Following a visit to the devastated yard on Sunday, the chief minister ordered yard and district officials to take quick measures to restore chilli auctions by May 9.
Reddy, accompanied by six ministers, including Finance Minister K Rosaiah, examined the yard and later appointed a five-member high power committee to investigate the incident. The committee has been asked to submit its report by May 7 on the cause of the accident and extent of losses.
Meanwhile, a cabinet committee headed by Rosaiah will look into the reports and announce government help and the relief package on May 8.
At a review meeting, Reddy said a world-class yard would be constructed within six months. The initial damage estimate said 1.90 lakh chilli bags were gutted with 11 godowns, seven sheds, CCTV cameras, a transformer, a generator and the canteen, causing losses of about Rs 55 crore. A bank and about 250 huts were also destroyed.
The fire, caused by a short circuit when a truck hit an electric pole, was brought under control by 26 fire engines. To prevent such major damage in the future, fire stations would be set up at all big marketing yards and fire extinguishing equipment would be installed at small yards, the chief minister said.