Union Cabinet clears bill to repeal farm laws, to be tabled in Winter Session of Parliament

The Union Cabinet on Wednesday cleared the 'The Farm Laws Repeal Bill, 2021' for withdrawing the three controversial farm laws that were strongly opposed by the farmers' unions.

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NEW DELHI: The Union Cabinet on Wednesday cleared the 'The Farm Laws Repeal Bill, 2021' for withdrawing the three controversial farm laws passed by the Parliament last year in view of year-long protests by the farmers' unions.

After the Union Cabinet nod, the bill will be introduced in the upcoming Winter Session of Parliament that will commence from November 29 and is expected to continue till December 23.

The Union Ministry of Agriculture is said to have finalised this Bill after holding consultations with the Prime Minister's Office (PMO).

The Farm Laws Repeal Bill, 2021 is aimed at rolling back three Bills passed into law last year - Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, Farmers' (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020 and Essential Commodities (Amendment) Act, 2020.

In a surprise move, Prime Minister Narendra Modi had announced on Friday that his government will repeal the three farm laws through the constitutional process. Delivering an address to the nation on Friday, PM Modi also apologised to the country and urged the farmers, mainly from Punjab, western Uttar Pradesh and Haryana, to end their ongoing agitation and go back home. 

The Prime Minister had also announced that the government will constitute a committee to work on a new framework for Minimum Support Price (MSP).

Thousands of farmers have been protesting against the government`s three farm laws since the Centre had passed the laws in 2020. The three farm laws are - The Farmers` Produce Trade and Commerce (Promotion and Facilitation) Act provides for setting up a mechanism allowing the farmers to sell their farm produces outside the Agriculture Produce Market Committees (APMCs).

Any licence-holder trader can buy the produce from the farmers at mutually agreed prices. This trade of farm produces will be free of mandi tax imposed by the state governments.

The Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Act allows farmers to do contract farming and market their produces freely. The Essential Commodities (Amendment) Act is an amendment to the existing Essential Commodities Act.