Chandigarh, October 20
Apart from discussing amendments to the Agriculture Produce Marketing Committee (APMC) Act, the state Cabinet will dwell on procurement problems at various grain markets in the state at its meeting here tomorrow.
Already, the state government has passed the Contract Farming Act:2013 to protect the interest of farmers entering into an agreement with private companies to produce various agriculture products.
The Act, passed to promote diversification in the farm sector, will be rendered meaningless until the relevant amendments in the APMC Act to allow the setting up of private market yards and the freedom to farmers to sell their produce at a place of their choice anywhere in the country.
As of now, under the APMC Act, the Punjab Mandi Board has a monopoly over marketing agriculture produce. However, with the proposed amendments, private companies will be able to establish their marketing yards to procure various foodgrain and farmers will be able to sell their produce directly to parties under the Contract Farming Act.
With the setting up of private yards and allowing direct marketing, arhtiyas will not be paid commission. But all other taxes such as infrastructure cess and Rural Development Fund would have to be paid by the buyer. There will be competition between markets operated by the Mandi Board and those by private players with farmers benefiting in a big way.
If the Cabinet approves the amendments, the APMC Act may be amended during the assembly session scheduled for later this month. Sources said some members of the Cabinet had reservations on the proposed amendments.
The Cabinet would also discuss seeking relaxation in the specifications for paddy procurement. The Centre have allowed relaxation in specifications a number of times before.
In certain areas, paddy has suffered discolouration and has high moisture content. This is creating hurdles in procurement.
Apart from discussing amendments to the Agriculture Produce Marketing Committee (APMC) Act, the state Cabinet will dwell on procurement problems at various grain markets in the state at its meeting here tomorrow.
Already, the state government has passed the Contract Farming Act:2013 to protect the interest of farmers entering into an agreement with private companies to produce various agriculture products.
The Act, passed to promote diversification in the farm sector, will be rendered meaningless until the relevant amendments in the APMC Act to allow the setting up of private market yards and the freedom to farmers to sell their produce at a place of their choice anywhere in the country.
As of now, under the APMC Act, the Punjab Mandi Board has a monopoly over marketing agriculture produce. However, with the proposed amendments, private companies will be able to establish their marketing yards to procure various foodgrain and farmers will be able to sell their produce directly to parties under the Contract Farming Act.
With the setting up of private yards and allowing direct marketing, arhtiyas will not be paid commission. But all other taxes such as infrastructure cess and Rural Development Fund would have to be paid by the buyer. There will be competition between markets operated by the Mandi Board and those by private players with farmers benefiting in a big way.
If the Cabinet approves the amendments, the APMC Act may be amended during the assembly session scheduled for later this month. Sources said some members of the Cabinet had reservations on the proposed amendments.
The Cabinet would also discuss seeking relaxation in the specifications for paddy procurement. The Centre have allowed relaxation in specifications a number of times before.
In certain areas, paddy has suffered discolouration and has high moisture content. This is creating hurdles in procurement.
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