The Hindu : Karnataka / Bangalore News : Private firms get nod to buy produce directly from farmers

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Sunday, Jun 07, 2009
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Karnataka

Karnataka - Bangalore

Private firms get nod to buy produce directly from farmers

Special Correspondent

Direct purchase by big firms will benefit farmers, says Minister

Premium Farm Fresh plans Rs. 400-crore terminal market for fruit, vegetables
It will also set up marketing chains in Belgaum, Hassan, Hoskote and Mysore, each on 100 acres

BANGALORE: The State Government has given licences to three private players — Reliance Fresh, Metro Cash and Carry and a subsidiary Mangalore Chemicals and Fertilizers (MCF) — to purchase produce directly from farmers.

Minister for Agricultural Marketing Shivaraj Tangadagi told presspersons here on Saturday that the licences were issued under the Agricultural Produce Marketing Committees Act, 1966, which was amended in 2007. Reliance Fresh has already set up retail vegetable and fruit chains in Bangalore.

The Minister said Premium Farm Fresh Ltd., owned by the Delhi-based Lalit Suri Group, proposed to set up a terminal market yard for fresh fruit and vegetables with an investment of Rs. 400 crore. The company proposed to set up four marketing chains in Belgaum, Hassan, Hoskote and Mysore, each on 100 acres of land.

The State High-Level Clearance Committee (SHLCC) headed by Chief Minister B.S. Yeddyurappa is expected to meet on June 12 and clear the proposal.

After the APMC Act was amended, only Premium Farm Fresh had shown interest in setting up marketing yards in the State, he said.

Mr. Tangadagi said direct purchase of produce by major companies would benefit farmers. However, various farmers’ organisations and trade bodies have been opposing the amendments to the APMC Act, 1966, terming it anti-farmer because it would lead to the elimination of small farmers.

Reservation

He said amendments would be introduced to the APMC Act in the coming session of the legislature to provide reservation for the Scheduled Castes, the Other Backward Classes and women (15 per cent each), and the Scheduled Tribes (five per cent) for the post of APMC president and vice-president. The APMCs would have a five-year term, but the term of the presidents and vice-presidents would be 20 months.

The president and vice-president could be removed by means of a no-confidence motion passed by a two-third majority. Earlier, they could be removed by a simple majority, he said. There are 146 APMCs in the State.

A workshop will be organised for presidents and vice-presidents of all APMCs on July 8 and 9 in Bangalore to inform them about their role and functions.

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