B2 Modernizing Existing Markets Upgrading Market Infrastructure


1.   The APMCs are established  as local authorities  under the Maharashtra Agricultural Produce Marketing (Development & Regulation) Act 1963 (APMC Act) and the Rules made there under in the year 1967. The main objective of the Act is to regulate agricultural marketing of notified commodities  and provide  adequate protection  to the producers  from  the exploitation  of the buyers.

2.   Approximately  40 to 50 % of the total agricultural  production  of the state  is sold  through regulated markets or the Agriculture Produce Market Committees (APMCs) in the State.  The State has 294 main market yards and 612 sub market yards, and of these market yards, as many as 196 market yards trade in cattle and other livestock.

3.   There is a provision in APMC Act that agricultural produce should be sold by open auction. However,  there are rare instances  of “Hatta System”  of auction (auction taking place under cover of cloth on hand  and making  some signs by fingers under the cloth)  found  in some APMCs. There is a scope for bringing more transparency in auction systems. Many APMCs do not have modern infrastructure. This also needs to be developed.

4.   The trade of livestock, especially cattle, sheep and goat, is done mainly in an unorganized way without any regulation and sale of animals does not take place on the basis of milk yield or body weight. There is a need to improve transparency in the transaction between the buyer and the seller for trade of livestock

5.   Many of the APMCs market yards do not have basic market infrastructural facilities such as internal  roads,  drainage,  electricity,  water,  weigh  bridges,  auction  hall,  trader  shops,  and unloading ramps. These markets are underdeveloped  and are characterized  by: (a) produce is not  cleaned  before  it  is  brought  to  market,  (b)  different  qualities  of produce  are  not  sold separately,  (c) produce is not