Farm Sector Reforms - 3
Continuing from yesterday (see Farm Sector Reforms – 2 ) The second piece of legislation, namely, The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020 , primarily provides for the following four things: 1. Forward Sale Agreement: A farmer may enter into a written forward agreement with a person to sell his produce at a predetermined price. Any such agreement shall specify (a) the price (fixed, or benchmarked with a guaranteed minimum); (b) The time of delivery; (c) place and method of delivery; and (d) quality specification for the produce. The ownership and risk of output due to vagaries of nature of otherwise, shall remain with the farmer till he offers a valid delivery to the buyer. 2. Contract Farming: A farmer may enter into a written agreement with a person to provide farm services for predetermined fee. The service buyer shall specify the crop, quality, and other specifications,...