In India, markets in agricultural products are regulated under the

Question

Question

This question was previously asked in

UPSC Civil Services Exam (Prelims) GS Paper-I (Held On: 23 Aug, 2015)

Answer 1

The correct answer is the Agricultural Produce Market Committee Act enacted by States.

Key Points

Agricultural Produce Market Committee:

Agricultural Produce Market Committee (APMC) under the State Government regulates the notified agricultural produce and livestock.
Agriculture is a State subject under Schedule 7 of the Indian Constitution.
The whole geographical area in the State is divided and declared as a market area (Yard Mandis) wherein the markets are managed by the Market Committees constituted by the State Governments.
Once a particular area is declared a market area and falls under the jurisdiction of a Market Committee, no person or agency is allowed freely to carry on wholesale marketing activities.
Buyers, too, need to obtain individual licenses from each APMC to transact.
It is a part of government policy toward food security, remunerative prices to farmers, and fair prices to consumers.

Important Points

Essential Commodities Act (ECA), 1955

The ECA has been used by the Government to regulate the production, supply, and distribution of a whole host of commodities it declares ‘essential to make them available to consumers at fair prices.