APMC Act should be scrapped: Sahai

Weighed down by the age-old Agriculture Produce Marketing Committee (APMC) Act and lack of modern storage technology, the country is wasting flowers, seeds and fruits worth Rs 50,000 crore per annum.

Food Processing Minister Subodh Kant Sahai said the APMC Act was a big hurdle in the free movement of commodities including seeds and oils and should be scrapped.

"The seed processors should be given access to modern technology for the best quality hygienic seeds and oil for domestic consumption as well as exports," he said.

He was speaking at the golden jubilee ceremony of Indian Oilseeds & Produce Exporters Association on Thursday.

Sahai said the government would discuss the issue of bringing the value added tax on perishable commodity to zero per cent and on non-perishable commodities to 4 per cent with the finance minister and commerce minister.

"The government had done a lot for the sector like allowing 100 per cent foreign direct investment and contract farming, but more is needed to be done for access to modern technology," said Sahai. Seed processors would have to match the quality standard to be set by the World Trade Organisation soon he said.

Kishore Tanna, chairman of the association, Sanjay Chawla, vice-chairman and Sanjay Shah, honorary secretary, were also present in the ceremony.

Sukhraj Dhanraj & Sons bagged the maximum groundnuts exports award while ITC got the award for maximum natural seasame seed exports.

Jabs International, Navjyot International, Bora Agro Foods, Mahesh Agri Exim Pvt and Tanna Agro Impex Pvt. Ltd. bagged awards for highest niger seeds exports, safflower seed exports, hullsed seasam seed, sesame oil and processed groundnuts, respectively.