International Monetary Fund praises agriculture law, it is likely to lead to significant improvements

-However also vowed to provide social security to the deprived

Washington / New Delhi Dated 15th January 2021 Friday

The International Monetary Fund (IMF) welcomed the new agricultural law enacted by the Government of India and said that the law could lead to significant reforms in India's agricultural sector.

Gary Rice, the IMF's director of communications, said the law would reduce the role of intermediaries and brokers and increase efficiency. "We believe that this agricultural law will lead to significant improvements in India's agricultural sector and will greatly benefit farmers," Rice told a news conference in Washington on Thursday.

However, he added that social security should be provided to those who are adversely affected by the implementation of the law. This law will enable farmers to contact traders directly. No intermediaries or brokers are needed. So in addition to benefiting farmers, there will also be progress in rural development. At the press conference, Rice was asked about the agitation by farmers in the Indian capital, Delhi.

Rice also praised the law, adding that the government should also provide social security to those whose businesses are adversely affected by the law. He said that the effective implementation of this law and the benefits to the farmers depend on the timing of its implementation. He added that the law needs to be amended if necessary.

The so-called farmers of Punjab and Haryana in particular have been protesting against the law for the last fifty days. However, the Supreme Court has now issued a stay order against the law. The Supreme Court also constituted a four-member committee comprising four agricultural experts. However, one of the members resigned from the committee on Thursday.

In September last year, the central government enacted three new agricultural laws, saying they would bring about a major change in the agricultural sector, abolish the practice of brokers and allow farmers to sell their produce in any part of the country.