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Chhattisgarh govt wants withdrawal of ordinance on farm produce trade

Bhupesh Baghel stated in a letter to the PM that the ordinance is against the agrarian community’s interest and has pleaded for its withdrawal at the earliest.

Updated on: Jul 20, 2020, 15:06:43 IST
Hindustan Times, Raipur | By
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Chhattisgarh chief minister Bhupesh Baghel has joined his counterpart in Punjab and has drawn Prime Minister Narendra Modi’s attention to the farmers’ Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020, promulgated on June 5.

On Sunday, the CM wrote to the PM, claiming the ordinance would reduce employment opportunities and is at odds with the country’s federal structure and the welfare state model. (HT photo)
On Sunday, the CM wrote to the PM, claiming the ordinance would reduce employment opportunities and is at odds with the country’s federal structure and the welfare state model. (HT photo)

He has stated in a letter to the PM that the ordinance is against the agrarian community’s interest and has pleaded for its withdrawal at the earliest.

On Sunday, the CM wrote to the PM, claiming the ordinance would reduce employment opportunities and is at odds with the country’s federal structure and the welfare state model.

The CM said that Chhattisgarh is an agriculture-dependent state and 70% of its population is engaged in farming and allied activities.

Baghel stated that significant progress has been made in the production of paddy, maize, sugarcane, and soybean through the advanced technology, quality seeds, and various schemes of the state government that sought to safeguard farmers’ interest.

The state primarily grows paddy, which is procured by Chhattisgarh State Cooperative Marketing Limited in Raipur, on behalf of the Central government-run Food Corporation of India (FCI), at a minimum support price (MSP).

Chhattisgarh supplies locally-produced usna (parboiled) rice, which helped the country successfully combat the raging coronavirus disease (Covid-19) outbreak, the CM said.

He pointed out that the ordinance allows farmers and traders to buy and sell farm produce outside mandi premises, exemption on a fee on the sale of notified agricultural produce, and transactions can also be made by those who don’t even have a licence and a Permanent Account Number (PAN).

Baghel joined the issue for a uniform rule, citing that “different types of agricultural produces are produced in various parts of our country, where marketing practices are influenced by the corresponding nature and conditions of the farmers, whose interests are safeguarded under the Mandi Act”.

He batted for farmers and said that farm folks are at the mercy of market forces.

“The efforts to increase agricultural production are meaningless and unprofitable until the marketing of agricultural produce at a reasonable price can be ensured in the interest of farmers. The Mandi Act has been implemented in a bid to achieve this objective. The Act is periodically amended by the Central government to include single registration, online trading, private mandi premises, direct purchase, single-point market fee, and marketing of livestock. The mechanism seeks to enforce a transparent and competitive system in the private and public sector,” he stated in the letter.

Baghel cited that the Mandi Act is rational in its present form. However, if any modification is required, the state government is equipped and open to such a suggestion, he added.

The CM warned that the ordinance seeks to make the Mandi Act ineffective and lakhs of farmers in the unorganised sector would be at the mercy of unbridled market forces amid the adverse economic impact of the raging coronavirus disease (Covid-19) outbreak.

At present, the Mandi Act stipulates that a farmer can sell his agricultural produce anywhere outside or inside his native state without paying any market fee.

But the ordinance aims to do away with the existing mechanism, much to the dismay of hapless farmers, Baghel added while pointing out the cascading effect such as joblessness to hamals (porters), tulais (those who are engaged in weighing the farm produce) and many others indirectly connected to the mandis, including officials and employees, which don’t augur well for a welfare state like India, the letter stated.

He also urged the PM to take note of the proposed closure of an open auction bid at a mandi -- an electronic tender process -- that seeks to ensure competitive price mechanism for agricultural produces that could immensely harm farmers’ commercial interests.

  • Ritesh Mishra
    ABOUT THE AUTHOR
    Ritesh Mishra

    Ritesh Mishra is the State Correspondent for Chhattisgarh with Hindustan Times. He reports on Maoism, internal security, politics, mining, governance, and major developments shaping the state. Based in Raipur, he has covered Chhattisgarh since 2016, reporting extensively from the Bastar region and other conflict-affected areas. With nearly two decades of experience in journalism, Ritesh has built a reputation for ground reporting from some of India's most challenging terrains. His coverage spans Left-Wing Extremism, counter-insurgency operations, elections, tribal affairs, environmental issues, infrastructure, mining, and socio-economic developments. He has reported on major security operations, policy initiatives, wildlife crime, and the changing dynamics of conflict and development in Central India. Before moving to Chhattisgarh, Ritesh spent eight years reporting from Madhya Pradesh, covering politics, administration, crime, development, and social issues. Throughout his career, he has reported on various forms of extremism in Central India, combining field reporting with in-depth analysis to produce accurate, balanced, and impactful journalism. Prior to joining Hindustan Times, Ritesh worked with The Pioneer and The Free Press Journal, where he covered a wide range of beats and honed his skills in political, investigative, and field reporting. His reporting is marked by exclusive stories, extensive fieldwork, and a commitment to factual, on-the-ground journalism that brings complex issues to a wider audience.Read More

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