No Out Of Court Settlement, PepsiCo Must Withdraw Case Against Farmers: AIKS
Image Courtesy: Business Standard
New Delhi: The legal tussle between multinational giant PepsiCo and potato farmers in India has intensified. In a court hearing in Ahmedabad on April 26, the company has gone ahead to suggest an out-of-court settlement of its case against the farmers offering some conditions. The company has said it wants farmers to sign an agreement for buying the registered variety of FC-5 potato seeds and selling the produce to the company only. It has further demanded that farmers give an undertaking that they would never buy and sow the said registered variety of FC-5 potato seeds in future. The move of the company comes in the backdrop of a strong campaign in India against PepsiCo products, specifically its potato chips brand Lays.
On the day of the hearing of the case, the All India Kisan Sabha (AIKS) organised a press conference in New Delhi, seeking intervention of the Narendra Modi government to protect the potato farmers in Gujarat, who have been implicated by the multinational corporate PepsiCo, demanding that the company should withdraw its case.
PepsiCo India had filed lawsuits against four potato farmers from Sabarkantha in Gujarat on April 11 for “illegally” growing and selling potato variety FL-2027, for which the company is the registered breeder, asking the farmers to pay a compensation of Rs 1.05 crore each. On the company’s plea, the Deesa court had appointed a senior clerk as the court commissioner to inquire into the dispute by visiting the premises of the two farmers in their village and file a report.
The AIKS stated that the case by PepsiCo is a violation of Protection of Plant Varieties and Farmers Rights Act, 2001 that clearly mentions the right of farmers to “save, use, sow, resow, exchange, share or sell his farm produce including seed of a variety” so long as he does not sell branded seeds.
Farmers’ unions and activists are fighting back against the food and beverage giant, making this the latest battle in India between local businesses and big global players.
Speaking to Newsclick, Hannan Mollah General Secretary, AIKS, said, “If at all, it is PepsiCo that should be sued for spying on the farmers in a clandestine way, hiring a private detective and then suing the farmers. That is absolutely unethical and immoral.”
He added, “The farmers have been sued for over Rs 1 crore each, the small farmers, even if they sell off their lands will not be able to pay off the money sought by the firm, we are gearing up to launch an agitation against the company and a campaign to boycott their lays chips to defeat their pro corporate and neo-liberal policies.”
AlKS along with other peasant organisations has also approached the Protection of Plant Varieties and Farmers’ Rights Authority (PPV&FRA) asking for urgent intervention.
The organisation stated “This is a test case of the corporate exploitation of farmers under the WTO regime. Previous central governments led by both Congress(I) and BJP are responsible for completely surrendering the rights of the peasantry and the nation in favour of corporates.”
The out-of-court settlement would eventually depend on the willingness of the four farmers to accept the same or not. In the meantime, the legal counsel representing the farmers have sought time till June 12 for filing written submissions based on the allegations made by PepsiCo. In the interim, the court’s previous order of a stay on farmers growing and selling the potatoes continues till the next hearing on June 12.
In the meantime, the AIKS and the Centre of Indian Trade Unions (CITU) along with other peasant organisations and trade unions will mobilise people to boycott ‘Lays’ and other products of PepsiCo till the cases against farmers are withdrawn.
Also read: https://www.newsclick.in/potato-farmers-seek-govt-help-after-pepsiCo-slaps-rs-1-cr-lawsuit
CITU Backs Farmers
The CITU issued the following statement on the April26 extending solidarity to the boycott call:
The Centre of Indian Trade Unions expresses its solidarity to call given by All India Kisan Sabha(AIKS) to boycott of Lays and other potato products of PepsiCo till the vindictive cases against potato farmers of Gujarat are withdrawn.
The PepsiCO filed a case in Ahmedabad High Court against some small potato farmers of Gujarat alleging cultivation of a particular variety of potato which the MNC considers prejudicial to their interest and lodged a claim of Rs 1.05 crore to be paid by those concerned farmers for such cultivation. The case by PepsiCo is an arrogant violation of Protection of Plant Varieties and Farmers Rights Act 2001 which clearly mention the right of the farmers to "save, use, sow, re-sow, exchange, share or sell his farm produce including seed of a variety" so long as he does not sell branded seed, as argued by AIKS.
The AIKS has already asserted in its statement dated 25th April 2019 that “AlKS along with other peasant organisations has already approached Protection of Plant Varieties and Farmers’ Rights Authority (PPV&FRA) asking for urgent intervention. This is a test case of the corporate exploitation of farmers under the WTO regime. Previous central governments led by both Congress(I) and BJP are responsible for completely surrendering the rights of the peasantry and the nation in favour of corporates. Both the parties must clarify their stand in this case.”
The Centre of Indian Trade Unions while joining wholeheartedly the farmers’ organizations including AIKS in denouncing the vindictive action of the Multinational Corporations like PepsiCo in abrogating the farmers’ right to produce and choose to produce in an independent country in patent abuse of the so called WTO rules and the shameful lukewarm and indulgent attitude of the Modi Govt towards the MNCs exploiting the Indian Farmers, calls upon the working class to firmly stand by farmers demands in solidarity.
CITU upholds the AIKS call to people for boycotting the “Lay” potato chips and other potato products of PepsiCO in this matter and calls upon the working class and their trade unions to actively organize such boycott throughout the country in coordination and collaboration with AIKS activists till the central govt intervenes and compels the PepsiCo to withdraw the case against the potato farmers of Gujarat.
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