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The ARUNACHAL PRADESH AGRICULTURAL PRODUCE MARKETING (REGULATION) ACT,1989 (ACT NO. 6 OF 1990)

Arunachal Pradesh · state statute
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THE ARUNACHAL PRADESH AGRICULTURAL PRODUCE MARKETING (REGULATION) ACT,1989 
(ACT NO. 6 OF 1990) 
[Assented by the President of India on 24/08/1990 and published in AP EOG No 305 Vol IV Dtd 
14.09.1990] 
1.As amended by the Arunachal Pradesh Agricultural Produce Marketing (Regulation) (Amendment) 
Act 2006 ( Act no 6 of 2006) & assented by the Governor of AP on 05.05.2006 and published in AP 
EOG No 43 Vol XIV Dtd 15.05.2006 .[ wet 15.5.2006] 
AN 
ACT 
to provide for the better regulation of marketing of agricultural produce and the establishment and proper 
administration of markets for agricultural produce in the State of Arunachal Pradesh. 
Be it enacted by the Legislative Assembly of Arunachal Pradesh in the Fortieth Year of the Republic 
of India as follows : 
CHAPTER-I 
PRELIMINARY 
1 (1) This act may be called the Arunachal Pradesh Agricultural 
Produce Marketing (Regulation) Act, 1989. 
(2) it extends to the whole of Arunachal Pradesh. 
(3) It shall come into force on such date as the Government may 
by notification in the Official Gazette, appoint. 
Short title, extent and 
commencement 
2. In this Act, unless the context otherwise requires,- 
(l) "agricultural produce" means all produce and commodities, 
whether processed or unprocessed, of agriculture, horticulture, 
apiculture,pisciculture,viticulture, sericulture, animal husbandry, 
fleeces and skins of animals, forest products etc. as may be 
prescribed or declared by the Government by notification and also 
includes admixture of two or more of such produces. 
Definitions. 
(2) "agriculturist" means a person who ordinarily by his own labour 
or by the labour of any member of his family or who by the labour 
of his tenants or by servants or hired labour or otherwise is engaged 
in the production or growth of agricultural produce, but does not 
include trader, commission agent, processor or broker or a partner 
in a trading farm or industrial concern in or in relation to agricultural 
produce.: 
Provide that if a question arises whether any person is an 
agriculturist or not for the purpose of this Act, the decision of the 
Deputy Commissioner of the District which such person is engaged 
in the production or growth of agricultural produce shall be final; 
(3) "Board" means the Arunachal Pradesh Agricultural Marketing 
Board constituted under Section 44 of this Act : 
(4) "Buyer" means an agent who in consideration of commission 
merely negotiates and brings about contract for the purchase or 
sale of notified agricultural produce on behalf of his principal, but 
does not receive, deliver, transport. pay for the purchase of or 
collect the payment for the sale of notified agricultural produce; 

(5) "buyer or purchaser" means a farm a persona company or co­ 
operative society or Government agency, public undertaking, 
public agency or corporation, commission agent who himself or on 
behalf of any person or agent buys or agrees to buy agricultural 
produce in the market area as notified under this Act or rules made 
thereunder; 
(6) "commission agent" or "arhetia" means a person who in the 
ordinary course of business, makes or offers to make a purchase or 
sale of agricultural produce on behalf of the seller or purchaser of 
agricultural produce within or outside the market area or keep it in 
his custody and controls it during the process of its sale or purchase 
and collects payment thereof for a commission agent or arhetia ; 
*[(6) (a) "Contract Farming" means farming by a person called 
"Contract Farming Producer/I under a written agreement with 
another person called "Contract Farming Sponsor' to the effect that 
his farm produce shall be purchased as specified in the agreement. 
{6) (b) "Contract Farming Agreement" means the agreement made 
for contract farming between Contract farming sponsor and 
Contract Farming Producer.] 
*[Inserted by 2006 (Arndt) Act (Act no 6 of 2006.s.2.] 
(7) "Director" means any person appointed by the Government as 
Director of Agriculture Marketing for the purpose of this Act and 
includes any officer empowered by the Government to exercises or 
perform the powers and functions of the Director under this Act or 
Rules or the bye laws made thereunder; 
(8) "Deputy Commissioner" means the Deputy Commissioner of the 
district concerned and includes Additional Deputy Commissioner: 
(9) "Government" means the Government of Arunachal Pradesh; 
(10) "Hamal" means a labour, hamal or coolie engaged for para­ 
making, loading unloading, filling, stitching, emptying or carrying 
any agricultural produce in the notified market area; 
(11) "licence" means a licence granted under this Act. : 
(12) "licensee" means a person or association, farm company, 
Public Sector-undertaking or society holding a licence issued under 
this Act 
(13) "local authority" means for the purpose of representation on 
the Market Committee in relation to an area within the local limits 
of. - 
(i) ~n any Municipal area, the Municipal Corporation, the Municipal 
Council, the Cantonment Board, the Sanitary Board, the Town 
Committee, Town Improvement Trust or the Notified Committee or 
any authority for such area ; 
(ii) in any rural area, the Village Panchayat, Zila Parishad, or Anchal 
Samiti or any other authority constituted under the NEFA 
Panchayat Raj Regulation, 1961 : 
(14) "market area" means any area notified as market area under 
section 4 of this Act : 

{15) "market charges" includes charges on account or in respect of 
cornrmssron, brokerage, weighing,measuring,hamali (loading, 
unloading and carrying) cleaning, drying, sewing, stitching, stacking, 
hiring, gunny-bags, stamping, bagging, storing, warehousing, 
grading, surveying, transporting and processing : 
{16) "Market Committee' means any committ ee 
constituted as Market Committee under Section 10 of this Act ; 
(17) "market functionary" means a dealer, a broker, a commission 
agent, buyer, hamal, processor, a stockist, a trader and such other 
person as may be declared to be market functionary under the rules 
or bye-laws made under this Act ; 
(18) "marketing" means buying and selling of agricultural produce 
and includes grading, processing, storages transport, channels of 
distribution and any other functions associated with the buying and 
selling; 
(19) "market proper" means any area including all lands with the 
buildings and structures thereon within such distance of the 
principal or sub-market yard as the Government may by a 
notification, declare it to be a market proper; 
(20) "notified agricultural produce" means any agricultural produce 
notified under section 4 of this Act ; 
{21) "principal market yard" in relation to a market area means a 
specified place and includes any enclosures, buildings or locality 
declared as such in any market area by the Government or by the 
Director, by notification ; 
*[(21 )(a) "Private market Yard" means such place other than the 
market yard/sub-market yard in the market area where 
infrastructure has been developed and managed by a person for 
marketing of notified agricultural produce holding a licence for this 
purpose under this Act.] 
*[Inserted by 2006 (Arndt) Act (Act no 6 of 2006.s.2.] 
(22) "processing" means any one or more of series of treatment 
relating to powdering, crushing decorticating, husking, parboiling, 
polishing, ginning, pressing, curing or any other manual, 
mechanical, chemical or physical treatment to which raw 
agricultural produce or its product is subjected to: 
(23) "processor" means a person who processes any notified 
agricultural produce on his own accord or on payment of a charge; 
(24) "Regulation" means a Regulation made under section 51 of this 
Act; 
(25) "retail sale" in relation to a notified agricultural produce means 
a sale not exceeding such quantity, as the Market Committ ee may 
determine to be a retail sale in respect thereof; 
(26) "Secretary" means the Secretary of a Market Committ ee and 
includes any other officer empowered to exercise such powers and 
functions of the Secretary : 

(27) "seller" means a person who sells or agrees to sell any 
agricultural produce and includes a person who sells on behalf of 
any other person as his agent or servant or commission agent : 
(28) "sub-market yard" in relation to a market area means a 
specified place and includes any enclosure, building or locality. 
declared as such in any market area by the Government or the 
Director, by notification ; 
(29) "trade allowances" means anything realised in cash or kind by 
the purchaser from seller in any transaction relating to agricultural 
produce, either by deduction from the price agreed upon or 
otherwise; 
(30) "trader" means any person who in his normal course carries on 
the business of buying or selling, storing or processing of any 
agricultural produce as a principal or an authorised agent. 
CHAPTER -II 
CONSTITUTION AND REGULATION OF AREAS 
3.(1) The Government may, by notification in the Official Gazette, 
declare its intention of regulating the purchase and sale of such 
agricultural produce in such areas as may be specified in the 
notification. 
(2) The notification under sub-section (I) shall state that any 
objection or suggestion received by the Government within a 
period of not less than one month to be specified in the notification 
under sub-section (I) shall be considered by the Government. 
4. After the expiry of the period specified in the notification issued 
under section 3 and after considering such objections and 
suggestions as may be received before such expiry and after making 
such inquiry, as may be necessary, the Government may, by 
notification in the Off icial Gazette, declare the area specified in the 
notification issued under section 3 or any portion thereof to be a 
market area for the purpose of this Act In respect of all or any of 
the kinds of agricultural produce specific in the said notification. 
5. (I) Subject to the provision of sections 3 and4, the Government 
may at any time by notification in the Off icial Gazett e exclude from 
any market area, any area or any agricultural produce comprised 
therein or include in any market area, any area or any agricultural 
produce as included ill the notification issued under section 3. area 
or may declare that the regulation of the marketing of any 
agricultural produce in any market area shall cease or that the 
marketing of any agricultural produce (hitherto not regulated)shall 
be regulated in such market area : 
Provided that no notification shall be issued under this section 
without giving previous notice which shall not be less than 45 days 
from the date of notice. 
Notification of 
intention of 
exercising control 
over purchase and 
sale of agricultural 
produce in specified 
areas. 
Declaration of marke 
area. 
Alteration of marke 
area and items of 
Regulated agricultural 
produce. 

(2) Where a notification is issued under sub-section(!), excluding 
any area from any market area and such excluded area is not 
declare to be a separate market area or a notification is issued 
including any area within the market area, the Market Committee 
constituted for such market area before the date of such exclusion 
or inclusion shall not withstanding anything contained in this Act, 
continue to be the Market Committee for the said market area until 
a new Market Committ ee is constituted for such market area. 
(3) When any area cease to be a market area under subsection (1), 
the Market Committee constituted therefore shall cease to exist, 
and the property and rights vested in such Market Committ ee shall 
subject to all charges and liabilities resulting from such ceasing vest 
in the Government. 
(4) Where any such area is included in two or more other market 
areas the Government may, by order, direct that such property, 
rights, charges and liabilities shall vest in the Market Committ ees of 
such areas in such manner and in such proportions as maybe 
specified in such order. 
6. Where the Government is satisfied that for securing efficient 
regulation or marketing of any agricultural produce in any market 
area, it is necessary that two or more Market Committees therein 
should be amalgamated, than the Government may after 
consulting the Market Committees concerned direct for the 
amalgamation of such Market Committ ees into a single Market 
Committee for the market area in respect of the agricultural 
produce specified in the notification, with such constitution, 
property, rights, interests and authorities and such liabilities, duties 
and obligations(including provision in respect of contracts, assets, 
employees, proceedings and such incidental, consequential and 
supplementary matters as may be necessary to give effect to such 
amalgamation) as may be specified in such direction. 
7. (I) Subject to the provision of sections 3 and4, the Government 
may divide a market area into two or more separate market areas. 
(2) When during the term of a Market Committee the market area 
for which it is established is divided into two or more separate 
market areas, the following consequences shall be ensured: 
(a) the Market Committ ee constituted for the market area under 
this Act shall be deemed to have been dissolved and the 
Government shall constitute separate Market Committ ee under 
section13 for each of the separate market areas subject to such 
conditions as may be prescribed; 
(b) the term of office of the newly constituted committees shall be 
the same as is applicable to the fist Market Committ ee under sub­ 
section (1) of section 13 
Amalgamation and 
division of Market 
Committee. 
Division of market a rec 
into two or rnon 
separate market 
areas. 

(c) the assets, rights and legalities of the dissolved Market 
Committee shall be distributed by the Government between the 
new market Committ ees in such manner as may be prescribed ; 
(d) any appointment, notification, notice, fee, order, scheme, 
licence, permission, bye law or form made, issued or imposed by 
the Market Committ ee so dissolved. in respect of any part of the 
area subject to the authority of the new Market Committed shall be 
deemed to have been made, issued or imposed by such Market 
Committee concerned unless and until it is superseded by any 
notification, notice, fee, order, scheme, licence, permission, rule, 
bye-laws, or form made, issued or imposed by it. 
(3) If any difficulty arises in giving effect the provisions of this 
section, the Government may,by order published in the Official 
Gazette, as the occasion may require, do anything which appears to 
it to be necessary to remove such difficulty- 
8. (I) For each market area, there shall be one principal market yard 
and one or more sub-market yards corresponding to market 
proper, as may be necessary. 
(2) The Government may, as soon as may be, by notification in the 
official Gazette declare: 
(i) any specified place including any structure, enclosure, building 
or locality in the market area to be the principal market yard and 
other enclosures, building or localities in such area to be sub­ 
market yard for the area ; and 
(ii) any area including all lands with the building thereon within such 
distance of the market yard as it thinks fit to be the market proper. 
9. (1) On the establishment of a market undersection 4 no local 
authority or other person shall, notwithstanding anything 
contained in any law for the time being in force, set up, establish or 
continue or allow to be set up, established, continued or used 
anyplace in the market area/ market proper for the marketing of 
any agricultural produce so notified except in accordance with the 
provisions of this Act and rules and bye-laws made there-under. 
(2) Nothing in sub-section (I) shall apply to- 
(i) the purchase or sale of any agricultural produce if the producer 
of such produce is himself its seller and the purchaser is a person 
who purchases such produce for his own private consumption or if 
such agricultural produce is sold by retail sale to a person who 
purchases such produce for his own private consumption ; 
(ii) such agricultural produce which is purchased by an authorised 
fair price shop dealer from the Food Corporation of India, the State 
Commodity Trading Corporation or any other agency or institution 
authorised by the Government for distribution through the public 
distribution system; 
Declaration of marke 
yards, submarket yard 
and market proper. 
Control of marketing o 
Notified agricultural 
produce: 

(iii) the transfer of such agricultural produce to a Co-operative 
Society, warehouse or a Bank for the purpose of securing an 
advance therefrom. 
CHAPTER- Ill 
CONSTITUTION OF MARKET COMMITTEES 
10. (I) For every market area, there shall be a Market Committ ee 
having jurisdiction over the entire market area. 
(2) Every such Market Committ ee shall be a body corporate by such 
name as the Government may, by notification specify and it shall 
have perpetual succession and a common seal and may sue and be 
sued in its corporate name and shall subject to such restrictions as 
are imposes by or under this Act, be competent to conduct and to 
acquire, hold, lease, sell or otherwise transfer any property and to 
do all other things for the purpose for which it is established : 
Provided that no immovable property shall be acquired or 
transferred by way of sale, lease or otherwise without the prior 
permission of the Director or the Board, 
(3) Notwithstanding. anything contained in any law for the time 
being in force, every Market Committ ee shall, for all purposes 
11. (I) The Market Committee may require a local authority to 
transfer to it any land or building belonging to the local authority 
which is situated within the market yard and which immediately 
before the establishment of the market was being used by the local 
authority for the purposes of the market and the local authority 
shall within one month of the receipt of the requisition, transfer the 
land and/or building, as the case may be, to the Market Committee 
on such terms as may be agreed upon between them. 
(2) Where, within a period of thirty days from date of receipt of 
requisition by the local authority under sub-section (I), no 
agreement is reached between the local authority and the Market 
Committ ee under sub-section (I) the land or building required by 
the Market Committ ee€ shall vest in the Market Committ ee for the 
purpose of this Act and the local authority shall be paid such 
compensation as may be determined by the Deputy Commissioner 
under sub-section (5): 
Provided that no compensations shall be payable to a local 
authority in respect of any land or building which had vested in it 
by virtue of tire provision contained in the law relating to the 
constitution of such local authority without payment of any amount 
whatso ever for such vesting: 
Provided further that any party aggrieved by the order of the 
Deputy Commissioner may, within thirty days from the date of such 
order appeal to the Government. 
(3) The local authority shall deliver possession of the land or 
building vesting in the Market Committee under s b-section (2) 
Establishment o 
Market Committee am 
its incorporation. 
Vesting of property o 
local authority i1 
Market Committee 

within a period of seven days from such vesting and on failure of 
the local authority to do so within the period aforesaid, the Deputy 
Commissioner shall take possession of the land or building and 
cause it to be delivered to the Market Committee. 
(4) Subject to the order of the Government the order of the Deputy 
Commissioner under sub-section (2) shall be final and binding on 
both the parties. 
(5) The Deputy Commissioner shall fix the amount of compensation 
for the land or building having regard to:- 
(i) the annual rent for which the building might reasonably be 
expected to be let from year to year 
(ii) the condition of the building; 
(iii) the amount of compensation paid by the local authority for the 
acquisition of such land ;and 
(iv) the cost or the present value of any building erected or other 
work executed on the land by the local authority. 
(6) The compensation fixed under sub-section (S)may, at the option 
of the Market Committ ee, be paid in lump sum or in such number 
of equal instalments not exceeding ten instalments as the Deputy 
Commissioner may fix : 
Provided that where the compensation is paid in instalment it shall 
carry an interest at the rate as maybe fixed by the Deputy 
Commissioner which shall be payable along with the instalments. 
12. The Government may on the request of the Board or the Market 
Committee, as the case may be, acquire such land required for the 
purposes of this Act, under the provisions of the Land Acquisition 
Act, 1894(No. I of 1894) and shall determine the compensation 
according to the provisions of the said Act. 
13. (I) For every Market Committ ee established under sub-section 
(I) of section 10, it shall consist of the following members namely : 
(i) two agriculturists to be nominated by the Deputy Commissioner 
(ii) two traders holding valid licence under this Act to be elected by 
the traders amongst themselves in the manner prescribed ; 
(iii) one to be elected by the Co-operative Societies from amongst 
themselves in the manner prescribed; 
(iv) four members to be nominated by the Government of whom 
one shall be nominated from Anchal Samity. 
(2) When a Market Committee is constituted for the first time, all 
the members shall be nominated by the Government and such 
members shall hold off ice for a period of three years. 
14. (I) Every member of a Market Committee other than the first 
one constituted by the Government shall hold off ice for three years 
commencing from the date of first meeting of the constituted 
Market Committee at which a quorum is present and the Market 
Acquisition of land 
for the purposes of thi 
Act. 
Composition 
of Market 
Committee 
Term of office of 
Members of Market 
Committee, 

Committee, shall, thereafter be reconstituted every three years 
before the expiry of the third year and not earlier than three 
months prior to such expiry. 
(2) The term of three years referred to in sub-section (I) shall 
include any period which may lapse between the expiry of the said 
three years and the date of the first meeting of the constituted 
Market Committee, at which a quorum is present. 
(3) The Government may by notification for sufficient cause to be 
stated therein, direct from time to time that the term of office of 
the members of a Market Committ ee be extended by such period 
not exceeding 
One year as may be specified in the notification. 
(4) A member elected or appointed under sub-section (I) of section 
13 shall cease to hold office, if he ceases to be a member of the 
category of persons from which he was elected or appointed. 
(5) A member shall also cease to hold office if he in writing resigns 
his membership and the same is accepted by the Market 
Committee or if he is removed by the Government under the 
provisions of this Act. 
(6) Whenever any vacancy occurs in membership for any of the 
reasons aforesaid or on account of death the said vacancy shall be 
filled in by election, nomination or appointment, as the case may 
be, and every such member elected, nominated or appointed, shall 
hold office for the unexpired portion of the term of the member in 
whose place he is elected, nominated or appointed. 
(2) The term of three years referred to in sub-section (I) shall 
include any period which may lapse between the expiry of the said 
three years and the date of the first meeting of the constituted 
Market Committ ee, at which a quorum is present. 
(7) Notwithstanding any vacancy in a Market Committee it shall be 
competent to exercise its powers and perform its duties and none 
of its actions shall be questioned merely on the ground of its 
existence of any vacancy in or any defect in the constitution of the 
committee. 
15. (I) The Chairman of the Market Committ ee shall be appointed 
by the Government out of four members nominated under clause 
(iv) of sub-section (I) of section 13 and Vice-Chairman shall be 
elected from among other members of the committ ee in the 
manner as prescribed and the Chairman and Vice-Chairman shall 
exercise such powers and carry out such functions as delegated of 
conferred upon them under this Act or rules made thereunder, 
(2) Wherever for any reason, the offices of both the Chairman and 
the Vice-Chairman of any Market Committ ee falls vacant the 
Government shall appoint any one from amongst the members of 
such Market Committ ee as Chairman to hold such office 
temporarily till a Chairman is elected 
Chairman and 
Vice-Chairman 
of Market Committee 

(3) The Chairman or in his absence, the Vice-Chairman shall preside 
at every meeting of the Market Committee and in the absence of 
both the Chairman and the Vice-Chairman from any meeting the 
members present shall elect one from amongst themselves to 
preside over that meeting : 
Provided that no candidate for election to the office of Chairman or 
Vice-Chairman shall preside over the election. 
{4) When a meeting is held for the removal of the Chairman or the 
Vice-Chairman or both- 
{a) the Vice-Chairman or in his absence a member duly elected at 
the meeting, shall preside, if the resolution relates to the removal 
of the Chairman ; 
{b) the Chairman or in his absence a member duly elected at the 
meeting shall preside if the resolution relates to the removal of the 
Vice-Chairman ; 
{c) a member duly elected at the meeting shall preside if the 
resolution relates to the simultaneous removal of both the 
Chairman and the Vice-Chairman. 
16. {I) The Chairman or Vice-Chairman of any Market Committee 
may be removed from office by a resolution adopted by at least 
two-third of the total numbers of the Market Committ ee present 
and voting at the meeting convened for the purpose. 
{2) The Government may, after giving an opportunity to explain, 
remove the Chairman or Vice-Chairman of a Market Committ ee 
from office if he persistently omits or refuses to carry out or 
disobeys the provisions of the Act or the rules made thereunder or 
any directive issued by the authority from time to time, or if he is 
deemed or becomes incapable of so acting or is declared insolvent 
or is convicted by a criminal court for any offence involving moral 
turpitude or declared disqualified under any of the provisions of 
this Act and the rules made thereunder. 
17. {I) No business shall be transacted at any meeting of the Market 
Committee unless such meeting is called by the Secretary under 
such direction of the Chairman or the Vice-Chairman, as the case 
may be, required on a requisition by the members as prescribed 
and unless a quorum be present. 
(2) The quorum referred to sub-section {I) shall be one-third of the 
total number of members. 
{3) If at any meeting the prescribed quorum is not present the 
meeting shall stand adjourned to some future day to be appointed 
by the Chairman, Vice-Chairman or any member who may preside 
in the meeting, as the case may be and the members present at 
such adjourned meeting shall form a quorum whatever their 
number may be. 
Removal of Chairman 
and Vice-Chairman. 
Calling of meetings 
and quorum. 

18. The objects of the Market Committee shall be as follows : - 
(I) to maintain and manage the market area and to control, regulate 
and run the market in the interest of the agriculturists and traders 
holding licence under this Act; 
(2) to regulate and control transaction in the market and to deal 
license holder who defaulted to open, close and suspend trade in 
any regulated commodity, to sett le disputes, levy and recover 
market charges, fees of an agricultural produce, license and other 
fees, to impose fines and penalties; 
(3) to act as a mediator, arbitrator or surveyor in all matt ers of 
differences, disputes, claims, etc., between license holders' interest 
or between them and agriculturists making use of the market as 
sellers of agricultural produce; 
(4) to control and regulate the admission to the market to 
determine the conditions for use of the market and to prosecute 
and confiscate the goods belonging to person trading without a 
valid license; 
(5) to bring, prosecute or defend or aid in bridging, prosecuting or 
defending any suit, action proceeding, application or arbitration on 
behalf of the Market Committee or otherwise directed by the 
Government ; 
(6) to purchase, hire or acquire any land for construction of any 
house thereon or other movable or immovable property and other 
equipment for the purpose of its business, to raise fund from the 
Government or otherwise with the approval of the Director for the 
said purpose and to enter into arrangements with the Government, 
local authority or otherwise and to comply with such arrangements 
; and to do such other things as may be required for the purpose of 
achieving the object and requirements of the Act, and the rules and 
the bye-laws framed there- under. 
19. A Market Committ ee shall have the power to regulate the entry 
of a person to the market, to supervise the behaviour of the 
persons so entered for transacting business and to take disciplinary 
action against the license holder who fails to full the conditions of 
the license or any direction of the Market Committee. 
20. It shall be the duty of every Market Committ ee to enforce the 
provisions of this Act, the conditions of license granted under the 
rules and bye-laws framed under this Act in the market area and to 
provide such facilities as the Government may, from time to time, 
direct in connection with the purchase sale of agricultural produce 
concerned. 
21. A Market Committ ee may appoint a subcommitt ee or a joint 
committee or an adhoc committee from amongst its members or 
non-members of the market area for the administration of the sub­ 
market yard, for the conduct of any work or for reporting or 
Objects of the Market 
Committee. 
Power of Market 
Committee. 
Duties of the Market 
Committee 
Appointment of 
Sub-committee and 
Joint committee. 

recommending or deciding any matt er or matt ers and may delegate 
to such committ ees such of its powers or duties as it may think fit. 
22. Every Market Committ ee shall have a Secretary appointed by 
the Director subject to such terms and condition as may be 
prescribed and he shall also exercise such powers and functions as 
may be prescribed 
23. (I) A Market Committ ee may also employ such other officers and 
staff as may be necessary for the management of the market and 
may pay such officers and staff such salaries as it may think fit: 
Provided that the Market Committ ee, shall in the case of any other 
office/officers or staff of the Government whom it may employ, pay 
such pension or other contribution, gratuity and other allowance as 
may, be required by the condition of his/her service/services under 
the Government for the time being in force. 
(2) A Market Committ ee may also, in the case of any of its officers 
and staff other than those of the Government provide for payment 
for such leave allowances, pensions and gratuities as it may deem 
proper and may contribute to any provident fund which may be 
established for the benefit of such officers and staff. 
(3) The powers conferred by this section on Market Committee 
shall be exercisable by it subject to any rules made in this behalf by 
the Government. 
24. Every contract entered into by a Market Committee shall be in 
writing and shall be signed by its Chairman and two members of the 
committee. 
25. Every Market Committ ee shall levy and collect cess or fees on 
the agricultural produce brought into or sold in the market area in 
a manner end at the rates as may be prescribed : 
Provided that the cess or fees so levied shall not be less than two 
rupees per one hundred rupees of the price of the agricultural 
produce. 
Explanation:- For the purpose of this section all notified agricultural 
produce taken out or proposed Tobe taken out of a market area 
shall, un less the contrary is provided, be presumed to have been 
brought or sold within such market area by the person in possession 
of such produce. 
26. (I) Any officer or servant of the Market Committ ee or the Board 
empowered in this behalf, may for purposes of this Act require any 
persons carrying on business in any kind of notified agricultural 
produce, to produce before him the accounts and other documents 
and to furnish any information relating to the stocks of such 
agricultural produce, or purchases, sales and deliveries of such 
agricultural produce by such person and also any other information 
Appointment 
Secretary. 
0 
Appointment am 
salaries of staff o 
Market Committee. 
Execution of contracts 
Power to levy cess o 
fees. 
Power to orde 
production of accounts 
and powers of entry 
inspection, 
seizure etc. 

relating to payment of the market fees or cess or any other 
payment to the seller by such person. 
(2) All accounts and registers maintained by any person in the 
ordinary course of business in any notified agricultural produce and 
documents relating to the stock of such agricultural produce, or 
purchases, sales and deliveries of such agricultural produce in his 
possession and the office, establishments, godowns, vessels or 
vehicles of such persons shall be open to inspection at all 
reasonable times by such officers and servants of the Market 
Committee as may be authorised in this behalf by the Committ ee. 
(3) If any such officer or servants has reasons to suspect that any 
person is att empting to evade the payment of any market fee or 
cess or any other charges due from him under this Act or rules or 
the byelaws made thereunder or that any person has purchased 
any notified agricultural produce in contravention of any of the 
provisions of this Act or the rules, or the byelaws made thereunder 
be may for reasons to be recorded in writing, seize such accounts, 
registers or documents of such person as may be necessary and 
shall grant a receipt for the same and shall retain the same so long 
as may be necessary for examination thereof or for a prosecution 
as the case may be. 
(4) For the purpose of sub-section (2) or sub-section(3), such officer 
or servant may enter or search any place of business, warehouse, 
office establishment,godown, vessel or vehicle where such officer 
or servant has reason to believe that such person keeps, for the 
time being, any accounts, register or documents of his business, or 
stock notified agricultural produce relating to his business, and the 
provisions of section 100 of the Code of Criminal Procedure, 1973, 
shall apply to every such search. 
27. (1) At any time when so required by any officer or servant of a 
Market Committee or Board/Director empowered in this behalf, 
the driver or any other person in charge of any vehicle, vessel or 
other conveyance, which is taken or proposed to be taken out of 
the market area shall stop the vehicle, vessel or other conveyance. 
as the case may be and keep it stationary as long as may be 
reasonably necessary and allow such officer or servant to examine 
the contents in the vehicle, vessel or other conveyance and inspect 
all records relating to the notified agricultural produce carried and 
give his name and address and the name and address of the owner 
of the vehicle vessel or other conveyance and of the owner of the 
notified agricultural produce carried in such vehicle, vessel or other 
conveyance. 
(2) The officer or servant of the market Committ ee or Board 
empowered under sub-section (1) shall have power to seize any 
notified agricultural produce taken or proposed to be taken out of 
the market area in any vehicle. vessel or other conveyance, if such 
officer or servant has reason to believe that any fee or other 
Power to stop vehicles 
etc. 
' 

amount due under this Act in respect of such produce has not been 
paid: 
Provided that such seizure shall forthwith be report by the officer 
or servant aforesaid to a magistrate having jurisdiction to try the 
offence under this Act and the provisions of Sections 457, 458 and 
459 of the Code of Criminal Procedure, 1973, shall so far as may 
be,apply in relation to the notified agricultural produce seized as 
aforesaid as they apply in relation to property seized by police 
officer. 
28. Every Market Committee shall keep in the market yard two sets 
of weighing and measuring instruments as prescribed under the 
Arunachal Pradesh Weights and Measures (Enforcement) Act, 1979 
and rules made thereunder and such instruments shall be tested, 
verified and stamped in accordance with the provisions of the said 
Act or Rules made thereunder 
29, Every encroacher of market yard, sub-market yard or yards shall 
be evicted therefrom in such manner and procedure as provided in 
law in force for eviction of encroacher of Government land. 
CHAPTER-IV 
MARKET COMMITI EE FUND AND BUDGET 
30. (I) There shall be a Fund to be called the Market Committee 
Fund to which all moneys received by the Committ ee shall be 
credited and all expenditure incurred by the Market Committee 
under or for the purposes of this Act shall be defrayed out of the 
said Fund and any surplus remaining with the Market Committ ee 
after such expenditure shall be invested in such manner as may be 
prescribed 
(2) Save as otherwise provided in this Act, the amount to the credit 
of the said Fund and all other moneys received by the Market 
Committee shall be kept in Co-operative Bank or in Post Office 
Saving Bank or in any other Bank with the approval of the Director 
or Board. 
31. Subject to the provisions of section 30 the Market Committee 
Fund shall be expanded for the following purpose only, namely :- 
(i) the acquisition of site or sites for the market; 
(ii) the establishment, maintenance and improvement of the 
market. 
(iii) the construction and repair if buildings necessary for the 
purpose of the market and for convenience or safety of the 
persons using the market : 
(iv) the maintenance of standard weights and measures; 
(v) the meeting of establishment charges including payment 
and contribution towards provident fund, pension, gratuity 
Use of weighing am 
measuring instruments 
Eviction of encroacher! 
of market yard or yard: 
Market Committee 
Fund. 
Application of Market 
Committee Fund. 

and all other allowances of the officers and servants 
employed by a Market Committee; 
(vi) loans and advances to the employees of the committees; 
(vii) the payment of interest on the loans that may be raised for 
the purpose of the market and provisions of sinking fund in 
respect of such loans;. 
(viii) the collection and dissemination of information relating to 
crop statistics and marketing of agricultural produce; 
(ix) expenses incurred in auditing the accounts of the market 
Committee; 
(x) payment of honorarium including travelling allowances of 
the Chairman, the Vice-Chairman and other members of 
the Market Committ ee and sitt ing fees payable to member 
for attending the meeting etc; 
(xi) contribution to Arunachal Pradesh Agricultural Marketing 
Board as prescribed and Consolidated Fund of the State to 
the extent required for salary, of the employees of the 
Board : 
(xii) contribution to any scheme for development of agricultural 
marketing including transport and scientific storage 
(xiii) to provide facilities like grading services and 
communication to agriculturists in the market areas; 
(xiv) to provide for development of agricultural produce in the 
market area ; 
(xv) payment of expenses and incidental to elections under this 
Act 
(xvi) incurring of all expenses for research, extension and 
training in marketing of agricultural produce; 
(xvii) prevention in conjunction with other agencies, State, 
Central and others of distress sale of agricultural produce : 
(xviii)fostering co-operative marketing and assisting-operative 
marketing societies in the procurement and organisation of 
profitable disposal of produce, particularity the produce 
belonging to small and marginal farmers; 
(xix) any other propose connected with the marketing of 
agricultural produce under this Act whereon the 
expenditure of market Committ ee Fund is in the public 
interest subject to the prior sanction of the Director/Board. 
Power to 
32. (I) A Market Committee may, with the previous sanction of the ;>) borrow. 
Government raise money required for carrying out the purpose for 
which it is established on the security of any property, vested in it 
and of any fees liveable by it under this Act. 
(2) The Market Committ ee may for the purpose of meeting the 
initial expenditure on lands, buildings and equipment's required 
for establishing the market, obtain loan or grant,-in-aid from the 
Government. 

(3) the conditions subject to which such money or loan or grant-in­ 
aid should be raise or obtained and the time within which the same 
shall be repayable, shall be subject to previous, sanction of the 
Government. 
Preparation am 
/f sanction of budget 33. (I) Every Market Committee shall prepare and pass the budget 
of its income and expenditure for the ensuing year in the prescribed 
form and shall submit it to the Board for sanction before the 
prescribed date every year and on receipt thereof the Board shall 
sanction the budget with or without modification within two 
months from the date of receipt thereof and if it is not returned by 
the Board within two months it shall be deemed to have been 
sanctioned. 
(2) No expenditure shall be incurred by a Market Committee on any 
· item, if there is no provision in the sanctioned budget or unless it 
can met by reappropriation from saving under any other head and 
any sanction for appropriation may be obtained from the Board : 
Provided that in case of reappropriation from minor heads under 
one major head, sanction for reappropriation shall not be required. 
(3) A Market Committ ee shall at any time during the l ear for which 
any budget has been sanctioned cause a revised or supplementary 
budget to be passed and sanctioned in the same manner as if it was 
an original budget; 
(4) The Market Committee may take up or give order for execution 
of any construction work up to the estimated value of not 
exceeding rupees one lakh without prior permission of the Board; 
(5) Any construction work of the Marketing Committ ee shall be 
awarded in pursuance of open tender system only, 
CHAPTER-V 
REGULATION OF TRADING 
34. No person shall, in respect of any notified agricultural produce, 
.operate in the market area as trader, commission agent, broker, 
weighman, hammal, surveyor, warehouseman, owner or occupier 
of processing or pressing factories or such other market 
functionary, except in accordance with the condition of a licence 
granted under the provision of this Act and the rules and bye-laws 
made thereunder. 
*[CHAPTER V-A 
ESTABLISHMENT OF PRIVATE YARD 
34.A. Notwithstanding anything contained in this Act the / 
Director/ Chief Executive Off icer of the Arunachal Pradesh 
Agricultural Marketing Board may grant licence to purchase 
agricultural produce by establishing private yard or direct f rom 
Agriculturist in one or more market area f or : 
a. process of the notified agricultural produce; 
Regulation of persons 
operating in the marke 
area. 
Establishment of 
Private yards, and 
direct purchase of 
agricultural produce 
from 
agriculturist( direct 
purchasing 
from Produce) 

b. trade of notified agricultural produce of particular 
specification; 
c. export of notified agricultural produce; 
d. grading, packing and transaction in other way by value 
addition of notified agricultural produce.] 
*[Inserted by 2006 (Amd) Act (Act no 6 of 2006.s.3.] 
Power to grant 
~ licences. 
35. (I) Any person who desire to operate in the market shall apply· 
to the Market Committ ee for the grant of a licence or renewal of a 
licence under this Act. 
(2) Every such application shall be accompanied by such fee as may 
be prescribed. 
(3) On receipt of application under sub-sections (I) and (2) the 
Market Committ ee shall grant a licence with such terms and 
conditions and for such period as may be prescribed or renew the 
licence in case of renewal or refuse to grant or renew after 
recording of its reason : 
Provided that if the Market Committee fails to grant or renew a 
licence within a period of six), days from the date of receipt of 
application, the licence shall be deemed to have been granted or 
renewed, as the case may be. 
(4) The Market Committee may, by a resolution, pass in that behalf 
and with the prior approval of the Director or the Board, direct that 
no commission agent or a broker or both shall act in any transaction 
between t

Excerpt shown. Open the full act in Lexace.

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