APMC ( Agricultural Produce Market Committee )

 

APMC ( Agricultural Produce Market Committee ) 

BAGROUND

 

when India got freedom there was no big town and city 

or nothing any system for selling of farm produce.

(Example-: If farmer Borrowed 100 rupees from sahukar on the interest of 5% per month. At the season of harvest it increase upto 40% it means that farmer has to pay 140 rupees. It is a heavy returning or loan amount which farmer has to pay at any cost.)

  

An Agricultural Produce Market Committee (APMC) is a marketing board established by state governments in India to ensure farmers are safeguarded from exploitation by large retailers, zamindars and sahukar, as well as ensuring the farm to retail price spread does not reach excessively high levels. 

APMCs are regulated by states through their adoption of a Agriculture Produce Marketing Regulation (APMR) Act

 The first sale of agriculture produce could occur only at the market yards (mandis) of APMCs

BENEFITS OF APMC

1) In APMC There is Large Auction hall where farmer have freedom to sell the produce who Auction high price.

 

2) In APMC There is  Big retailer shops where both vender or consumer can purchase farm produce in low or reasonable rate.

3) In APMC There is soil testing or product testing facility.

4) Commission Agent help farmers to sell there produce to whole sellers or big sellers in high price because Commission agent also get 2.5% of total value or Commission Agent also help farmer in transportation and measuring weight.

5) In APMC farmers not get the vale lower then MSP farmers get higher or equal of MSP . 

  

PROBLEM OF APMC

Cartelization in APMC is the biggest problem in all over apmcs in India.

Cartelization means a group of  buyer in APMC who purchase farm produce from farmers.

Buyer(whole sellers) make cartels in apmc and auction at the rate of msp or little bit higher then msp which creates a mental pressure on farmers because farmers work very hard in producing farms products but according to its hardwork they not get the value. 

(Example-: If a farmer want to sell there produce on 20 rupees per kg but whole sellers auction at the rate of  10 rupees per kg and farmer has to sell there produce at 10 rupees whether they want or not because apmc create a monopoly that farmer can sell there first produce in apmc.) 

Cascading effect 

Cascading effect means inflation (महंगाई) on farm produce.

Example-: If a farmer sell their produce at the rate of 1 lakh farmer has to pay 10% to 15% of 1 lakh farmer is in loss but whole seller in profit . This is only the first stage now it will sell by whole seller at the increase rate of 40% percent then retailer 10% to 15% percent then vender 10% to 15% then the final stage and last stage is consumer then they get at the increase of 70% to 75% of initial rate. farmer not get the profit middle mans or commission agent take the whole profit.

 

BY ADITYA KUMAR MAHTO