About twenty one States have amended their Agricultural Produce Marketing Regulation (APMR) Acts to give push to the contract farming. These include states like Andhra Pradesh, Gujarat, Haryana, Karnataka, Maharashtra, Madhya Pradesh, Punjab and others.
Of them, about 13 States have even notified the rules to implement the provision. Agricultural marketing is regulated by the States’ Agricultural Produce Marketing Regulation (APMR) Acts.
In order to regulate and develop practice of contract farming, Government has been actively advocating to the States and Union Territories (UTs) to reform their agri marketing laws to provide a system of registration of contract farming sponsors, recording of their agreements and proper dispute settlement mechanism for orderly promotion of contract farming in the country.
The Central Government does not provide financial assistance either to States or directly to the farmers to promote contract farming, PIB release quoted Union State Minister Mohanbhai Kundaria.