The Union Minister for Agriculture and Farmers Welfare has explained that the Farmers (Empowerment and Safety) Agreement on Price Assurance and Farm Services Act, 2020 guarantees that no recovery shall be manufactured from the farmer if the default by the farmer is because of to drive majeure.
In a created reply to a issue by Anand Sharma, Member of Parliament, in Rajya Sabha on Friday, Tomar explained the Act stipulates that the farmers can enter into a created agreement to promote their develop even right before sowing their crops which will assurance them to get certain selling price of their crop or develop. Consequently, it mitigates the hazard for the farmers and improves their earnings.
“Agreement will go over only the crops of the farmers and not the land, and hence the sale of land, lease or house loan is wholly prohibited. Farmer’s land is safeguarded against any recovery,” he explained.
Penalty against sponsor for non-payment may well be prolonged to a person-and-50 % moments of amount of money because of, the Minister , including: “The farmer’s legal responsibility is remaining constrained to the extent of developments presented by the sponsor or cost of farm services offered to farmer by the sponsor. No recovery shall be manufactured from the farmer if the default by the farmer is because of to drive majeure.”
Further, provision has been manufactured for resolution of disputes as a result of conciliation. In situation of failure of conciliation, any party may well solution the Sub-Divisional Authority for resolution of dispute as for every recommended method, he explained.
The Act aims to defend and empower farmers to interact with agri-company firms, processers, aggregators, wholesalers, big vendors and exporters etcetera. for farm services and sale of potential farming develop at a mutually agreed remunerative selling price framework in a good and transparent way.
Farming agreements can not be entered, if they are in derogation of the rights of a share cropper. Hence the explained Act strengthens the negotiating electric power of the farmers with regards to big purchasers / company people whilst conducting transactions, he included.