GS Paper - 3 (Agriculture)

Parliament passed the bill to repeal the three farm laws via voice vote on 29 November 2021, the first day of the winter session. A single bill was introduced to repeal the three laws- the Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, the Farmers (Empowerment and Protection) Agreement of Price Assurance, Farm Services Act, 2020, and the Essential Commodities (Amendment) Act, 2020.


  1. The Farmers' Produce Trade and Commerce (Promotion and Facilitation) Act is basically aimed at setting up a mechanism allowing the farmers to sell their farm produce outside the agriculture produce market committees (APMCs).
  2. It means that any licence-holder trader can buy the produce from the farmers at mutually agreed prices.
  3. Farmers (Empowerment and Protection) Agreement of Price Assurance and Farm Services Act gives farmers the freedom to do contract farming and market their produce freely.
  4. Under this, farmers could get into a direct agreement with a buyer before sowing season to sell their produce at pre-determined prices.
  5. Under Essential Commodities (Amendment) Act is the amendment to the existing Essential Commodities Act, items such as food grains, pulses, edible oils, and onion are freed for trade except in "extraordinary circumstances” as per Section 1 (A) of the new law.
  6. The law also removed commodities such as edible oil, onion, and potato from the list of essential commodities.
  7. As per this law, the stock limits on farming produce would be based on price rise in the market.