Regulated Market Committee

Functions
  • The main objective of the RMCs is to ensure payment of fair price to the agriculturist.
  • An RMC works as a facilitator between the farmers and the procuring agencies. It facilitates both the party by providing facilities like:
  • Market Yard
  • Weigh Bridge
  • Meeting of Farmer & Agencies
  • Godown for Storage (if not sold)
  • Cold Storage for perishable items
  • RMC is a revenue earning body and it earns its revenue by charging 2% of the transaction amount for providing these above mentioned facilities.
  • It also earn its revenue from the check gates, by charging 1% of the way bill value from the traders carrying notified produces.
  • To achieve an efficient system of buying and selling of agricultural commodities,
  • To provide for regulation of agricultural produce markets.
  • Many of the regulated wholesale markets have a principal market with large area and relatively better infrastructure and number of sub-yards attached to the principal market. The establishment of regulated markets has helped in creating orderly and transparent marketing conditions in primary assembling markets. Further, increase in the number of regulated market yards has helped in increasing the access of farmers to such orderly market places.
  • Coupled with construction of approach roads and roads network linking primary markets with secondary wholesale and terminal markets, also improved the process of price discovery at the primary market level where most of the small farmers dispose off their produce.
  • Establishing Market committee comprising of representatives from different sectors of society that is farmers, traders, government local bodies and co-operative. In general it is observed that market committee consists of 15 members 10 from farmers 3 from traders and 1 each from the government and local bodies.
  • The concerned state government notifies that its intention to regulate trade practices in specified area such an area of operation is laid down either as a municipal limit or district or even it may be a region
  • In regulated market the sale of agril produce is undertaken either by open auction or by close tender method these sales method ensure a fair and competitive price for the produce and prevent the cheating of farmers by market functionaries. By these methods, the sale is carried out under the supervision of an official of the market committee.
  • All the market functionaries including traders working in the regulated market have to obtain a license from the market committee after paying the prescribed fee to carry on their business, the licensed traders have to keep proper record and maintain accounts in accordance with the buy-laws of the market committee.
  • Growers and traders have to pay market fees which are calculated on the basis of value of volume of a commodity bought and sold in the markets. Sometimes it may be based on cartload or truckload.
  • Disputes arising between producer seller and traders by reason of the quality of the producer, accounts and deductions of unauthorized charges are solved by the sub-committee of the market committee this avoid the legal complications and unnecessary expenditure.
  • Market charges are clearly defined and specified.
  • Market practices are regulated and undesirable activities are brought under control.
  • Correct weighment is ensured by periodical inspection and verification of scales and weights.
  • Suitable arrangements for the settlement of disputes is provided.
  • Reliable and up to date market news are made available to the farmers.
  • Suitable quality standards and standard terms for buying and selling are conveniently enforced.
  • Reliable statistics of arrivals, stocks, prices are maintained.
  • Other facilities like shades for the sale of produce, space for parking carts, drinking water facilities and cisterns of cattle, rest houses, grading and warehousing facilities are provided.
  • Open auction method is strictly followed.
  • Propaganda for agricultural improvement is more conveniently carried out. Taking over all picture regulated markets have produced a whole some effect on marketing structure and have generally raised the efficiency or marketing at the primary level.
  • The primary object of regulating the market is to safeguard the interest of the producer sellers raise the standards of the local Markets where the first exchange of the goods takes place.
  • Maintenance and improvement of the markets and its buildings.
  • Maintenance of standards of weights and measures.
  • Pay and pension of the staff
  • Payment of interests of loans.
  • Collection and dissemination of market information.
  • Propaganda for agricultural improvement.

Dr. Damodara Rout
Hon'ble Minister,Cooperation & Excise



Shri Manoj Ahuja,
I.A.S., Principal Secretary,Co-operation



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