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APMC: Agricultural Market Regulation

The document discusses Agricultural Produce Marketing Committees (APMC) in India. APMCs were established under state laws to regulate wholesale agricultural markets. Each state is divided into market areas managed by Market Committees. This created a monopoly that prevented a competitive agricultural marketing system. The objectives of APMCs include defining agricultural produce, notifying market areas and yards, establishing Market Committees to regulate trade in specific commodities, collecting market fees, and appointing government staff. Reforms are needed to liberalize markets and allow direct marketing and contract farming to help farmers.

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Paridhi Bhandari
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0% found this document useful (0 votes)
336 views4 pages

APMC: Agricultural Market Regulation

The document discusses Agricultural Produce Marketing Committees (APMC) in India. APMCs were established under state laws to regulate wholesale agricultural markets. Each state is divided into market areas managed by Market Committees. This created a monopoly that prevented a competitive agricultural marketing system. The objectives of APMCs include defining agricultural produce, notifying market areas and yards, establishing Market Committees to regulate trade in specific commodities, collecting market fees, and appointing government staff. Reforms are needed to liberalize markets and allow direct marketing and contract farming to help farmers.

Uploaded by

Paridhi Bhandari
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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APMC (AGRICULTURAL PRODUCE MARKETING COMMITTEE)

INTRODUCTION

An efficient agricultural marketing is essential for the development of the agriculture sector as it provides outlets and incentives for increased production, the marketing system contribute greatly to the commercialization of subsistence farmers. Worldwide Governments have recognized the importance of liberalized agriculture markets. Task Force on Agricultural Marketing Reforms set up by the Ministry has suggested promotion of new and competitive Agricultural Market in private and cooperative sectors to encourage direct marketing and contract farming programmers, facilitate industries and large trading companies to undertake procurement of agricultural commodities directly from the farmers fields and to establish effective linkages between the farm production and retail chains. There is a necessity to integrate farm production with national and international markets to enable farmers to undertake market driven production plan and adoption of modern marketing practices Agricultural Markets in most parts of the Country are established and regulated under the State APMC Acts. The whole geographical area in the State is divided and declared as a market area wherein the markets are managed by the Market Committees constituted by the State Governments. Once a particular area is declared a market area and falls under the jurisdiction of a Market Committee, no person or agency is allowed freely to carry on wholesale marketing activities. The monopoly of Government regulated wholesale markets has prevented development of a competitive marketing system in the country, providing no help to farmers in direct marketing, organizing retailing, a smooth raw material supply to agro-processing industries and adoption of innovative marketing system and technologies. It is the duty of the Market Committee to implement the provisions of the

Agricultural Produce Marketing (Regulation) Act , the rules and bye-laws made there under in the market area to provide such facilities for marketing of agricultural produce therein as the Director may from time to time, direct do such other acts as may be required in relation to the superintendence, direction and control of markets or for relating marketing of agricultural produce in any place in the market area and for purpose connected with the matters aforesaid, and for that purpose may exercise such powers and perform such duties and discharge such functions as may be provided by or under this Act. The Act provides for establishment of Market Committees in the State. These Market Committees are engaged in development of market yards for the benefit of agriculturists and the buyers. Various agricultural produce commodities are regulated under the Act. Agricultural Commodities. According to the serial order of the delivery of the produce is taken in the Market Yard on the place of auction by standard weights and in standardized on the spot i.e. real weight is given. After taking the delivery of the produce a cash memo is prepared by the general commission agent or purchaser and one copy of memo is given to the seller with cash payment another to Market Committee and copy is kept for his own record. Thus cash payment is introduced in all the work of sales delivery & payment is finished on the same day of arrivals & the commission agent prepares a sale slip in triplicate, one copy given to purchaser, one given to Market Committee with Market fees and one for his own record and recover the value of sale from the purchaser next day with Market fee. OBJECTIVES (i) defining 'agriculture produce' to include all produce of agriculture, animal husbandry, apiculture, horticulture or pissciculture, forest produce and any other produce, live-stock and poultry;

(ii) notifying the intention of Government to regulate the purchase and sale of agricultural produce in specified area and declaration of market area and of market yard; (iii) establishment of market committees for trading in specified kinds of agricultural produce and also separate market committees within the same market area for trading in any particular kind of agricultural produce; 1966: KAR. ACT 27] APMC 427 (iv) representation on the market committee to purchasers of agricultural produce, representatives of the purchasers' co-operative societies, representatives of co-operative marketing and processing societies, municipalities, taluk boards and the Central Warehousing Corporation or State Warehousing Corporation; (v) levy and collection of market fees by the market committee; (vi) constitution of market committee funds and Central Market Fund; (vii) conferring borrowing powers on market committee; (viii) appointment of Government servants as Secretaries, Assistant Secretaries, Technical persons.

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