Government repeals three new Farm Laws - An update

The PM finally announced a repeal of the contentious Farm Laws. An update.

Government repeals three new Farm Laws - An update

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• The story: In Sept. 2020, the government passed three new "Farm Laws" in the Parliament, amid a lot of din and opposition. It claiemd that the new laws will significantly and positively alter the business scene for farmers in India. But protests commenced soon thereafter. On 19th November 2021, the PM personally appeared on TV to announce the repeal of the laws.
• From Ordinance to Acts to Repeal: The journey of the three 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; and The Essential Commodities (Amendment) Act, 2020 — began on June 5, 2020, when the President of India promulgated three ordinances­ that were the precursors to these Acts.

1. These three ordinances — The Essential Commodities (Amendment) Ordinance, 2020; The Farming Produce Trade and Commerce (Promotion and Facilitation) Ordinance, 2020; and The Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Ordinance, 2020 — were replaced the aforementioned Acts that were passed by Parliament in September 2020.
2. The government had then claimed that the agriculture sector was in need of the long-pending structural reforms that would make it more competitive and productive. Private sector's large-scale entry would enable investments sorely missing since years. Farmers' incomes would rise in time. But the farmers were not convinced, and felt that the agri sector was being "handed over" to mighty corporations that would take away their rights eventually.
3. The implementation of these laws was already stayed by the Supreme Court on January 12, 2021, in light of intensifying protests by the farmers. So, these laws were in effect for only 221 days.

• Killing the laws: Parliament has the authority to enact, amend, and repeal any law. The government will have to move motions to repeal the three farm laws in the coming session of Parliament. These motions will be moved by the same ministries that piloted the Bills to enact these laws. The move to repeal is being seen widely as a very contentious one, with a vertical split between the supporters of the new farm laws and those who opposed it bitterly.

1. Many feel that this sudden repeal - after months of strong support from the government and lack of any inclination towards repeal - is due to pressure of upcoming assembly elections across multiple states
2. Some feel that the government (the PM) has shown sympathy and compassion towards the farmers who have camped at many places for months, and hundreds have lost their lives

• Reason for the turnaround: No official reason was cited, but the decision was just ahead of the Winter Session of Parliament from November 29. In the last session of Parliament, the opposition had attacked the government strongly over the laws, and it led to acrimony and impacted the functioning of the Houses. The government was upset that many important works were left undone.

1. The PM made his announcement before the announcement of crucial Assembly elections in five states — Uttar Pradesh, Punjab, Uttarakhand, Himachal Pradesh, and Goa. The BJP’s performance in the civic polls in Punjab in 2021, and in Assembly byelections in Haryana, were dismal.
2. The farm laws were billed as part of historic reform in agriculture. For the moment, it is now on hold.
3. Farmer organisations started protesting since October 2020, and despite multiple rounds of talks with the government were adamant on total repeal in the Parliament. Any other concession was not acceptable to them. Agitating farmers occupied many crucial roads, and the matter went to the Supreme Court which constituted a committee to consider the matter (CJI then was Justice Bobde). But nothing happened, and the face-off only intensified with time.
4. The matter went global with many celebrities writing on it, and the government reminding them of this being an internal affair of India.
5. You can watch a full video session on Farm Reform Laws here - https://youtu.be/TX1svJu-HYY

• What next: After being forced to take back these laws that it loudly proclaimed as “historic”, the government will doubtless have to walk the path of reform very cautiously. The Modi government’s image (among its supporters) is that of resolute strength and invincibility. There is one earlier example of the Narendra Modi government withdrawing similarly. During its previous term, the Modi government had withdrawn a contentious ordinance, which was brought to amend the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement (RFCTLARR) Act, 2013.

1. That ordinance was withdrawn due to strong opposition. When the government introduced a Bill to replace this ordinance in Lok Sabha on February 24, 2015, the Opposition attacked the government over the proposed changes in the Act. The Bill was passed in Lok Sabha on March 10, but it failed to clear Rajya Sabha, where the government’s position was weaker at the time.
2. Although a notice for motion for consideration and passing of the Bill was given on March 13, it could not be taken up for consideration as Rajya Sabha was prorogued on March 28. When the Bill again failed to get approval of Parliament during the first leg of that year’s Budget Session, the government promulgated it again as the RFCTLARR (Amendment) Ordinance, 2015 on April 3.

• 'Suit Boot ki sarkar': At that time, leader of Congress Rahul Gandhi had attacked the government (Lok Sabha, April 20, 2015), claiming it was a government of the industrialists, which was weakening the labourers and farmers. The Bill was later referred to a Joint Parliamentary Committee for examination. On May 30, the government reissued the Ordinance, as the RFCTLARR (Amendment) Second Ordinance, 2015. But amid anger against the amendment, the PM announced the decision to withdraw the Ordinance on August 31, 2015. Eventually, the Bill lapsed with the dissolution of the 16th Lok Sabha.
• Summary: There is little doubt that the farm sector, which contributes less than 20% of India's annual GDP but engages nearly half of the workforce, needs significant reforms. But the government may need to work on a reconciliatory approach from here on. You can watch a full video session on Farm Reform Laws here - https://youtu.be/TX1svJu-HYY
• EXAM QUESTIONS: (1) Explain the goals with which the present government brought the three new Farm Laws. (2) What went wrong with the implementation of new farm laws in India? Why were farmers not convinced of the merits? Why did the Supreme Court stay the laws? Explain.

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