Decks cleared for State govt. to frame rules on contract farming

Centre makes public rules for Farm Act

October 20, 2020 02:28 am | Updated 02:28 am IST - CHENNAI

The Central government’s notification of rules for the law on contract farming — Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act — has paved the way for the State government to finalise its set of rules early.

Through a gazette notification dated October 16, the Centre made public its rules for the Act. The website of the Union Ministry of Agriculture and Farmers’ Welfare has published the rules, which have only laid down a framework for dispute resolution.

Conciliation board, sub-divisional authority and District Collector concerned form the layers of the dispute resolution mechanism.

According to Section 23 of the Act, State governments too are empowered to frame rules on matters such as the mode and manner of payment to farmers; constitution, composition, powers and functions of registration authority; the procedure for registration and any other matter.

The feature of mode and manner of payment to the farmers can address the issue of the agriculturists getting a fair price for their produce as sections of the farmers and activists have expressed concern over the absence of reference in the law to the minimum support price (MSP).

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