Let me take another example. When MacDonald’s entered India in the 1990s, it needed a particular variety of potato to make fries. That variety wasn’t grown in India.
It sought support from the Canadian company McCain, which tied up long-term contracts with farmers in Gujarat for cultivating that particular potato variety under contract. This has proven to be mutually beneficial to both the farmers as well as the McCain-MacDonald combine.
Now, not only does McCain supply potatoes to MacDonald’s, but it also makes a number of ready to fry potato products not only for the Indian market but also exports these to South East Asia, China and elsewhere, thereby, establishing India as a part of the global supply chain in the food processing industry.
So, it is a complete lie to say the new contract farming law will hold farmers hostage to corporate interests and is a backdoor ploy to snatch lands from them and hand them over to large companies allegedly aligned to the ruling party. In fact, there are express provisions within the proposed laws the protect the rights of farmers against corporate dominance.