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DATE: 01-OCT-2020
FARM SECTOR REFORMS
Last month, the Parliament passed three important piece of legislation with stated objective to reform and liberalize
the production, trade, and pricing of agriculture produce in the country.
The Farmers' Produce Trade and Commerce (Promotion and Facilitation) Bill
This law purports to allow farmers the freedom to sell their produce outside the regulated Mandi (APMC) framework.
The idea seems to be enable development of a new ecosystem where farmers and traders would enjoy freedom of
choice in sale and purchase of agri-produce; and the control of state over trade in agriculture produce would reduce
to minimum.
It is important to note that this reform was initiated in 2003 with introduction of Model Act. Many states and union
territories have already de regulated marketing of fruits and vegetable, trading on electronic platforms like e-NAM,
setting up of agri produce markets (Mandis) in private sector, direct marketing of agri produce etc. The reason behind
this new law therefore could be lack of adequate response to model law on part of many state governments.
The Farmers' (Empowerment and Protection) Agreement on Price Assurance and Farm Services Bill, 2020
This law aims to permit farmers to enter into supply contracts with large buyers. These contracts could be exclusive
and long term and provide more predictability to income of farmers and help them plan better in terms of adopting
better technology and inputs.
This bill effectively facilitates large scale contract farming, whereby large corporate consumers can engage farmers to
exclusively produce for them as per given specification and at pre-determined price. The bill provides for pegging of
prices to the Mandi prices. The famers adopting this arrangement may not avail the protection of minimum support
prices as they would be bound by the terms of the contract. All such contracts are proposed to have civil jurisdiction
and breach of contract shall have no criminal implications.
Essential Commodities (Amendment) Bill 2020
This bill essentially allows large business consumers to maintain stock of agriculture commodities, purportedly to
meet the objective of price stabilization. This may also help in building post-harvest infrastructure like warehouses
and cold storages etc.
The opinion about the long term implications of these bills is vertically divided.
The supporters of the proposed regime believe that these changes would bring transformative changes to the
agriculture and food processing sectors in India. The noted agriculture economist Ashok Gulati, equated these
proposals to the industrial reforms and liberalization in early 1990s. It is argued that removing the shackles of state
controls and allowing private businesses and farmers to collaborate will lead to significant acceleration in
development of farm sector in India, and aid sustainable and faster overall economic growth of the country.

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The people and organizations opposing the legislative changes believe that the proposed laws are ill conceived and
are being enforced without adequate consultation with the stakeholders. In their view, many of these provisions are
already present on the statute book and have not brought any meaningful change to the farmers' conditions in past
decade.
It is also argued that these changes will bring back the pre independence colonial model in the Indian agriculture,
where the large corporates will decide the crop and prices. The farmers will continue to be exploited; and the shield
of MSP will also be removed.
In our view, the intent behind the proposed legislations is good. The farm sector in India definitely needs urgent and
transformative reforms. But for reforms to have the desired impact, these needs to be comprehensive and holistic,
not selective as proposed.
Before commenting on the three specific agriculture sector reform related bills passed by the Parliament recently,
three points need to made clear:
A. The farm sector in India is in dire need to major reforms. These reforms are not only critical for the farm sector
alone, but for the overall economic growth of the country. The solution to most macro-economic problems, e.g.,
large scale unemployment, dwindling household savings, volatile food inflation (and therefore unpredictability of
inflation and interest rate trajectory); fiscal discipline of the governments etc. would come through these
reforms only.
B. The recent legislative changes are intended to address only two small pieces of the entire rural sector puzzle.
Land reforms and social reforms are perhaps the two bigger pieces.
C. The new legislations do not seek to change the status quo materially as most the procedures and systems
provided in the new legislations are already in practice in most of the states for past sometime. The systems like
eNAM, routing of payment through government agencies, have made some positive difference for farmers. But
these improvements are mostly insignificant for a large majority of farmers who fall in small and marginal
category.
Now coming to the first piece of legislation, i.e. The Farmers' Produce Trade and Commerce (Promotion and
Facilitation) Bill, 2020.
This legislation basically provides for three things:
1. Farmers can sell their produce to any person having a valid Permanent Account Number (PAN) in the territory of
India.
2. Any person (other than individual), including Farmer Producer Organization (FPO) and Agriculture Cooperative
Society, may establish and operate an electronic trading and transaction platform for facilitating trade and
commerce of scheduled farmers’ produce in any area outside the State APMC infrastructure.
3. The resolution mechanism for disputes arising from the trade in farm produce outside the State APMC
framework. In the two tier resolution mechanism, the first step would be conciliation (arbitration) at a panel
constituted by SDM of the area. The second step would an Appeal to Appellate Authority (Collector). No civil
court would have the jurisdiction over disputes relating to the trade specified under this law.

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To understand the implications of this law, it is pertinent to understand the existing system of trade and commerce
in the country. Especially the following points are noteworthy.
 Agriculture and trade & commerce in farm produce is a state subject as per the constitution. The states have
power to frame laws, rules and regulations for trade & commerce in farm produce. Most states have enacted
laws to constitute Agriculture Produce Marketing Committees (APMC) in their respective jurisdictions. These
APMCs appoint authorized commission agents ((Adhatiya) and provide market infrastructure to farmers and
traders. The trade is facilitated by the commission agent for a fee. APMC also charge fee on each trade executed
within their infrastructure. The total cost of trade varies from state to state is usually between 5-9% of the trade
value. The cost is usually born by the buyer. In case of inter-state trade, at many places both states involved
charge the APMC fee.
 The commission agents usually act as de facto guarantor for counter party default. They pay the farmers even in
cases the counter party defaults on payment. The commission agents also provide working capital credit to both
the farmer and the trader. This credit may be at a cost or interest free.
 In 2003 the central government had proposed a model law to reform the APMC system. The States were
requested to enact laws in their respective jurisdictions to allow private trade and commerce (outside the APMC
infrastructure) and establishment of electronic platforms. More than 20 States and Union Territories have already
adopted at some part of the model law. For example, UP, Bihar and Delhi allowed establishment of trade areas
outside APMC many years ago. In UP, the wheat procurement is mostly through government agencies only. The
payments are now done through direct cash transfer to farmers' account and payment comes within 3-7 days.
 The disputes relating to payments are now minimum. Since either the commission agent or the government
agencies act as effective counter party for farmers.
 MSP of farm produce should acts as the base price for farmers. The market price should be closer to MSP. But in
practice it is usually not the case. The small and marginal farmers (who constitute majority of the total number of
farmers) who are located at a distant from the designated APMC or other market place cannot afford to transport
their produce to the market place. The aggregator comes to them and buys their produce. In such cases the price
offered to these farmers is much lower than MSP. For example, the wheat MSP last year was Rs.1925/quintal. But
the price realization for most small and marginal farmers was Rs1600-1650 only.
Now assuming that the new system is implemented fully and private market place for farm produce develops, the
following changes would be experienced.
 APMCs, though legally allowed to co-exist may eventually become unviable. The large farmers and traders may
use the services of private markets places, electronic platforms, and direct selling. APMCs may therefore lose
large chunk of their revenue.
 The farmers may have to make alternative arrangement for working capital financing, which was so far available
through commission agents.
 The implicit settlement guarantee of commission agent or government agencies may not be available under the
new system. The disputes may rise. The resolution system available under the new law would entail
inconvenience, delay and cost for farmers.

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 MSP may stop functioning as effective base price in the new system. The price volatility may rise materially, both
in case of bumper and deficient crops.
 Marginalization of APMC in due course will make the farmers dependent upon large traders and consumers. We
must therefore evaluate this law together with the other two laws to determine the full impact.
The second piece of legislation, namely, The Farmers (Empowerment and Protection) Agreement on Price
Assurance and Farm Services Bill, 2020, primarily provides for the following four things:
1. Forward Sale Agreement: A farmer may enter into a written forward agreement with a person to sell his
produce at a predetermined price.
Any such agreement shall specify (a) the price (fixed, or benchmarked with a guaranteed minimum); (b) The time
of delivery; (c) place and method of delivery; and (d) quality specification for the produce.
The ownership and risk of output due to vagaries of nature of otherwise, shall remain with the farmer till he
offers a valid delivery to the buyer.
2. Contract Farming: A farmer may enter into a written agreement with a person to provide farm services for
predetermined fee. The service buyer shall specify the crop, quality, and other specifications, and may provide
necessary inputs like fertilizers, seeds, technical knowhow etc. to the farmer. In this case, the risk of output may
remain with the service buyer, depending upon the conditions specified in the agreement.
The new law prohibits implicit leasing or sale of agriculture land through such agreement. Also the rights of the
share cropper (the farmers who till someone’s land in lieu of a share in the crop) also sought to be protected in
the law.
3. Stock of agriculture commodities: The buyer in either of the above cited two arrangements can stock the
produce acquired under the agreement, regardless of any limits imposed by any state legislations or the
Essential Commodities Act, 1955 on such stocking.
4. Registration and Dispute Resolution: All such agreement will have to be registered with the appointed
Registering Authority. All disputes in relation such agreements shall be settled as per the resolution mechanism
prescribed in the Bill. In the two tier resolution mechanism, the first step would be conciliation (arbitration) at a
panel constituted by SDM of the area. The second step would an Appeal to Appellate Authority (Collector). No
civil court would have the jurisdiction over disputes relating to the trade specified under this law.
It is pertinent to note the following in this context:
 The forward market for agriculture commodities in India is mostly informal, unorganized and unregulated. There
are stocks exchanges and electronic trading platforms that offer future market in select agriculture commodities,
but the farmers’ participation in these markets is miniscule. These markets are mostly used by traders and
commercial consumers to either hedging or speculation purposes.
The new law permits forward contracts, but these contracts will be out of the purview of SEBI (regulator for
derivative contracts in commodities). These agreements will be unregulated.
 As already discussed, the full implementation of the new regime may decimate the extant APMC mechanism. In
that eventuality, the price discovery of agriculture produce will totally depend on the market forces. In absence
of a deeper futures market in all commodities, the price discovery may not be efficient and create harmful
volatility in food prices.

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The apprehension is that the large corporates who would in a position to dominate the markets. They may
entrench themselves deep in the agri ecosystem to dictate the cropping patterns as well prices. In this colonial
form, the farmers would be forced to grow whatever these large players want and sell at the price mostly
determined by them.
 A large number of farm holdings in the country do not have clear ownership. In many cases the registered owners
are either dead or have been excluded by the family members or encroachers. Besides, millions of farmers are
share croppers.
In respect of land holdings that are being used by share croppers; or where the farmer actually tilling the land is
not a clear title holder, entering into these agreements may not be possible.
 As we wrote, millions of marginal farmers (land holding of less than one acre) may not benefit much from these
legislation. These farmer account for more than two third of the total farm holdings.
The Parliament passed The Essential Commodities (Amendment) Bill 2020. The stated objective of the amendment
is to make sure that farmers get remunerative prices for their produce, and large scale private investment in
agriculture related infrastructure (cold stores, warehouses and agro processing industry) could be attracted. This
amendment was considered necessary to achieve the objectives of The Farmers (Empowerment and Protection)
Agreement on Price Assurance and Farm Services Bill, 2020, that enables contract farming and forward contracts in
agriculture produce.
The Essential Commodities (Amendment) Bill 2020, basically changes the following two things:
1. The power of central government to regulate the supply of food commodities, including cereals, pulses,
potato, onions, edible oilseeds and oils etc., has been limited to the extraordinary circumstances like war,
famine, extraordinary price rise and natural calamity of grave nature etc.
Prior to this amendment the powers to impose restriction on supply and trade of essential commodities were
unrestrained. Even the “essential commodities” and “circumstances” in which the government could regulate
the supply were not defined clearly in the law. The recent ban on export of onion is one example of arbitrary
action of the government under the extant law.
2. An objective criterion has been specified to define the circumstance under which stock limits could be
imposed in respect of any agriculture produce. As per the latest amendment, stock limits may be imposed on
any agriculture produce only if there is 100% or more increase in retail price of horticulture produce
(vegetables and fruits) OR 50% or more increase in retail prices of non-perishable agriculture produce like
cereals and pulses. The price increase will be seen in relation to the lower of (i) average price prevailing in
preceding 12 months or (ii) average retail price in preceding 5 years.
Such stock limits if specified shall not apply in relation to (i) already contracted export obligation; and (ii) stock of
food processing units to the extent of rated processing capacity of such units.

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Apparently, the new legal changes do not alter the status quo in respect of the following:
a) Sugar industry, which is one of the major agriculture processing industry in the two largest states of UP and
Maharashtra. The stock limits on sugar, export quotas, administrative prices for sugarcane etc. will continue as
before.
b) Industries like paper, plywood, etc. have been using contract farming to procure tree wood from farmers. The
new law does not appear to change status quo in respect of these also.
It is feared that the relaxations given under the latest amendments in Essential Commodities Act, could be easily
misused to hoard stocks of essential commodities and create artificial scarcities. In our view, many of these fears are
emanating from the empirical evidence from the decades of 1960s and 1970s, where the food grain hoarders
exploited the poor people. But that was when the foreign trade in food commodities was restricted. There are little
chance that the prices of an agriculture commodity could be manipulated sustainably even over a period 3-4months. I
am therefore not worried about hoarding etc.
Our worries are that after the bills the government appears complacent that enough has been done for the farmers;
whereas the truth may be far from it. The new laws, though a definite improvement over the present situation,
would do little to improve the condition of millions of small and marginal farmers. In concluding part next week, I
shall present my suggestions to make the farm sector reforms more holistic.
While announcing the famous Rs.20trn economic stimulus package in May 2020, the finance minister had made the
following 10 key promises for the farm sector in India. It was categorically stated that the governments sees farm
sector as a key driver of overall economic growth and also a powerful engine to drive the “self-reliance” agenda.
1. Essential Commodities Act to be amended to enable better price realization for farmers by attracting
investments and making agriculture sector competitive.
2. A central law to be enacted to provide for inter-state trade and framework for e trading of agriculture produce.
3. The government to facilitate appropriate legal framework for an enforceable standard mechanism for
predictable prices of crops at the time of sowing.
4. Financing facility of Rs.1Lakh Cr to be provided for funding Agriculture Infrastructure Projects at farm gate &
aggregation points (Primary Agricultural Cooperative Societies, Farmers Producer Organizations, entrepreneurs,
Start-ups, etc.)
5. Rs.10,000 Cr scheme to be launched for Formalization of Micro Food Enterprise (MFE) through Cluster based
approach (e g Mango in UP, Kesar in J&K, Bamboo shoots in North East, Chilli in Andhra Pradesh, Tapioca in
Tamil Nadu etc.
6. Rs.20,000 Cr support to be provided under the Pradhan MantriMatsyaSampadaYojana (PMMSY) for integrated
sustainable, inclusive development of marine and inland fisheries. Rs.11,000 Cr to be provided for activities in
Marine, Inland fisheries and Aquaculture and Rs9,000 cr for infrastructure including Fishing Harbours Cold chain,
Markets etc. Provisions of ban period support to fishermen (during the period fishing is not permitted) and
personal & boat insurance.
7. Rs.13343 Cr to be provided for starting National Animal Disease Control Programme for foot and mouth disease
and brucellosis.
8. Animal Husbandry Infrastructure Development Fund to be launched with total outlay of Rs.15,000 Cr.

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9. Rs.4,000 Cr support for promotion of herbal cultivation covering 10lakh hectare. Rs500 cr scheme infrastructure
development related to integrated beekeeping development centres, collection, marketing and storage centres,
post-harvest & value addition facilities etc.
10. Operation Green proposed to be extended from tomatoes, onion and potatoes (TOP) to all fruits and vegetables,
i.e., (TOTAL).
In pursuance of these promises, the government passed three enabling legislations in the parliament.
We have said it earlier also, and we have no hesitation in reiterating that the measures already taken and those
proposed to be taken are very important and desirable. To the question “"whether these measures sufficient or we
would need much more to attain the twin objectives of self-reliant India and sustainably higher economic growth?",
our answer is that these measure could deliver the desirable outcome only if these are implemented with the many
more structural reforms in the farm sector.
The farming sector in India is characterized by (a) small holdings; (b) low productivity and (c) landless farmers.
1. During FY11 and FY17, the total operated farm area has decreased from 160million hectare to 157.872million
hectare; number of holdings have increased from 138.35 million to 146.45 million and the average holding size
has decreased from 1.15 hectare to 1.08 hectare. For the context, the average farm size was 2.4hectare in 1971.
2. The marginal and small holdings (0 to 2 hectare) account for 86% of total holdings, covering about 47% of the
operated area. Medium (2 to 10 hectare) holdings are 13.3% covering 44% of the operated area. Large holdings
(above 10 hectare) are merely 0.57% covering 9% of the operated area.
The more important and worrying statistics however is that there are over 100mn Marginal Farmers, with
average holding of 0.38 hectare (0.9 acre) accounting for almost 68% of the total farmers. These farmers mostly
do sustenance farming, and under no circumstances can earn decent two square meals from farming activity
alone. 100mn farm holdings means about 400mn population, assuming an average family of 4. Marginal farmers
with average land holding of 1.4 hectare are another 18% or 25mn.
About 47% of the total operated area is covered by these small and marginal farmers. The uneconomical size of
holdings, which are getting further divided with the death of each farmer, ensures low productivity, poor
financial conditions, no investment capacity and perennial debt in many cases.
3. There is huge variation in land holding pattern amongst states. For example, AP and TN have largest proportion
of landless farmers (more than 50%): Bihar and West Bengal have largest number of marginal farmers (close to
60%), where Rajasthan has the largest share of large farmers. Same agri policy for all these states is bound to
fail.
4. The average monthly rural household income in India is about Rs6426 and average Monthly rural household
expenses are about Rs6223. About 85% of households earn less than their expenses. About half of this income
comes from cultivation and rest from other activities like labour (including MNREGA) and animal husbandry.
Rural household spend about half their income to buy food. There is little change in real rural wages over past
five years. Rural wages are an important component of rural income and a key determinant of minimum support
price for farm produce.
To bring any meaningful improvement in the fragile condition of India's farming community, a comprehensive rural
development effort is needed. Any piecemeal solution like occasional loan waiver shall have almost no sustainable
impact. The traditional farmer welfare measures like periodic hikes in support prices for certain crops, farm input
subsidies, interest rate subvention have not yielded the desired results.

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In our view, a sustainable improvement in Indian farmers' conditions is possible only under a comprehensive rural
development mission. The mission should address the problem with structural reforms at three levels, viz., 1. Farm
Level; 2. Policy Level and 3. Social Level. All reforms must be pursued "urgently, vigorously, simultaneously" and in a
fully integrated fashion, for having a meaningfully sustainable impact.
Farm level reforms
At farm level farmers are struggling with a multitude of problems. The most prominent being:
(a) Uneconomical land holdings (fragmented holdings, unclear land titles)
(b) Low productivity
(c) Vagaries of nature (frequent droughts & floods)
(d) Poor price realization
(e) Poor market access
The measures initiated so far, e.g., higher support prices, cheaper credit, crop insurance, improved irrigation, cash
fertilizer subsidy, better market access (eNAM, roads etc.) have positive impact on the state of agriculture in the
country. But this may not be sufficient, as it will have only some incremental impact on the sector. What we need is a
set of radical reforms that would break the linearity and provide much greater impetus to growth.
The following ten steps, besides other measures, if taken immediately may help in significantly improving the
conditions at the farm level:
(i) Enforce land consolidation by linking subsidies and facilities to a minimum farm size. Village or Block level
farm cooperatives should be encouraged to achieve this objective. Changes in tenancy rules and allowing large
scale leasing by corporates could be misused to exploit of farmers.
(ii) Digitize all land titles within 2years. Enforce time bound Panchayat level resolution of all title disputes
preferably through mediation.
(iii) Change government procurement system. Government should provide all inputs and technical guidance to
the participating cooperatives, and take 50% of the crop in lieu of this. The balance crop should pay for the labor
cost and profit. This will ensure three things: (1) Guaranteed timely supply of quality inputs; (2) No debt burden
on farmer in case of crop failure. The government can take adequate insurance for recovery of its costs; and (3)
Adequate profit to the farmers.
(iv) The landowners who have never engaged in farming activity in past two decades should be forced to give
away their landholdings to cooperatives at 50% discount. Anyways these landowners let out their land on crop
sharing basis or nominal lease rental.
(v) Make sure not a single drop of river water flows into the ocean from India. Develop river linking and water
distribution grid on the models of roads.
(vi) Allow corporates to develop waste and barren land for farming purposes. For example, many corporates
from India and Arab world may be interested in developing Rajasthan and Gujarat desert and barren lands for
growing dates, palm, aloe etc.
(vii) Set up a price equalization mechanism through participation of private corporate sector. Encourage building
large scale storage capacities for farm produce. Assure a regulated return of 10% premium on bench-mark
yields, and allow bonds issued by warehouses as SLR securities PSL assets.

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(ix) Take factories to farms. Encourage industry to partner with farm cooperatives to set up food processing
units at the farms. The farmers' cooperative allots land and provides farm produce, whereas the entrepreneurs
contribute capital and undertake marketing and sales responsibilities. Both share the profit in pre-agreed ratio.
This should maximize profit of both the industrial enterprise as well farmers, and create ample employment
opportunities close to villages.
(x) Assist the famers in the water deficient areas to move away from water intensive crops like Paddy,
Sugarcane, Banana etc. Provide them cash incentive, technical assistance, marketing & sales assistance and
necessary inputs to move to less water intensive cash crops.
Policy level reforms
The condition of Indian farmers is no better than those of bonded labors. Various governments have been exploiting
them, giving occasional doles and expecting favors in the form of votes. No one has considered making these farmers
self-reliant - financially secure and economically viable. Unfortunately, the farmers have also been quite satisfied with
occasional doles and have not been seeking redemption from slavery.
The recent episodes of loan waivers, interest subventions, hike in MSP etc are nothing but the new blanket and
packets of sweets offered to the farmers so that they survive the chilly winter. Anyone assuming it to be anything
more than that is seriously mistaken.
We believe that this is the primary reason for Indian economy not being able to grow faster on sustainable basis.
Unless, two third of the population earns enough so that it can adequately consume, save and invest - it may be
actually foolish to believe that an inwardly oriented economy like India can consistently grow faster.
The following are some of our ideas for the policy level reforms. These ideas are based on the insights gained
through numerous interactions with the farmers, organizations and individuals working in rural areas for welfare
of the farmers, local administrators etc.
1. Exit all industrial and banking activities and actively undertake agricultural activities. It should develop
barren lands; develop water bodies and irrigation facilities; develop and use technology for enhancing
productivity; give employment to landless farmers; take risk with new technologies & crops; partner with
marginal farmers in consolidating their land and do farming on that land - just the way it undertook
industrial activities immediately after independence.
2. Undertake, on mission basis, the task to re-skill the underemployed farmers and farm labor. The farmers
and their family members may be trained as dairy workers, domestic help, nurses, tourist guides, artisans,
etc. Expecting construction sector to absorb all surplus farm labor is a bad idea.
3. Develop at least 5 very large special agri export zones in rocky and desert areas of central and western India
and undertake export of farm produce as a commercial activity. These zones may be developed in public,
private or joint sector. Besides, it may acquire farm assets, especially rice farms, overseas to reduce water
intensity of Indian agriculture.
4. Encourage various states to make bilateral or multilateral agreements for procurement, processing and
trading of farm produce and movement of labor within states.
5. Nationalize all rivers. Develop a national water grid. Set up a national water regulator, who shall work out
water sharing formula for all states and union territories every three year and maintain adequate provisions
for managing droughts. The idea should be to ensure that not a drop of river water flows into sea from
India.

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Social reforms
The disproportionate rise in aspirational consumption; distortion of social customs (especially marriage, death, birth)
for the sake of vanity, ignorance, and misguidance; rise in crime and litigation expenses; rise in cases of chronic
diseases and hence prohibitive healthcare expenses form an overwhelming part of "farmers' debt". This debt usually
has nothing to do with farming activity. This is in fact true for a large majority of urban poor and lower middle class
people also. To cure this problem on sustainable basis, it is important that economic reforms are implemented with
social reforms.
The social initiatives like focus on cleanliness, cooking gas connection to BPL families, medical insurance, etc are
commendable,. But what we need is a social renaissance. Small correction and incremental improvement might not
be enough given the serious nature of the problem, in our view.
We would suggest the following specific programs at social level:
(a) The government should take strong affirmative steps to eradicate social distortions that have crept in over a
period time in our social, religious and cultural events.
To begin with the government should totally nationalize the religious part of the birth, death and marriage
ceremonies. The government should appoint qualified religious persons (QRP) who can perform these
ceremonies at the designated venues established by government in every Block of the country. All the expenses
like salary of QRP, cost of performing the rituals, food offered to QRP, cost of feeding upto 20 close relatives of
the person for whom the rituals are being done, etc. should be borne by the government. Special officers may be
appointed to supervise all such ceremonies and issue certificate (Birth, Death, Marriage) on the spot.
The government should actively discourage profligate spending on the social part of these events. All expenses
on marriage & birth related parties and social functions relating to death, may be taxed @100%. Meaning, if
anyone wanting to spend Rs10,00,000 on marriage party of his/her child, he/she shall be required to pay an
equivalent amount as tax. This money may be used exclusively for performing the religious ceremonies stated
above.
(b) A dignified birth and death shall be made fundamental right of every citizen.
In case of birth, the government should assume responsibility of the child from the conception stage, for upto
two children for each parent. This includes good diet for mother, medical tests, medicine, delivery expenses and
immunization of the child. This should be done on a global standard basis not the way typical government
medical facility is run by the government. In case of death, the final rights of the deceased should be performed
in a dignified manner, as per his/her religious traditions. This should apply to all unclaimed and unidentified
bodies also.
(c) All regular visitors to the holy shrine of Mata Vaishno Devi in Jammu, who are more than 50years of age,
would vouch that the assigning the administration of the shrine to an independent Board in 1986 has led to
dramatic improvement in the management and infrastructure in and around the Shrine. No one's religious
feelings have been hurt and the number of pilgrims visiting the holy cave has multiplied exponentially.
The government may consider constituting an autonomous constitutional body like Election Commission to take
over the management and administration of all places of worship in the country to put an end to rampant cases
of exploitation, mismanagement, money laundering and other disputes, encroachment of public land,
environment degradation, and promote secularism, brotherhood, tolerance etc.

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