RAJ KUMAR
Ranchi, Feb.7: Approximately 1.25 businessmen associated with the trade of agricultural produces in Jharkhand will keep their business establishments closed to protest against Jharkhand State Agricultural Produce and Livestock Marketing Act which provides for levying two percent agriculture tax on the agricultural produces entering in the wholesale agricultural markets.
Keeping their business establishments close the businessmen will organise a meeting to chalk out a strategy to ensure abolition of the act.
President of Federation of Jharkhand Chambers of Commerce and Industries (FJCCI) Kishore Mantri said that the act will only give rise to corruption and cause problems for businessmen dealing in agricultural produce.
“So far no tax was levied on the agricultural produces entering the market. In Bihar and UP the tax is not levied. In West Bengal also the tax is very nominal but the Jharkhand government has levied the tax. Purpose behind this act is only to harass businessmen. It will only give rise to price hikes and the opportunity of illegal earning to corrupt officials,” Mantri said.
The Act came into existence on February 3, 2023 after Jharkhand Governor Ramesh Bais gave his approval to the ‘Jharkhand State Agricultural Produce and Livestock Marketing Bill-2022’ passed by the Jharkhand Assembly on March 24, 2022.
Key Points of new law
- The Act allows the state to levy two percent agricultural market tax mainly from buyers and one percent tax on agricultural produce that is destroyed immediately.
- Apart from this, the Act talks about private participation in agricultural marketing and providing more market options to the farmers.
- The Governor has also given several suggestions to the state government regarding the bill, in which it has been told that in the light of this bill, comprehensive discussion should be ensured with all stakeholders during the formation of the rules. Apart from this, the rate of market fee should be fixed keeping in mind the farmers of rural and Scheduled Tribe (ST) communities of the state.
- In this bill, it has been mainly said to provide a market to the produce of farmers. There is a provision to impose a maximum slab of two percent agricultural duty on goods imported from states. There is a provision to charge one percent tax on raw materials and a maximum of one percent tax on sealed packaged goods i.e. perishable goods.
- The bill has several provisions like, a public representative nominated or elected by the state government should be made the chairman of the agricultural market committees, linking the farmers of the state with the electronic trading portal under the modern marketing system under ‘one country one market’, rural haats from the revenue received from agricultural market tax. Establishment of new markets along with modernization of markets, so that farmers can get food every 10 km.