Layman's guide to #FarmBills2020
Simple explaination of the APMC Mandi System and what changed under new Farm Laws.
1. Under APMC Mandis there are two type of License :
(a) Kacha Arthiya which can Directly buy from Farmers and who owns a Permanent Shop in APMC
Simple explaination of the APMC Mandi System and what changed under new Farm Laws.
1. Under APMC Mandis there are two type of License :
(a) Kacha Arthiya which can Directly buy from Farmers and who owns a Permanent Shop in APMC
and the cost of this shop can go into Crores which a small farmer or even a small trader can't buy. Usually the Kacha Arthiya is a Money Lender .
The License is given by Mandi Boards to a person who owns a Shop within the premises of APMC Mandi.
(B) Pakka Arthiya
The License is given by Mandi Boards to a person who owns a Shop within the premises of APMC Mandi.
(B) Pakka Arthiya
Pakka Arthiya is a License given to a Person or a Trader who is usually a Processor or a Trader who buys Commodities from APMC Mandi who have to rent out a Shop to obtain a license with a surety of two people from already existing Kacha Arthiya or a Prescribed Bank Guarantee to
Mandi Board
So this a system made By the Arthiyas for the Arthiyas and serve the Arhtiyas .
So every APMC Mandi has it's own Mandi Samiti with a Chairman appointed from among the Kacha Arthiya .(No Farmers).
So this a system made By the Arthiyas for the Arthiyas and serve the Arhtiyas .
So every APMC Mandi has it's own Mandi Samiti with a Chairman appointed from among the Kacha Arthiya .(No Farmers).
How this system works :
APMC mandi gives each Kacha Arthiya a Designated space in APMC Mandi where a Farmer Attached to him can bring his crop and unload it at the designated place of his Kacha Arthiya and the Auction takes place where other Kacha Arthiya + Pakka Arthiya
APMC mandi gives each Kacha Arthiya a Designated space in APMC Mandi where a Farmer Attached to him can bring his crop and unload it at the designated place of his Kacha Arthiya and the Auction takes place where other Kacha Arthiya + Pakka Arthiya
Place bids after manually inspecting the Farmers crop which is recorded in the APMC Mandi Board register.
What is the Problem ?
1.
The problem is when the cost of getting a Kacha Arth License is in Crores as one has to compulsorily own a Shop within Mandi Premises so no
What is the Problem ?
1.
The problem is when the cost of getting a Kacha Arth License is in Crores as one has to compulsorily own a Shop within Mandi Premises so no
Small Farmer or trader can own a shop in APMC Mandi
2.Even to get a Pakka Arthiya License as a Buyer you need to have two sureties of existing Kacha Arthiya or Bank Guarantee it becomes difficult for everyone to get a Pakka Arthiya License .
2.Even to get a Pakka Arthiya License as a Buyer you need to have two sureties of existing Kacha Arthiya or Bank Guarantee it becomes difficult for everyone to get a Pakka Arthiya License .
3. The Biggest Problem even If you are a Buyer you need to have a Pakka Arthiya license in each and every APMC Mandi to buy Commodity there is No Pan state Single License or PAN India single license just like GST.
So it's a License Raj to discourage Competition between buyers.
So it's a License Raj to discourage Competition between buyers.
4. So due to this License Raj even a small Atta Chakki or flour Mill ,Rice Sheller ,Oil Mill ,Cattle Feed Mill has to Get a Pakka Arthiya License from APMC Mandi
For Procurement of Commodities.
5. Even if they have Pakka Arthiya license these Atta Chakki ,Rice Sheller,Oil Mill
For Procurement of Commodities.
5. Even if they have Pakka Arthiya license these Atta Chakki ,Rice Sheller,Oil Mill
cant Buy directly from Farmers outside APMC mandis.
All Buyers have to Compulsory come to APMC mandis for Buying of Commodities.
This is done to maintain monopolies of Kacha Artiya and APMC mandis.
If any Buyer buys directly from Farmers heavy penalties is imposed on the buyer
All Buyers have to Compulsory come to APMC mandis for Buying of Commodities.
This is done to maintain monopolies of Kacha Artiya and APMC mandis.
If any Buyer buys directly from Farmers heavy penalties is imposed on the buyer
APMC mandi officials.
What changed in New Law.
Under new Law the Government has declared that State APMC acts will only be applicable within the premises of APMC Mandis and outside Mandis
The Farmer and Buyer is free to operate without any License as state government
What changed in New Law.
Under new Law the Government has declared that State APMC acts will only be applicable within the premises of APMC Mandis and outside Mandis
The Farmer and Buyer is free to operate without any License as state government
Cannot impose APMC mandi rules outside the Notified area of APMC mandis.
This broke the monopoly of APMC Mandis and Kacha Arthiya and allowed trade freely outside APMC mandi Notified market area and hence gave freedom to both buyer like Flour MillAtta Chakki,Cattlefeed Mill and
This broke the monopoly of APMC Mandis and Kacha Arthiya and allowed trade freely outside APMC mandi Notified market area and hence gave freedom to both buyer like Flour MillAtta Chakki,Cattlefeed Mill and
Farmers.
This is true Market Competition and freedom to both buyer and Farmer to sell anywhere Farmer wants .
It's an Independence to Farmer and Buyer
and Dismantling the License Raj and Monopoly of Kacha Arhtiyas.
This is true Market Competition and freedom to both buyer and Farmer to sell anywhere Farmer wants .
It's an Independence to Farmer and Buyer
and Dismantling the License Raj and Monopoly of Kacha Arhtiyas.
and the State APMC Mandis remains as it is but APMC Mandis cant operate beyond its Notified area So Farmers have a Choice to :
1. Go to APMC Mandis as Earlier
2. Sell directly from his Farm to a buyer of his own Choice .
Freedom and choice given to Farmers.
1. Go to APMC Mandis as Earlier
2. Sell directly from his Farm to a buyer of his own Choice .
Freedom and choice given to Farmers.
And if the Farmer doesn't get his desired price he cant even take back Commodity as he has to bear transportation cost .
Also if any rain or wind comes he Crop is damaged again loss to farmer.
Also if any rain or wind comes he Crop is damaged again loss to farmer.
State Mandi Boards even put Barriers at State Borders to Control the Movement of Commodities earlier and Under New #FarmBills2020 its allowed free movement of Commodities across states in India means buyers from other states can easily buy from Farmers of any state.
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