Question: Repealing of existing law is an indication of trying to re-engage with all the stakeholders in decision making. Discuss the long term implications of repealing the farm laws on agriculture economy.
Answer: The Parliament derives its law making power from Article 245 of the constitution. The same article gives the Parliament powers to repeal existing laws if they feel that there is no more necessity for keep the law in existence.
Reasons for repealing
- Political repercussions
Political effects of public pressure will be catastrophic for a political party. Losing elections will reduce its morale and weaken its grip over polity.
- Instability and tension
Protests from section of people will create instability in a region. There may be clashes between groups and riots can also take place. Loss of lives is a big tragedy.
- Global image
The image of political leaders will also take a hit if there is no compromise on certain issues. The reputation of the country will suffer at the global stage.
The repealed farm laws
- The Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020
- The Farmers Empowerment and Protection) Agreement on Price Assurance and Farm Services Act 2020
- The Essential Commodities (Amendment) Act, 2020
Long-term implications of repealing farm laws
- Bound to APMCs
The farm laws were said to liberalize farm sector. Farmers could have sold their produce outside mandis to customers willing to pay higher prices. Now, the power of middle-men has once again strengthened.
- Loss for small farmers
Large farmers can earn a big profit by selling their produce to mandis for MSPs. Small and marginal farmers cannot earn such a big profit as private buyers are not allowed.
- No commercialization
The farm laws had pushed for commercializing agriculture sector. There would have been boost for contract farming in India, which now has been reversed.
Thus, repealing the laws in entirety could have been avoided by only repealing parts that could jeopardize livelihoods of farmers.