AP Chambers plea to govt. to stop certain levy on Agriculture Market Committees
AP Chambers has urged the government to withdraw certain levies imposed on Agriculture Market Committees, citing financial strain on markets and farmers.
AP Chambers plea to govt. to stop certain levy on Agriculture Market Committees
Andhra Pradesh Chambers of Commerce & Industry Federation (AP Chambers) has submitted a representation to Minister for Agriculture, Co-operation, Marketing, Animal Husbandry, Dairy Development & Fisheries Kinjarapu Atchannaidu, seeking urgent intervention against the unlawful collection of market levy by certain Agricultural Market Committees (AMCs).
AP Chambers stated that several traders, processors and agri-based MSMEs have reported that some AMCs are collecting market fee on agricultural commodities purchased outside their notified market area, including inter-district and inter-state
purchases. The levy is being demanded merely because the goods enter, pass through, or are stored within the market yard limits.
AP Chambers clarified that under the AP Agricultural Produce & Livestock Markets Act, 1966, market fee is leviable only when a sale or purchase takes place within the notified market area. Treating market fee as a charge for entry, transit, or storage of
goods is not supported by law and have been consistently disapproved by courts. Such practices effectively convert market fee into an “entry tax” or “transit fee,” which is not permitted under the Act. AP Chambers pointed out that this practice is causing unnecessary financial burden, confusion, and harassment, particularly for small and medium traders, processors, and agri-businesses operating across districts and states. It is also adversely affecting ease of doing business and the efficiency of agricultural marketing in Andhra Pradesh.
In its representation, AP Chambers has requested the government to issue clear instructions to all Agricultural Market Committees reiterating that market fee is applicable only to transactions within the notified market area, and to prevent collection of levy on commodities purchased outside the jurisdiction of the concerned market committee, including inter-state purchases. The chambers also sought uniform implementation of the Act and a simple grievance redressal mechanism for traders.
AP Chambers president Potluri Bhaskara Rao on Thursday expressed hope that timely intervention by the Hon’ble Minister would bring clarity, stop arbitrary practices, and strengthen transparent and lawful agricultural marketing in the State. AP Chambers assured its full cooperation with the government in this regard.
