Model contract farming law unveiled, ‘onus is on states’

New Delhi, May 22

To ensure better price to farmers, the Centre on Tuesday unveiled a model law on contract farming and services not only for crops, but also for livestock, dairy and poultry products.

The draft Agricultural Produce and Livestock Contract Farming and Services (promotion and facilitation) Act, 2018, seeks to keep contract farming/services contracts outside the ambit of the respective Agricultural Produce Marketing Committee (APMC) Act of states, which will help buyers save 5-10 per cent on transaction cost.

It also provides for setting up of a dispute-settlement authority and penalty for breach of contract. “Now, the ball is in the court of states, which have to adopt the model law,” Agriculture Minister Radha Mohan Singh said.

The contracted produce is to be covered under the crop/livestock insurance in operation. “No rights, title ownership or possession of  land will be transferred or vested in the contract farming sponsor,” the draft says.

It also has a provision to ensure buying of the entire pre-agreed quantity. — PTI

Bayer-Monsanto deal gets CCI approval

New Delhi: The Competition Commission of India (CCI) has approved German giant Bayer’s proposed $66 billion acquisition of US-based biotech firm Monsanto, subject to certain 

modifications. The transaction will need to be modified by way of divestitures and behavioural remedies. The approval to the deal, announced in September 2016, assumes significance in the wake of Monsanto facing opposition from various quarters over promotion of genetically modified crops, as also over royalty and patent issues. India is one of the 30 countries whose approval is needed for merger of worldwide operations of the companies. PTI