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Inflation in food articles during June stood at 2.04 per cent, as against 1.13 per cent in May.
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Kiran Vissa, co-convenor of National Alliance for Sustainable Agriculture, said that amendments to the EC Act have nothing to do with farmers' welfare but instead meant to please big players and agriculture companies. This is because small and marginal farmers don't have the storage capacity to attract provisions of the EC Act.
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'If these new farm laws are allowed to be implemented, there are very high chances of big increase in income of the farmers and in many states, it may even double'
Inflation in onion continued to rule high at 42.22 per cent and in potato at 43.25 per cent.
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According to official data released on Thursday, onions grew cheaper by 59.04 per cent year-on-year during the week under review, while potato prices were down by 33.76 per cent.
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The Congress leader also slammed the government's decision to cancel a food park in his constituency Amethi.
Potato, a daily consumable vegetable, witnessed maximum inflationary pressure at 60.58 per cent
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Inflation in food articles during May stood at 1.13 per cent, as against 2.55 per cent in April.
Finance Minister Pranab Mukherjee termed the rise in food inflation as an area of 'grave concern'.
To curb rising food prices, the Union government is contemplating using large-scale nuclear irradiation technologyfor increasing the shelf life of fruit and vegetables, particularly that of onions and potatoes.
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The rise in May Wholesale Price Index based inflation has been mainly on account of 31.44 per cent increase in prices of potato, 19.40 per cent in fruits and 12.75 per cent in rice.
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The government's annual Economic Survey on Friday strongly defended new farm laws, saying they herald a new era of market freedom which can go a long way in improving lives of small and marginal farmers in India. These legislations were designed "primarily" for the benefit of "small and marginal farmers", which constitute around 85 per cent of the total number of farmers and are the biggest sufferer of the "regressive" APMC-regulated market regime, the survey said. The pre-budget document defended the farm laws in the backdrop of long-running farmers' agitation at various borders of the national capital seeking repeal of these legislations expressing concern that they are pro-corporate and could weaken government regulated mandis, also called Agriculture Produce Marketing Committees (APMCs).
While reforms may translate into new opportunities for firms like ITC, Adani Wilmar and Reliance Retail, farmers are unlikely to use it for fear of upsetting commission agents.
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The government is looking at tweaking provisions of the Indian Contracts Act of 1872 to bring agreements between farmers and companies under its ambit, aiming to prevent exploitation of farm people.
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