This article talks about the third law Essential Commodities (Amendment) Bill
Essential Commodities (Amendment) Bill, which is also waiting for the President's nod now – takes cereals, pulses, oilseeds, edible oils, onion, and potatoes out of the list of essential commodities. It thus removes stockholding limits on these items except under “extraordinary circumstances”, such as war and natural calamities. It is important because:
* Amended law will attract corporate and foreign investment in the food supply chain – cold storage, warehouses, etc – by addressing fears of excessive regulatory interference
* Supply chain improvements will bring price stability – prices won’t crash after a bumper crop, nor spiral up if a crop fails. Both farmers and buyers will gain
* Better storage will also reduce food wastage
Why is it being opposed?
* Critics say price limits set for “extraordinary circumstances” are so high that they are unlikely to be triggered
* Freedom to hoard food commodities will mean corporates could beat down crop prices, hurting farmers
* Recent decision to ban onion exports casts doubt over a plan
Comments
Post a Comment
Hey !! Speak your heart below ....