Directions: Study the following information carefully and answer the questions given below.
____ A ____ becomes the first State in the country to enact a law on contract farming. President Ram Nath Kovind has given assent to the Agricultural Produce and Livestock Contract Farming and Services (Promotion and Facilitation) Act.
The State government said in an official release that the new law would protect the farmers during times of ____ B ____ crop or when market prices fluctuate. Farmers would be paid a pre-determined price, which had been arrived at the time of signing agreements with buyers. Such agreements would have to be registered with designated officers from the Department of Agricultural Marketing and Agri Business.
While there is no exclusive legislation regarding contract farming in any state so far at the all-India level, the state government has come up with such a law," said the release.
Contract Farming and Services Authority
The state would form a body known as Contract Farming and Services (Promotion and Facilitation) Authority. The authority will ensure proper implementation of the Act and make suggestions to the State government for promotion and better performance of contract farming.
Farmers could get support from buyers for improving productivity by way of inputs, feed and fodder and technology. Also, farmers engaged in rearing of livestock for scale of economy in production and post-production activities would be covered.
I. Contracted produce is to be covered under crop / livestock insurance in operation.
II. Contract framing to be outside the ambit of APMC Act.
III. No permanent structure can be developed on farmers’ land/premises.
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