Maharashtra most farmer friendly state: NITI Aayog Index

NITI Aayog on 31 October 2016 launched the first ever Agricultural Marketing & Farm Friendly Reforms Index. The index was topped by Maharashtra.

Maharashtra implemented most of the marketing reforms and offers best environment for doing agribusiness among all the states and Union Territories (UTs).  

Key highlights of the index

• Maharashtra topped the index with a score of 81.7 out of 100.

• Gujarat ranks second with a score of 71.5.

• Rajasthan stood third with a score of 70.0 and Madhya Pradesh scored 69.5.

• Almost two third states could not reach even halfway mark of reforms score. Major states like Uttar Pradesh, Punjab, West Bengal, Assam, Jharkhand, Tamil Nadu and Jammu and Kashmir are in this group.

• Some states and UTs either did not adopt APMC Act or revoked it. They include Bihar, Kerala, Manipur, Daman and Diu, Dadra and Nagar Haveli, Andaman and Nicobar. Therefore, they are not included in the ranking.

About Agricultural Marketing & Farm Friendly Reforms Index

• NITI Aayog launched an index to rank States and UTs that is based on implementation of seven provisions proposed under model APMC Act, joining eNAM initiative, special treatment to fruits and vegetables for marketing and level of taxes in mandis.

• These indicators reveal ease of doing agribusiness as well as opportunities for farmers to benefit from modern trade and commerce and have wider option for sale of her/his produce.

• These indicators also represent competitiveness, efficiency and transparency in agri markets.

• The second area of reforms included in the index is relaxation in restrictions related to lease in and lease out agricultural land and change in law to recognise tenant and safeguard land owners liberalisation.

• The third area included in the index represent freedom given to farmers for felling and transit of trees grown on private land. This represents opportunity to diversify farm business.

• The index has a score which can have minimum value 0 implying no reforms and maximum value 100 implying complete reforms in the selected areas. States and UTs have been ranked in terms of the score of the index.