The purpose of this is study is to analyze the three ordinances which are passed in Lok Sabha (Lower house of the parliament).
Before these ordinances, the agricultural structure of our country was based on the Agricultural Produce Market Committee (APMC) Act. The act regulates the farming structure and if the lender wants to purchase the commodities from the farmer, they need a license. There is also a concept of Minimum Support Price (MSP) which is the least amount that the lender must give to the farmers.
APMC Act itself is not a flawless Act, because many lenders decided that they will not give more than the MSP, so MSP equals to Maximum Selling Price. Also, if the MSP will increase then the common people will suffer, so the situation was very dicey.
Among these three ordinances, the most controversial thing is from “The Farmers Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020”. Section 2(m) of this Act doesn’t define the territory of APMC and this is the reason why the farmer feels that the government will privatize the agriculture set-up.
The solution as of now seems very gloomy because the farmers are saying that this Act is not helpful whereas the Government has given the slogan stating “One Nation One Market”.
KEYWORDS: APMC, Maximum Selling price, Minimum Support Price, Lok Sabha, One Nation- One Market