around 100 million) was employed in the agriculture sector. Agriculture and allied activities accounted for around 54% of India's national income.

70 % of workforce

54 % of Income

Over the years, agriculture's contribution to national output has declined sharply. As of 2019-20, it was less than 17% in gross value added terms).


Yet, the proportion of Indians engaged in agriculture has fallen from 70% to just 55%.

55 % of workforce

17 % of Income

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