Fruits And Veggies No Longer To Be On The APMC List
Post on 19,November 2017   5:00 AM
By - PolyEyes Staff
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The Finance Minister conveyed in his budget speech that the States would be urged to de-notify perishables from APMC.

What is APMC? Agricultural Produce Market Committee (APMC) is a statutory market committee constituted by a State Government in respect of trade in certain notified agricultural or horticultural or livestock products, under the Agricultural Produce Market Committee Act issued by that state government.

APMCs are intended to be responsible for:

  •  ensuring transparency in pricing system and transactions taking place in market area;
  •  providing market-led extension services to farmers;
  •  ensuring payment for agricultural produce sold by farmers on the same day;
  •  promoting agricultural processing including activities for value addition in agricultural produce;
  • publicizing data on arrivals and rates of agricultural produce brought into the market area for sale; and
  • promote public private partnership in the management of agricultural market.


There are about 2477 principal regulated markets based on geography (the APMCs) and 4843 sub-market yards regulated by the respective APMCs in India.

The typical amenities available in or around the APMCs are: auction halls, weigh bridges, godowns, shops for retailers, canteens, roads, lights, drinking water, police station, post-office, bore-wells, warehouse, farmers amenity center, tanks, Water Treatment plant, soil-testing Laboratory, toilet blocks

The decision will impact positively as it has potential to provide farmers with the opportunity to sell their produce directly and get better prices for their merchandise. This will further reduce food inflation as the cascading effect of multiple charges by APMC (mandi tax, multiple fees etc.) and commissions of agents will be removed. Reduction of post- harvest loss by the farmers is another beneficial criteria. Contract farming in the fruits and vegetable sector will be further boasted which will enable companies to transfer advanced innovative technologies and better agricultural practices, improving the raw material quality to the farmers. Nevertheless corporate intervention in agriculture might lead to unethical profit driven activities   promoting harassment hindering an overall socio-economical betterment of farmers.

Concluding Remark: Not denying the fact that the market too is inefficient and needs restructuring reformations. According to the Shanta Kumar Committee, only 6% farmers get the benefit of MSP and remaining 94% are dependent on the markets. Thus demand by farmers for a hike in MSP along with 50% profit as recommended by National Commission for Farmers points towards the inefficiencies in market. Therefore more needs to be done than just de-notifying the products from a list. After persuading the States to drop fruits and vegetables from APMC schedule of regulated commodities, other commodities should also be de-notified

State governments should also be specifically persuaded to provide policy support for alternative or special markets in private sector and farmers should be ensured that they get best prices possible for their produce in the market.


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