NITI Aayog ranks Maharashtra most farmer-friendly state

Maharashtra tops with 81.7% in NITI Aayog's new index; Puducherry, Delhi, J&K at the bottom of the list

Maharashtra has been ranked first state in the country on reforms in agricultural marketing, followed by Gujarat and Rajasthan, by the NITI Aayog.

Its first-ever index on reforms in the farm sector was issued on Monday. Uttar Pradesh, Punjab, West Bengal, Assam, Jharkhand and Tamil Nadu performed poorly, not even reaching the halfway mark of 50.

Termed the Agricultural Marketing and Farmer Friendly Reforms Index, it ranks states on three major parameters — reforms in agricultural marketing, land lease and forestry on private land. The minimum score of zero implies no reforms at all; a score of 100 would mean the opposite and the friendliest to farmers.

Maharashtra got 81.7 and Gujarat was second at 71.5, Puducherry, Delhi and Jammu & Kashmir got the lowest three grades, of 4.8, 7.3 and 7.4, respectively.

Three states and four Union Territories — including Bihar and Kerala — did not figure in the list, as these do not have any Agricultural Produce Marketing Committee Act.

“The state of Maharashtra achieves first rank in implementation of various reforms. The state has implemented most of the marketing reforms and offers the best environment for doing agribusiness among all states and UTs,” went an official statement.

Madhya Pradesh was ranked fourth, followed by Haryana, Himachal Pradesh, Andhra Pradesh, Karnataka, Telangana, Goa and Chhattisgarh.

The index is aimed at helping states identify and address problems in the farm sector, which suffers from low growth, low incomes and agrarian distress.

“Detailed study of the reforms in various states and UTs show that reforms have remained patchy, partial, sporadic and implemented in very diluted form,” the statement added.

The central government first introduced reforms in the APMCs or wholesale markets (mandis) through the model APMC law in 2003, urging states to adopt it; agri-marketing is a state subject under the Constitution. In the past decade, a majority of states have partly adopted the model law; some have ignored it.

The Centre has since decided to bring another model APMC Act to address all the concerns of states,including the subject of contract, and to facilitate the setting up of private mandis.

It has also launched the electronic agriculture market (e-NaM) portal but success here has been slow in the absence of big mandi reforms.

NITI Aayog member Ramesh Chand told journalists it would take time for states to amend their APMC laws in line with the requirement of e-NAM. “While some states have demanded fruits and vegetables to not be included under the Act, others have asked for the commodities not to be taxed,” he said.