Agri Business

Gujarat amends APMC Act by promulgating Ordinance

Rutam Vora Ahmedabad | Updated on May 11, 2020 Published on May 11, 2020

Following the Centre's directive to States to amend their Agricultural Produce Markets (APMC) Acts, the Gujarat government has promulgated an Ordinance expanding the purview of the Act to include livestock under agricultural produce and to provide better market access to farmers.

As per the amendment, the new Act is termed Gujarat Agricultural Produce and Livestock Marketing (Promotion and Facilitation) Act, 1963.

The Act paves the way for establishment of a livestock market. Also, it seeks to have involvement of local authorities, including panchayati raj institutions who own and operate rural periodical markets such as haats within their area. This is “to develop these markets for efficiently function as marketing platform nearest to the farm gate,” the amendment says.

A note on the Ordinance said: “In view of the suggested model draft Act by the expert committee of the Government of India, some amendments are made in the Gujarat Agricultural Produce Markets Act 1963. It is also necessary to bring marketing of livestock such as cow, buffalo, bullock, bull, goat and sheep etc and also poultry and fish under the ambit of this Act.”

It further states that the amendments come “to ensure that the spirit of competition is encouraged and the principle of ‘farmer first’ is kept in mind.”

Market panel structure

The government has also amended the structure of the market committee of a market yard, which is deemed to be of national importance with increased membership from farmers.

For the traders operating within the jurisdiction of an APMC the act now opens up doors to access any APMC across the state with the Unified Single License. A single licence will be applicable to the whole of the State for the traders to be granted or renewed by the Director. The existing trader licences granted by the market committees shall be converted into State wide single trader licence by the Director.

Farmer leaders have welcomed the amendments terming them to be in the larger interest of the farmers. “There is an element of fair competition and opportunity for farmers to sell their produce wherever they find a best value for it. Also, the act removes the conventional involvement of middlemen by allowing farmers to sell their crops in a free market. This is a progressive step towards a more robust farm economy,” Arvind Patel, an agriculture expert from North Gujarat told Businessline.

However, there were certain concerns flagged by the APMC management, who claimed that the farmers' interest may get compromised if they are exposed to the market forces.

“Farmers may not have complete market information and the buyers may take an advantage of their ignorance and try to exploit them. We are not currently sure how this amendment will be effective on ground. Farmer’s interests appear to be under risk, whereas corporate buyers may get an advantage by striking a deal directly with the farmer,” said Dinesh Patel, Chairman, Unjha APMC, one of the largest APMCs in the country.

Published on May 11, 2020

A letter from the Editor


Dear Readers,

The coronavirus crisis has changed the world completely in the last few months. All of us have been locked into our homes, economic activity has come to a near standstill. Everyone has been impacted.

Including your favourite business and financial newspaper. Our printing and distribution chains have been severely disrupted across the country, leaving readers without access to newspapers. Newspaper delivery agents have also been unable to service their customers because of multiple restrictions.

In these difficult times, we, at BusinessLine have been working continuously every day so that you are informed about all the developments – whether on the pandemic, on policy responses, or the impact on the world of business and finance. Our team has been working round the clock to keep track of developments so that you – the reader – gets accurate information and actionable insights so that you can protect your jobs, businesses, finances and investments.

We are trying our best to ensure the newspaper reaches your hands every day. We have also ensured that even if your paper is not delivered, you can access BusinessLine in the e-paper format – just as it appears in print. Our website and apps too, are updated every minute, so that you can access the information you want anywhere, anytime.

But all this comes at a heavy cost. As you are aware, the lockdowns have wiped out almost all our entire revenue stream. Sustaining our quality journalism has become extremely challenging. That we have managed so far is thanks to your support. I thank all our subscribers – print and digital – for your support.

I appeal to all or readers to help us navigate these challenging times and help sustain one of the truly independent and credible voices in the world of Indian journalism. Doing so is easy. You can help us enormously simply by subscribing to our digital or e-paper editions. We offer several affordable subscription plans for our website, which includes Portfolio, our investment advisory section that offers rich investment advice from our highly qualified, in-house Research Bureau, the only such team in the Indian newspaper industry.

A little help from you can make a huge difference to the cause of quality journalism!

Support Quality Journalism
  1. Comments will be moderated by The Hindu Business Line editorial team.
  2. Comments that are abusive, personal, incendiary or irrelevant cannot be published.
  3. Please write complete sentences. Do not type comments in all capital letters, or in all lower case letters, or using abbreviated text. (example: u cannot substitute for you, d is not 'the', n is not 'and').
  4. We may remove hyperlinks within comments.
  5. Please use a genuine email ID and provide your name, to avoid rejection.
You have read 1 out of 3 free articles for this week. For full access, please subscribe and get unlimited access to all sections.