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Question

Q. Consider the following statements about Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020:

Select the correct answer using the code given below:


A
1 only
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B
2 only
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C
Both 1 and 2
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D
Neither 1 nor 2
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Solution

The correct option is A 1 only

Explanation:

  • Statement 1 is correct. It creates a national framework for contract farming. The written farming agreement, entered into prior to the production or rearing of any farm produce, lists the terms and conditions for supply, quality, grade, standards, and price of farm produce and services.
  • Statement 2 is incorrect. It defines a dispute resolution mechanism. The Act provides for a three-level dispute settlement mechanism– Conciliation Board, Sub-Divisional Magistrate, and Appellate Authority.

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