The Managing Director of the largest farmers’ cooperative IFFCO has welcomed the Union Government move to set up National Agriculture Market- a demand made by the farmers’ lobbies for decades.
Tweeting his happiness Dr U S Awasthi said “ #IFFCO happy to learn #GOI plans #National Agri Market to bust trader cartel. This will empower farmers @PMOIndia @singhradhamohan.”
Indian farmers have been suffering at the hands of cartelization by a few who manipulate the market at their whims and fancy. On the one hand they buy the produce of farmers at a low rate given their compulsion of ready-cash, on the other they fleece the consumers by creating artificial scarcity.
Soon after coming to power NDA government launched a massive campaign against cartelization and hoarding as the issue of high inflation proved costly to the UPA govt in last election.
In the Union Budget 2014-15 Finance Minister Arun Jaitley mooted the idea of National Market for Farm Produce. It aimed at diluting the state APMC Acts to facilitate free access to farmers to the agricultural markets. It will lead to free trade and level playing fields for the seller who are farmers in this case, say experts.
The Govt also talks of “National Adaptation Fund” with an initial sum of merely Rs100 crore to meet the vagaries of climate change. A sum of Rs 1000 crore has been provided for “Pradhan Mantri Krishi Sinchayee Yojna” for assured irrigation.
To mitigate the risk of price volatility for agriculture produce, the Budget also has a sum of Rs 500 crore for establishing a “Price Stabilization Fund”.