India Faces Loss of Rs 3,500 Crore Daily amid Farmers Protest
The Associated Chambers of Commerce and Industry of India (ASSOCHAM) has said that, India is facing a loss of around Rs 35,000 crore on daily basis because of farmer’s protest. The protest has halted the economic activities. The protests have affected the inter-connected economies of the Punjab, Haryana and Himachal Pradesh.
Implications of the protest
- The farmer’s protest has stressed over the already broken supply-chain and transport disruption which was in the recovering phase after the lockdown amid COVID-19.
- Industries including bicycles, textiles, auto components, sports goods that are exported to the foreign markets will be unable to complete their orders.
Why Farmers are protesting?
The farmers are protesting against the three farmers’ reform bill that was recently approved. The reforms include the three laws. These laws were enacted in September 2020. It has loosened the rules around the sale, pricing and storage of farm produce. They have started a peaceful protest and has named as ‘DelhiChalo’. The protest is being led by the majority of Punjabi and Sikh farmers. They are leading the charge to raise awareness about the issue on the ground locally and outside India.
The Farmers who are protesting are concerned that the new farm bill is a threat to their livelihoods.
The government and the farmers had held six rounds of talks. But the talk has failed to resolve this pressing issues. Government have maintained that, the reforms can be amended and it has been done to liberalise the farm sector. But the Farmers rejected the government’s proposal to amend the legislation.