Why Government is favouring Deathtrap?

All about India's new Deathtrap.

The government is misleading citizens on various issues. The right soul is very much interested in privatization amid pandemic. The recently passed bills by the upper-house are about to increase suicidal cases across the country. 

Burning Questions

What is magnifying the tensions across states? These are so-called India's new Agriculture Reforms. These reforms stand different from the rest not because of the protest associated but because of the common background of pessimistic privatization. One can smell the gamble through their long names. The most significant risk is the process followed by both the houses in passing these bills. They are given by the respected chairmen through a voice vote without a discussion, i.e., by completely scratching democracy. None from the government thought of recommending it to a committee and apply suggested measures. And now, this methodology of getting things done has become a new normal. They are favoring privatization for whom? For restless farmers? They cannot compete with the world because no one has made them this much strong. They cannot compete with established traders or business people. So how can the government think corporatization will improve their socio-economic status? It seems the government has not learned from the western world's mistake. They have not acknowledged an increase in debt and suicidal cases by farmers of European nations. But wait, these bills are not as bad as they seem unless the government adopts specific measures.

Understand the concept

As per data, only 6% of the farmers can avail MSP's and are mostly from northern states. These states receive up to 8% of their GDP from the taxes paid in the APMC's. So that is the reason why PUNJAB, HARYANA, and other northern states are having the most massive protests. The first bill privileges farmers to sell their produce anywhere in INDIA. This means that rather than APMC mandis, farmers will be attracted to private vendors who will assure them higher prices. But this is where the opposition is right. Because these private vendors will attract farmers through lucrative prices until the APMC's lose their place from the market, and after that, what? There will be no APMC, NO government organization, to compensate farmers and increase suicidal attempts. One must know that 84% of the farming community belongs to a small and marginalized group. If that is so, how can they afford the transportation cost? Then comes the second bill. This allows farmers to sign a contract with any private player who is interested in their products. I feel this not that debatable until farmers remain vigilant. This will only benefit them with reduced market predictability and the elimination of intermediaries. The last is the essential commodities act. This bill has ultimately allowed traders to hold essential commodities until they receive higher remunerative. This will only make consumers suffer. 

Solutions

A complete boycott of the currently passed bills is not possible for at least three years. We can only adopt intermediate ways to make farmers happy. 

1.  Strengthening of APMC network and its mechanism.
2. Removing mediators and improving transparency by encouraging E-NAM.
3. Allowing competition outside APMC's with fixed MSP's on all the perishable and non-perishable commodities.
4. Allowing licensed competitors paying market fees like it is paid in APMC yards. This will enable state governments to collect good revenues that can be invested in strengthening this complete framework.
5. Farmers must be able to take any trader to court against malicious activities.
6. Setting up MRP's (maximum retail prices) so that if the trader tries to store the commodity for long, he will get only the fixed-price incentive.

Conclusion

These measures, if adopted, can firmly establish the Prime Minister's vision of doubling farm income. Also, this will help to achieve sustainability in livelihood. Otherwise, one can stay with the ray of hope put forth by out dearest PM through GST, Demonetisation, and Atmanirbhar Bharat scams.