Business Standard

Ending monopoly of mandis is good, but process could be problematic

Ending the monopoly of the mandis is a good thing, but early experiences show that the process can be problematic

India has over 7,000 regulated markets or APMCs and more than 22,000 sub-markets
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India has over 7,000 regulated markets or APMCs and more than 22,000 sub-markets

Sanjeeb Mukherjee
After failing several times, the Union government is making another attempt to end the so-called hegemony of Ag­ricultural Produce Market Co­mmittees (APMCs) in India’s farming landscape.

Following Madhya Pradesh, Uttar Pradesh, Gujarat and Karnataka’s decision to amend their Mandi Acts via Ordinances to enable farmers to sell their produce directly to consumers, establishing private mandis and allowing traders single uniform licences to trade in any mandi, the Union government last week decided to introduce a Central legislation that will facilitate easier inter-state trade in farm commodities so that farmers can shrug off the powerful monopsony of the arthiyas or middlemen

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