Question : Increasing Income of Farmers

(a) whether the Government with the objective of increasing the income of farmers and providing ease of doing business, is planning to bring amendments to the Essential Commodities Act, 1995 and remove initiation of criminal procedure;
(b) if so, the details thereof;
(c) whether the Government has sought the views of the State Governments in this regard and if so, the details thereof and the response of the State Governments in this regard; and
(d) the action taken/being taken by the Government in case of negative response from the State Governments?

THE MINISTER OF STATE
CONSUMER AFFAIRS, FOOD AND PUBLIC DISTRIBUTION
(SHRI DANVE RAOSAHEB DADARAO)

(a) to (d) : The Essential Commodities Act, 1955 is amended from time to time in consultation with stakeholders including States and UTs has adequate provisions empowering the Government to take decision to increase the income of farmers and promoting ease of doing business. Recently, to improve ease of doing business Government has taken a decision under the act that, in respect of the essential commodities validity of licenses, if required, would be increase to at least not less than five years from the date of issue. Further, to encourage investment in agriculture and agro-processing industry the Government has exempted contract farming purchaser registered under the concerned Act of a State, from stock limits to the extent of quantity purchased under contract farming. Secondly, exemption has been provided to the stock of specified commodities in which derivatives trading is permissible and kept in warehouses accredited by a commodity derivatives exchange and registered with the Warehouses Development and Regulatory Authority for delivery on exchange platforms as long as these conditions are fulfilled.
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