Economic Outlook

03 Jan 02:08PM

The draft model contract farming act will ensure better price realisation for farmers for their produce and encourage food processing companies to invest in infrastructure and farming technology, as per a report in Economic Times. Stakeholders including contract farming and value chain promoting companies, producers’ organisations and farmers have been asked to submit their feedback on the model act available on the website of ministry of agriculture latest by 6 January 2018 [see here] . Various industry and agricultural experts have welcomed the draft model act. However, a careful review of some of the conditions in the draft act to ensure balanced protection of all stakeholders and to avoid any red-tapism in proposed structure has also been suggested. Experts believe that this would encourage investments and broader use of technology in the agricultural sector, leading to greater productivity and efficiency thereby resulting in increased farmer incomes and food security.