New laws have beneficial provisions, will not hurt Tamil Nadu farmers: CM

Chief Minister Palaniswami said that procurement for the public distribution system would continue
Tamil Nadu Chief Minister K Palaniswami today said that his Government support the three farm Bills brought in by the central government as farmers in the State will not be impacted by the three laws as there are many beneficial provisions for cultivators.

The three Bills--The Farmers' Produce Trade and Commerce (Promotion and Facilitation) Bill, 2020, The Farmers' (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020 and The Essential Commodities (Amendment) Bill, 2020--passed in the Lok Sabha recently are beneficial to the Tamil Nadu farmers, Palaniswami asserted.

He said: “Unlike the Leader of the Opposition (M K Stalin), I know about farming and farmers' welfare.”

“The provisions of the proposed law will not affect the farmers of Tamil Nadu. Hence the state government has not opposed it. The situation in Punjab is different and is not comparable,” he said.

The Chief Minister said that procurement for the public distribution system would continue and that the proposed laws do not mandate farmers to have a Permanent Account Number (PAN).

Explaining the provisions of the Farmers' (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill 2020, he said contract farming in cocoa, sugarcane and poultry sectors is already being done in the state.

The proposed law will enable proper implementation of contract farming.

The law that encourages contract farming does not have any provision compelling or affecting the farmers, said the Chief Minister.

He added that farmers will get the contracted price for their produce and if the market price is higher than the contracted price, there is provision in the law for the farmers to benefit.

The central government’s law will reinforce a similar law brought in by the state government in 2019, he said.

The contract farming will also ensure the food processing industries to get an assured quality raw material. The food processing industries will increase employment opportunities in rural areas, he added.

Speaking about the provisions of the Farmers' Produce Trade and Commerce (Promotion and Facilitation) Bill 2020, Palaniswami said the proposed law provides the freedom to the farmers to sell their produce anywhere and with competition they can profit.

That apart, there is the possibility of the existing infrastructure getting upgraded.

The proposed law will not impact the Minimum Support Price (MSP), Palaniswami said adding that the Essential Commodities (Amendment) Bill 2020 enables streamlining of stockholding limit when prices of horticulture or agriculture produce increases by 100 and 50 per cent respectively.

Consumers and the farmers would benefit and there is no truth that corporates would resort to hoarding, he said.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel