Government working on integrated domestic market for farm products

The government is in the process of setting up a high-power committee to look into all issues related to internal trade reforms so as to make a common market for agriculture products across the country, minister of consumer affairs, food and public distribution K V Thomas said in New Delhi today.

Integrating domestic markets for goods and services is a real challenge and the government is aware of all the issues involved. However, efforts are being made to remove all restrictions and barriers for this purpose and tackle the issue in a systematic manner, he said.

Thomas was addressing a seminar on `Inter-State Trade Barriers – Concerns & Solutions', organised by the ASSOCHAM in partnership with The Institute of Cost Accountants of India and ITC Limited.

The issues are quite complex as they encompass a vast area that include laws, most of which are seen as outdated. Besides, there are problems for transportation of goods as they traverse through different states and union territories, with each region having its own sets of rules and regulations on trade and industry, not to mention environmental issues that pose a challenge, rightly so if seen from its angle, to economic development, the minister acknowledged.

He said the government is quite aware of all these issues and the challenges they pose to a vibrant economic order in the country. However, the government is committed to integrating the domestic market for all goods and services, he said.

''The time has come for us to consider the entire country as a common or single market for agricultural products,'' he said, adding that controls and regulations have to systematically removed in order to enable direct marketing between farmers and NGOs, cooperatives and private companies.