The regulation for the sale and purchase of agricultural marketing had been taken as an important task after the independence. Prior to the independence a few number regulated markets were established. The productivity is increased significantly with the optimum use of resources and adoption of technology which ultimately forced to develop the infrastructure to cop up with the increased market surplus. Prior to 1939, there were only 57 regulated markets, later on witht eh passage of time and also due to increased surpluses, the number of regulated market increased to 1777 in 1974 and 7566 in the year of 2006.
Regulated Markets in India
| Period | No. of Regulated Markets |
|---|---|
| Prior to 1939 | 57* |
| End of 1940 | 73* |
| End of 1950 | 286* |
| March, 1961 | 715* |
| March, 1974 | 1777* |
| March, 1985 | 5695 |
| March, 1990 | 6217 |
| March, 2000 | 7077 |
| March, 2005 | 7521 |
| March, 2006 | 7566 |
*Represents only principal markets.
Source: D.M.I. Faridabad.
The different States in the country have developed 2429 principal market yards and 5137 sub market yards. The maximum market yards are 890 in the State of Andhra Pradesh, followed by 684 in West Bengal, 585 in Uttar Pradesh, 495 in Karnataka, 489 in Madhya Pradesh and so on. The state-wise details of these yards is provided in Annexure II.
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These regulated markets established under the Laws of respective State covers different areas as shown in the table at annexure III. But it seems that still there is requirement of markets to be established at some places. The minimum area covered is in Pondicherry, followed by Chandigarh, Delhi, Punjab, West Bengal and so on. In the State of Punjab, Haryana, Jharkhand, Andhra Pradesh each market serves the population of 55582, 74236, 84092, 85183 respectively. The rest of the States serves a large number of population as shown in the table attached at Annexure III.
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In the present era of liberalization, the agricultural marketing Laws must be liberalized to create an opportunity for the alternative marketing channels for selling the agricultural produce to the produces. Private companies, co-operatives or any legal entity be allowed to establish and operate the agricultural marketing infrastructure and supporting services as a competitive measures with the markets established by APMCs. Direct purchase of agricultural produce from the farmers field by individuals as well as companies, societies, co-operatives be encouraged to reduce the number of intermediaries thereby providing opportunity in increasing the share of farmer in consumer rupee. Producer or Consumer markets be established for the direct sale to the processors or consumers. Contract farming be popularized for the assured sale at the predetermined price before sowing. Specialized market yards for special commodities also be developed to provide a commodity specific modern market infrastructure for the particular crops grown in a particular area. Public-Private participation for establishment and management of markets for agricultural produce to encourage the private investment and professionalism in agricultural marketing including post harvest handling of agricultural produce and encouraging value addition to share the burden and provide healthy competition with APMC’s. e-market, e-marketing, and e-trading for speedy and distance transactions also be established. Market Stabalization fund be created at State level to safeguard the interests of the producers in the wake of sudden and anticipated fall in the prices of agricultural produce. Marketing extension cell be established for market driven extension service to farmers to adopt the improved practices of marketing to fetch the better price. Agricultural Produce Marketing Standards Bureau also be set up for grading, standardization and quality certifications of all the agricultural produce. The producer be helped and provided all technologies to produce hygienic and provided all better qualities for export to other countries to fetch better prices. The States must initiate the steps for farmers organizations to produce in collective manner for reduction in the production costs by pooling the resources, assemble produce at one point to sell in bulk to the main buyer on spot payment and also to use the free time for other earning activities created by those farmer organizations. The other areas related to agriculture and horticulture as such animal husbandry and products of live stocks, forestry, apiculture and sericulture also be well equipped and provided a suitable platform to increase the farm income as a subsidiary occupation.