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The Delhi Agricultural Produce Marketing (Regulation) Act, 1998

Delhi · state statute
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DEPARTMENT OF LAW, JUSTICE AND LEGISLATIVE AFFAIRS NOTIFICATION  
Dated, the 2nd June, 1999  
   
No. F.14/11/98-LAS/186 – The following Act of the Legislative Assembly received the assent of 
the President on 21.05.1999 and is hereby published for general information.  
   
THE DELHI AGRICULTURAL PRODUCE MARKETING (REGULATION) ACT, 1998  
(Delhi Act No. 7 of 1999)  
 An Act to provide for the better regulation of marketing of agricultural produce and the establishment 
of markets for agricultural produce in the Nat ional Capital Territory of Delhi and for matters 
connected therewith or incidental thereto.  
 Be it enacted by the Legislative Assembly of The national Capital Territory of Delhi in the Forty Ni nth 
Year of the Republic of India as follows:  
Chapter I 
PRELIMINARY 
 
  1.      Short title, extent and commencement  – (I) This Act may be called The Delhi Agricultural 
Produce Marketing (Regulation) Act, 1998.  
ii.                   It extends to the whole of the National Capital Territory of Delhi.  
iii.                 It shall come into force on such date as the Government may, by notification, appoint.  
   
2.      Definitions – (1) In this Act, unless the context otherwise requires,  
  (a)     “agricultural produce” means all produce and commodities, whether processed or unprocessed, 
of agricultural, horticulture, apiculture, viticulture, pisciculture, sericulture, animal husbandry, fleeces 
and skins of animals and forest products as are specified in the Schedule and each other produce as 
may be declared by the G overnment by notification to be an agricultural produce and also includes 
admixture of two or more of such produce;  
   
   
(b)     “agriculturist” means a person residing in Delhi who ordinarily by his own labour or by the 
labour of any member of his fami ly or who by the labour his tenants or servants or hired 
labour or otherwise, is engaged in the production or growth of agricultural produce, which has 
not been processed, but does not include a trader, commission agent, processor broker, or a 
partner in a  trading firm, or industrial concern, or in relation to agricultural produce, except 
where such trader, commission agent, processor or broker or partner is engaged in the 
production or growth of agricultural produce;  
(c)     “Board” means the Delhi Agricultural Marketing Board constituted under section 5;  
(d)     ‘broker” means an agent who, is consideration of a commission, fee or remuneration, 
contrives, makes and concludes a bargain or contracts on behalf of his principal, for the 
purchase or sale of  agricultural produce, but does not receive, deliver, transport, or pay for 
the purchase of collect payment for the sale of the notified agricultural produce;  
(e)     “buyer” means a person, firm, company or cooperative society or Government agency or 
public undertaking or public agency or corporation, or commission agent, who in the course of 
his or its business himself or itself or on behalf of any person or agent buys or agrees to buy 
notified agricultural produce in the market area;  
(f)      “bye-laws” means bye-laws made under section 118;  
(g)     “Commission agent or arhtia” means a person, who by himself or through his servants, in the 
ordinary course of business, makes or offers to make a purchase of sale of a notified 
agriculture produce, on b ehalf of the seller or purchaser of such agricultural produce as the 
case may be, within the notified market yard and / or sub -yard or keeps it in his custody and 
controls it during he process of its sale or purchase and collects payment thereof from the 
buyer and pays it to the seller and receives by way of remuneration a commission or Arhat or 
percentage upon the amount involved in each transaction;  
   
(h)     “Delhi” means the national Capital Territory of Delhi;  
(i)       “Director” means a person a ppointed by the Government by notification, as the Director of 
Agricultural Marketing of Delhi;  
(j)       “Government” means the Lieutenant Governor;  
(k)     “Lieutenant Governor” means the Lieutenant governor of the National Capital Territory of 
Delhi appointed by the President under article 239 read with article 239AA of the Constitution;  
(l)       “local authority” means, in relation to an area within the local limits of:-  
(i)                 The Municipal Corporation of Delhi, that corporation;  
(ii)               the New Delhi Municipal Council, the Council; and  
(iii)              The Delhi Cantonment Board, the Board;  
   
Explanation – It is hereby clarified that, for the purpose of this Act, the Delhi Development Authority 
constituted under th e Delhi Development Act, 1957, and the Board and a marketing committee 
established under this Act, shall be deemed to be local authority;  
       (m)  “market” means a regulated market established under this Act, for a market area and 
includes a market of  national importance established under section 26 and a principal market and a 
subsidiary market established under section 23;  
    (n)  “market area” means area declared to be a market area under section 4;  
   (o)  “market charges” include charges on a ccount of or in respect of commission, brokerage, 
weighting, measuring, palledari, loading, unloading, and carrying, cleaning, drying, sieving, stitching, 
stacking, hiring, gunny bags stamping, bagging, storing, warehousing, grading; surveying, 
transporting and processing;  
(p)   “marketing committee”  means a committee constituted for a market area under this Act;  
(q)      “marketing” means buying or selling of notified agricultural produce and includes grading, 
standardization, processing, storage, col d storage, warehouse, transport, export, channels of 
distribution and any other function associated with the buying or selling of such agricultural produ ce 
and all activities involved in the flow of agricultural produce from production points commencing wi th 
the stage of harvest till these reach the consumer at large;  
(r)  “market functionary” means a dealer, broker, commission agent, buyer, palledar, processor, 
stickiest, cold storage operator, trader, weigh -man and such other person as may be declared b y 
notification under the bye-laws to be a market functionary;  
(s)  “marketing service” MEANS Delhi Agricultural Marketing Service constituted under section 75;  
(t)  “notification”  means a notification published in the official Gazette;  
(u) “notified agricultural produce” means any agricultural produce notified under section 4;  
(v)  “official Gazette” means the Delhi Gazette;  
(w)  “prescribed”  means prescribed by rules made under this Act;  
(x)  “processing” means any one or more of a series of treatments 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 subject 
to;  
(y)  “processor” means a person who processes any notified agricultural produce on his own accord or 
on payment of a charge;  
(z)   “retail sale” in relation to any notified agricultural produce, means the sale of that produce, not 
exceeding such quantity as the marketing committee may, by bye-laws, determine to be a retail sale 
in respect thereof;  
(za)  “rules” means rules made under this Act;  
(zb)  “schedule” means the schedule to this Act;  
(zc)  “Secretary” means a Secretary to the Board, Marketing committ ee for a market of national 
importance and other marketing committee and includes joint, Deputy and Asstt. Secretary appointed 
as per provision of this Act and in terms of Service Regulations meant for Delhi Agricultural Marketing 
Service.  
(zd)  “section” means a section of this Act;  
(ze)  “seller” means a person who, sells or agrees to sell and notified agricultural produce and 
includes a person who sells on behalf of any other person as his agent or servant or commission 
agent;  
(zf) “surveyor” means a person who, on arrival of a consignment of notified agricultural produce for 
sale in any market area or market, surveys it for ascertaining the quality, refraction, adulteration and 
other like factors;  
(zg)  “trader” means a person who, in the normal course, carries out the business of buying or 
selling, storing or processing of any notified agricultural produce as a principal or a duly authori zed 
agent.  
(2)   If any questions arise as to whether a person is or is not an agriculturist for the purposes of this 
Act, the matter shall be referred to the Director whose decision thereon shall be final.  
   
 
 
Chapter II  
ESTABLISHMENT OF MARKET AREA  
3. Notification of intention of regulating marketing of notified agricultural produce in area – 
(1) The Government may, by notification, published in the official Gazette, and such other manner as 
may be prescribed, declare its intention of regulating the marketing of such agricultural produce, a nd 
in such area, as my be specified in the notification, in accordance with the provision of this Act.  
Provided that no such area shall be included in the notification except after consultation with the 
Municipal Corporation of Delhi, New Delhi Municipal Council, Delhi Cantonment Board and the Delhi 
Development Authority, as the case may be.  
(2)    The notification may also be published in at least two local newspapers published in such 
languages as the Government may from time to time specify by order in this behalf, or in such 
other manner as, in the opinion of the Gov ernment, is best calculated to bring to the notice of 
persons in that area, the intention aforesaid.  
(3) The notification under sub -section (1) shall state that any objections or suggestions that may be 
received by the Government, within such period not being less than forty five days, to be specified in 
the notification, shall be considered by it.  
4. Declaration of market area and regulating agricultural produce – (1) On the expiry of the 
period specified in the notification issued under section3, and af ter considering the objections and 
suggestions, if any, as may be received before such expiry, and holding wherever considered by the 
Government to be necessary, an inquiry in the prescribed manner, the Government may, by 
notification, declare an area to b e a market area wherein the marketing of agricultural produce 
specified in the notification shall be regulated in accordance with the provisions of this Act;  
(2)     A declaration made under sub -section (10 may also be published in at -least two newspapers  in 
such languages as the Government may from time to time specify by order, in this behalf or in such 
other manner as, in the opinion of the Government, is best calculated to bring to the notice of persons 
in that area the declaration aforesaid.  
(3) On a  declaration being made under sub -section (1) no local authority shall, notwithstanding 
anything contained in any other law for the time being in force, establish, or authorise or allow to  be 
established, or continue, or authorise the continuation of any p lace in the market area for the 
marketing of agricultural produce specified in the declaration.  
(4) The Government may, in the manner specified in section 3, at any time, exclude any area from a 
market area, or include therein an additional area, or may declare that the regulation of marketing of 
any notified agricultural produce in any market area shall cease or that the marketing of any 
agricultural produce hitherto not regulated shall be regulated in the market area.  
   
 
 
CHAPTER III  
CONSTITUTION AND POWERS OF DELHI AGRICULTURAL MARKETING BOARD  
5. Establishment and composition of Delhi Agricultural Marketing Board – (1) The 
Government shall, for the purpose of this Act, establish a Board to be known as “The Delhi 
Agricultural Marketing Board” consisting of a Chairman, and fifteen members of whom seven shall be 
officials and eight non-officials, to be nominated by the government in the following manner, namely:  
(a)   the official members shall be :-  
(i)                 the Director who shall be ex-officio Vice-Chairman of the Board;  
(ii)               two representatives of the Development Department of the Government of whom one 
shall be from Agriculture wing and the other from Cooperative wing;  
(iii)              one representative from Department  of food Supplies and consumer Affairs of the 
government  not below the rank of Deputy Commissioner.  
(iv)             One representative each from the Delhi Development Authority and the Municipal 
corporation of Delhi who shall belong to planning wing of the respective body;  
(v)              The Agricultural Marketing Adviser to the Government of India or his nominee;  
(b)   the non-official members shall be :-  
(i)                 two agriculturists, being members of the market committees;  
(ii)               two members representing the organisations of agriculturists;  
(iii)              one member to be elected in the prescribed manner from the traders and commission 
agents licensed under section 80;  
(iv)             one member representing the Co -operative societies; which are marketing in agricultural 
produce; and  
(v)              two member representing the interests of consumers, of whom one shall be a member of 
the Legislative Assembly of Delhi.  
(2)          The Vice-Chairman shall function as the chief executive officer of the Board.  
6. Incorporation of the Board – The Board shall be a body corporate and a local authority with the 
name “ The Delhi Agricultural Marketing Board” having perpetual succession and a common seal, with 
power, subject to the provisions of the Act, to acquire, hold and dispose of property, and may be the 
said name, sue and be sued.  
7. Term of Chairman, Vice -Chairman, Official Members and non -official member – The 
chairman, the Vice -Chairman and the official members shall  hold office during the pleasure of the 
Government; Every non-official member shall hold office for a period of five years but shall, on the 
expiry of the term, be eligible for re -nomination provided that, notwithstanding the expiry of the 
term, be eligibl e for re -nomination provided that, notwithstanding the expiry of term of office, the 
non-official member shall continue in office until his successor has been nominated and has assumed 
office.  
8. Disqualifications for membership – A person shall be disqua lified, for being nominated as and 
for being, a member of the Board if he:  
(a)   does not ordinarily reside within Delhi;  
(b)   is below twenty-five year of age;  
(c)   has been removed from membership of a marketing committee under section 50;  
(d)   is of unsound mind and stands so declared by a competent court; or  
(e)   is an un-discharged insolvent; or  
(f)    has been convicted by a criminal court, whether within or outside Delhi, of any offence which, in 
the opinion of the Government, involves moral turpitude;  
Provided that the disqualification on the ground of conviction by a criminal court shall not apply a fter 
the expiry of five years from the date of his release.  
9. Chairman to preside – (1) The Chairman, and in his absence, the Vice -Chairman shall preside 
over the meetings of the Board.  
(2) All questions, which come up before a meeting of the Board, shall be decided by a majority of the 
votes cast by the members present and voting. In the case of equality of votes, the Chairman or in 
his absence, the Vice-Chairman when presiding over the meeting, may exercise a casting vote.  
10. Quorum at Board’s meetings – Five members shall constitute the quorum at a meeting of the 
Board.  
Provided that, if a meeting is adjourned for want of quorum, no quor um shall be necessary for 
transacting the same business in he next meeting to be held in accordance with the rules.  
11. Resignation Chairman and Members – (1) The Chairman of the Board may, by  writing under 
his hand addressed to the Government and delivered to the Director, resign his office.  
(2) A member may, by writing under his hand, addressed to the Government and delivered to the 
Chairman of the Board, resign his office.  
(3)          A resignation under sub-section (1) or sub-section (2) shall take effect from the date on which 
it is accepted by the Government.   
12. Pay, allowance and benefits to the Chairman and Vice -Chairman of the Board – (1) The 
Chairman and Vice-Chairman of the Board shall be entitled to receive such pay and or allowances and 
other benefits as may be determined by rules made in this behalf. If non -official is appointed a 
Chairman of the Board, his remuneration and other benefits shall be such as may be determined by 
the Government.  
(2) The members of the Board shall be entitle d to receive such allowances and other benefits for 
attending the meetings of the Board or for attending any other work, assigned to them by the Board, 
as may be determined by rules made in this behalf.  
13. Removal of non-official members – The Government may remove from office any non-official 
member of the Board who has become subject to any of the disqualifications specified in section 8 or  
who, in its opinion, is remiss in the discharge of his duties or has ceased to represent the interes t to 
which he was nominated.  
Provided that no such member shall be removed from office except after being given a reasonable 
opportunity of showing cause against the action proposed.    
14. Filling up of casual vacancies – A vacancy occurring otherwise than by efflux o f time in 
respect of non -official members of the Board shall be filled up, as soon as may be, by fresh 
nomination by the Government. The person so nominated shall hold office for the un -expired term of 
the member concerned.  
15. Approval of budget estimate s of the Board – (1) Subject to the rules made under this Act, 
the estimates of the annual income and expenditure of the Board in the prescribed form for the 
ensuing year shall be prepared and passed by the Board and submitted every year, not later than the 
prescribed date, to the Government for its approval.  
(2) The Government may approve the budget of the Board as it is or with such alterations or 
modifications as it may think fit and the budget so approved by the Government shall be the budget 
of the Board for the year.  
(3) The budget, as approved by the Government, shall be returned to the Board within two months 
from the date of the receipt thereof and if it is not so returned within tow months, it shall be 
presumed that the budget, as presented by the Board, has been duly approved by the Government.  
16. Vacancies not to invalidate Board’s action – No act or proceeding of the Board shall be 
invalid merely by reason of the existence of any vacancy among its members or any defect in the 
constitution thereof.  
17. Powers and functions of the Board – (1) The Board shall exercise superintendence and 
control over the marketing committees.  
(2) The Government or the Chairman or the Vice -Chairman of the Board or any other official of the 
Board authorised in th is behalf by the Board may call for from any marketing committee or any 
trader, go-down keeper or any other functionary operating within the market area any information or 
return relating to agricultural produce and shall have the power to inspect the reco rds and accounts 
of such marketing committee, trader, go-down-keeper or other functionary and shall also have power 
to seize or take into possession against proper receipt the records accounts books stocks of notifie d 
agricultural produce along with its containers and carriers.  
(3) It may authorise officer / officers of the Board and / or marketing committees to inspect works 
undertaken by the marketing committees and Board and to take corrective measures.  
 (4) Subject to the provisions of this Act and th e rules and regulations made there -under, the Board 
may employ such persons for the performance of its functions as it may consider necessary and the 
method of recruitment, the scale of pay and other conditions of service of such persons shall be suc h 
as may be provided in the regulations made by the Board in this behalf.  
(5) The Board shall, subject to the provisions of this Act, perform the following functions and shal l 
have the power to do such things as may be necessary or expedient for carrying out th ese functions 
namely:  
(i)                 Coordination of the working of the marketing committees and other affairs thereof 
including programmes undertaken by such marketing committees for the maintenance of 
markets, sub-markets, check posts and other sites in the market areas;  
(ii)               (undertake the planning and development of markets for agricultural produce;  
(iii)              administer the Market Development Fund;  
(iv)             issue direction to Marketing Committees in general or to one or more Marketing 
Committees in particular with a view to ensuring improvement thereof;  
(v)              any other function specially entrusted to it by this Act;  
(vi)             such other functions of like nature as may be entrusted to the Board by the Government.  
(6) Without prejudice to the generality of the foregoing provision, such functions of the Board shal l 
include:  
(a)   to consider proposals for selection of new site(s) for establishment of the markets and to make 
recommendations to the Director for establishing principal market and sub -markets as per 
provision of sub-section (2) of section 22;  
(b)   to approve proposal for providing infrastructural facilities in the market and market area;  
(c)   to construct a market or to approve plans, designs and estimates for constructing markets;  
(d)   to sanction, supervise and guide a Marketing Committee in the preparation of plans and 
estimates for maintenance and improvement works undertaken by the Marketing Committee;  
(e)   to execute all works chargeable to the Market Development Fund;  
(f)    to encourage marketing of the agricultural produce on cooperative basis;  
(g)   to maintain accounts in such forms as may be prescribed and get the same audited in such 
manner as may be prescribed;  
(h)   to publish annually at the close of the financial year, its progress report, balance sheet and 
statement of assets and liabilities and send copies thereof to all the members of the Board and 
a copy to the Government;  
(i)     to make necessary arrangem ents for dissemination  of information on matters relating to 
regulated marketing of notified agricultural produce;  
(j)     to provide facilities for the training of officers and members of the staff of the Board as also 
the Marketing Committees;  
(k)   to prepare and adopt its budget for the ensuing year;  
(l)     to sanction the budget of the Marketing Committees;  
(m) to grant subventions or loans to the Marketing Committees for the purposes of this Act on 
such terms and conditions as the Board may determine;  
(n)   to arrange or organise seminars or workshops or exhibitions, etc. on subjects related to 
agricultural marketing;  
(o)   to perform such other functions as may be of general interest to the Marketing Committees or 
considered necessary for efficient functioning of the Board or the Marketing Committees;  
(p)   to transfer or to provide marketing technology and market assistance to the Marketing 
Committees as and when required.  
18. Functions and powers of the Vice-Chairman – The Vice-Chairman of the Board shall –  
(i)             discharge all functions as chief executive officer of the Board and make appointments and 
exercise supervision and control over the officers and members of the staff of the Board and 
the Marketing Service in matter includ ing those of executive or administrative in nature as 
laid down in service regulations;  
(ii)               ensure maintenance of accounts and records;  
(iii)              dispose of all questions relating to the service of the employee as per the procedur e laid 
down in the regulations;  
(iv)             appoint officers and members of the staff of the Board and Marketing Service as per 
procedure laid down in the regulations;  
(v)              incur expenditure from the market Development fund on works and other items as per 
powers delegated to him by the Board;  
(vi)             in case of emergency, direct the execution or stoppage of any work and perform any 
function which requires the sanction of the Board;  
(vii)           prepare the annual budget of the Board;  
(viii)          arrange internal audit of the Board;  
(ix)             discharge any other duties which may be assigned to him by the Board from time to time;  
(x)               take steps for execution of the decisions of the Board;  
(xi)             inspect works undertaken by the Marketing Committees and Board and take corrective 
measures;  
(xii)            report to the Government such acts of the Marketing Committees or of the Board which are 
contrary to the provisions of this Act or the rul es, regulations or bye -laws made there -
under; and  
(xiii)          take such steps as may be deeded necessary for effective discharge of the functions of the 
Board;  
19. Functions of the Secretary of the Board – Secretary of the Board shall –  
(i)                 arrange meetings of the Board;  
(ii)               maintain record of the proceedings of the meetings of the Board in the prescribed manner.  
(iii)              Discharge other functions as may be assigned to him by Vice -Chairman of the Board from 
time to time.  
20.             Delegation - The Board may, with the previous approval of the Govt. and by notification, 
delegate any of its powers other than the power to make regulations, not inconsistent with the 
provisions of the Act and rules made there-under, to its Vice-Chairman and other officers.  
21.  Powers to make regulations for administering the affairs of the Board – (1) The Board 
may, with the previous approval of the Government, make regulations, not inconsistent with this Act 
and the rules made there-under, for the administration of the affairs of the Board.  
(2) In particular and without prejudice to the generality of the foregoing power, such regulations may 
provide for all or any of the following matters:  
(i)                 the summoning and holding of meetings of the Board, the time and date when such 
meetings are to be held, he conduct of business at such meetings;  
(ii)               the powers and duties of the officers and other employees of the Board and the 
Marketing Committees;  
(iii)              the salaries and allowances, loans and advances, and other conditions of service of 
officers and other employees of the Board and of the Marketing Committee;  
(iv)             the recruitment, qualification, appointment, promotion, scale  of pay, leave, leave 
allowance, acting allowance, loans, pension, gratuity, annuity, compassionate fund, 
provident fund, Pension fund, suspension, dismissal, removal, conduct, departmental 
punishment, appeals and other conditions  of service of the member s of the Marketing 
Service and other staff;  
(v)              the management of the property of the Marketing Committee and the Board;  
(vi)             the execution of contracts and assurance of property on behalf of the Board;  
(vii)           the maintenance of accounts and preparation of balance sheet of the Board  
(viii)          the procedure for carrying out the functions of the Board under this Act;  
(ix)             any other matter for which provision is to be or may be made in the regulations;  
22.             Dissolution – The Government shall exercise superintendence and control over the Board 
and may call for such information as it may deem necessary and in the event of its being satisfied 
that the Board is not functioning properly or is persi stently making default in the performance of the 
duties imposed on it by or under this Act or is exceeding or abusing its powers or is guilty of 
corruption or mismanagement, the Government may be an order published, together with a 
statement of reasons thereof, in the official Gazette, dissolve the Board till such time as a New Board 
is constituted, and make such arrangements for the exercise of the functions of the Board as it may 
think fit.  
      Provided that no order of dissolution as aforesaid shall b e made except after giving the Board a 
reasonable opportunity of showing cause against the action proposed.  
     Provided further that New Board shall be constituted within a period of six months from the date 
on which the Board is dissolved.  
   
 
 
 
 
 
 
 
 
 
 
 
 
   
CHAPTER IV  
ESTABLISHMENT OF MARKETS AND ACQUISITION OF LAND  
23.             Establishment of Market – (1) For every market area, there shall be established on 
principal market, and there may also be established one or more subsidiary markets, con sidered 
necessary, for the marketing of notified agricultural produce.  
(2)              The Director shall, as soon as possible after a declaration is made under sub -section (1) of 
section 4, by notification, establish any place (including any structure, enclosure, open space or 
locality) in any market area to be the principal market for the marketing of the agricultural produc e 
specified in such notification and may, by the same or other notification, establish in any such pla ce 
in any market area or more subsidiary markets for the marketing of such agricultural produce.    
24. Acquisition of land for markets – (1) When any land within the market area is required for the 
purposes of this Act and the Board is unable to acquire the same by agreement, the Lie utenant 
Governor, may at the request of the Board, proceed to acquire such land under the provisions of the 
Land Acquisition Act, 1994(1 to 1894) and on payment, of the compensation awarded under that Act, 
by the Board and nay other charges incurred by the  Lieutenant Governor, in connection with such 
acquisition the land shall vest in the Board or the Market Committee as the case may be.  
Provided that once a proposal has been made by the Board, it shall not be withdrawn by it except for  
reasons which may be recorded by it and approved, by the Lieutenant Governor:  
(2) The Board shall not, without the previous sanction of the Lieutenant Governor, transfer any land , 
which has been acquired for the Board or Marketing Committee under sub -section (1) or vest in it or 
use such land for a purpose other than the purpose for which it has been acquired, or is used as the  
case may be.  
 
 
 
 
 
 
 
 
CHAPTER V 
MARKETS OF NATIONAL IMPORTANCE 
25. Definitions – In this chapter unless the context otherwise requires –  
(a)     the expression “market” means “market of national importance” and,  
(b)     the expression “Marketing Committee” means the “Marketing Committee of a market of 
national importance”.  
26. Establishment of markets of national importance and Marketing Committee thereof – 
(1) Notwithstanding anything contained in this Act, where the Government is satisfied that on account 
of the national importance of marketing of nay commodity, in any area, it is expedient to ensure the  
efficient regulation of the marketing of such commodity in such area, it may establish -   
(a)  in such area, special markets, known as “Markets of National Importance” for such commodities; 
and  
(b)  independent Marketing Committees known as “Marketing Committees of Markets of National 
Importance” in relation to such markets, notwithstanding that such area falls within the local limits of 
the jurisdiction of any other Marketing Committee or Committees already functioning in that area.  
(2) The Government may, after consideration of such aspects as,  the turnover, upstream catchment 
area, down -stream servicing (number of consumers served), and price leadership (whether the 
market influences the price at the national level), declare an area as a special market area known a s 
“Market area of the market of National Importance”.  
Provided that no such market shall be established:  
(a)  if it handles less than one lakh tonnes of produce per year;  
(b)  if, out of the total produce handled by it, less than thirty percent thereof is received from two 
or more States or Union Territories; and  
(c)  if the market does not influence the price of the commodity referred to in sub-section (1) at the 
national level.  
27. Composition of the Marketing Committee for Market of National Importance – Every 
Marketing Committee constituted under sub -section (1) of section 26 shall consist of the following 
members:  
(a)   three members to be nominated by the Government from amongst the agriculturists residing in 
Delhi;  
(b)    three members to be elected in the prescribed manner s from amongst the traders and 
commission agent holding licence in any Marketing Committee in Delhi;  
Provided that at least two members will be from amongst those traders and Commission 
Agents who hold  a licence from the Marketing Committee constituted u nder sub-section (1) of 
Section 26;  
(c)    one representative of the Board to be nominated by the Government,;  
(d)    the Director or his nominee (ex-officio members);  
(e)    three representatives of other States and union territories to be nominated by the government, 
in a consultation with the State Government or the Administrator of the Union Territory as, the 
case me be,  
(f)     the Secretary of the Marketing Committee (as ex-officio Member-Secretary);  
(g)    one representative of the Agricultural Marketing Adviser to the Government of India.  
28. Chairman and Vice-Chairman of the Marketing Committee – The Marketing Committee shall 
have a Chairman and Vice-Chairman to be nominated by the Government from amongst its members.  
29. Term of Members – The members shall hold office for a term of five years. However, the 
member being nominated as Chairman and Vice -Chairman, they shall function as such, during the 
pleasure of the Government.  
30. Meetings of the Marketing Committee – The Marketing Committee constituted under sub -
section (1) of section 26 shall meet at least once in every two calendar month.  
31. Executive Committee and its composition of the mkts. Of National Importance -  (1) 
There shall be an executive committee of the market.  
(2) The composition of the executive committee referred to in sub-section (1) shall be :-  
(i)  the Chairman of the Marketing Committee;  
(ii) two representatives, to be nominated by the Government, of whom one shall be holding a trading 
licence in the market and other shall be a representative of the agriculturists;  
(iii) one representative of the Board to be nominated by the Government;  
(iv) the Director or his nominee;  
(v) one representative of a State or Union Territory from which agricultural produce is importe d in 
Delhi, to be nominated by the Government in consultation with the State Government or the 
Administrator of the Union Territory, as the case may be;     
(vi) the Secretary of the Marketing Committee constituted under Section 27 who shall act as the 
Member-Secretary of the Committee.    
(3) In case of emergency, the executive committee may decide issues requiring approval of the 
Marketing Committee. However, such decisions shall be approved by the Marketing Committee within 
forty-five days from the date such decisions are taken. Failure in doing so or in the event of 
disapproval of such decisions by the marketing committee, such decision shall stand null nad void, so 
however, that any such disapproval shall be without prejudice to the validity of anything  previously 
done under that decision.       
Provided that if the Marketing Committee makes any modifications in such decision, the decision shall 
have effect only in such modified form from the date of such modification.  
32. Meetings of Executive Committee – the executive committee shall meet as often as necessary 
but at least once in a calendar month.  
33. Terms of office members of the Executive Committee -  The members  of the Executive 
Committee shall hold the office during the pleasure of the Government.  
34. Appointment and functions of Secretary of the Marketing Committee – (1) the Secretary 
of the Marketing committee shall be appointed by the Government from amongst Union Territory Civil 
Service officers at-least with ten years of service.  
(2)   Subject to the superintendence, control and supervision of the executive committee referred to in 
section 31, the Secretary shall –    
(i)                 exercise supervision and control over the officers and members of the staff of the 
Marketing Committee in matters of administration;  
(ii)               incur expenditure from the funds of the Marketing Committee for items of work which 
have been duly sanctioned;  
(iii)              in case of emergency, direct the execution or stoppage of any work or perfo rmance of 
any act which requires the sanction of the Board or the Marketing Committee;  
(iv)             launch prosecution for violation of provision of this act, rules, regulation or bye -laws 
made thereof;  
(v)              issue licences to the functionaries operating in the market;  
(vi)             prepare the annual budget of the Marketing Committee;  
(vii)           summon the meeting of the Marketing Committee and the executive committee and 
maintenance of records of the proceedings of such meetings;  
(viii)          inspect, from time to time improvement and maintenance works undertaken by the 
Marketing Committee and send report of such inspection to the Chairman of the Marketing 
Committee;  
(ix)             report such acts of the marketing Committ ee or members of the marketing Committee 
including the Chairman and the Vice-Chairman which are contrary to the provisions of this 
Act, rules, regulations and bye-laws framed there-under to the Vice-Chairman of the Board 
who shall further report to the Government.  
(x)               Take such steps as may be deemed necessary for effective discharge of the functions and 
decisions of the Market Committee.  
   
CHAPTER VI  
CONSTITUTION OF THE MARKETING COMMITTEE  
35. Constitution of the Marketing Committee – (1) Without prejudice to the provisions of section 
26, there shall be constituted, by order to be published in the official gazette, by the Government for 
every market area a Marketing Committee and different Marketing Committees may be constituted 
for regulating the marketing of different kinds of notified agricultural produce marketed in the same 
market area or any part thereof.  
(2) Every Marketing Committee shall exercise such powers and discharges such functions as may be 
vested in it by or under this act.  
36. Composition of the Marketing Committee – (1) Subject to the provisions of sub -section (2), 
the government may constitute a Marketing Committee consisting of the following eleven members –  
(a)     three persons to be nominated by the Government wh o are agriculturists possessing such 
qualifications as may be prescribed;  
Provided that one them shall be a member of the schedule casts or other backward classes;  
(b)     two members to be elected in the prescribed manner from the traders and commission agents 
holding licences to operate as such in the market area;  
(c)     one member to be nominated by the Government from the amongst the President or 
Chairman of the cooperative societies engaged in the business of processing or marketing of 
the notified agriculture produce in the market area;  
(d)     one member to be chose in the prescribed manner from the local authority within the local 
limits whose jurisdiction the principal market in relation to the Marketing Committee is 
situated;  
Provided that a person to whom a licence has been granted under section 80 shall not be 
eligible for being chosen under this clause;  
(e)      one member to be elected in the prescribed manner by the licensed weighmen and measures;  
(f)       one member of the Legislative Assembly of Delhi to be nominated by the speaker to represent 
the interest of consumers;  
(g)      two members to be nominated by the Government of whom one shall represent the interest 
of consumers;  
(2) When a Marketing Committee is constituted for the first time, under this act all the members 
thereof, including the Chairman and the Vice-Chairman, shall be nominated by the Government.  
(3)   Every Marketing Committee shall have a Chairman and a Vice-Chairman.  
(4)   without prejudice to the provisions o f sub-section (2) the Chairman and the Vice -Chairman shall 
be elected by the members of the Marketing Committee.  
37. Incorporation of the Marketing Committee – Every Marketing Committee including Marketing 
Committee for market(s) of National Importance shall be body corporate and a local authority and to 
be caused by such name as the Government may, by notification, specify, shall have perpetual 
succession and a common seal, with power, subject to such restrictions as are imposed by or under 
this Act, to contract and to acquire, hold and dispose of property, both movable and immovable, and 
may by the said name sue or be sued.  
38. Manner of election of members of the Marketing Committee – The manner of election, 
preparation and maintenance of the lists of voters, qualifications and disqualifications for membership 
and of Chairman and Vice -Chairman, the right to vote, making deposit and its forfeiture, 
determination of election disputes, publication of the names of the members elected, and a or 
matters ancillary thereto shall be such as may be prescribed.  
39. Failure to elect members – If, for any reason, voters of a category fail to elect a member to a 
Marketing Committee the Director shall publish a notice in the official Gazette requiring them to el ect 
the requisite number of members within one month from the date of publication of such notice; and a 
on failure to elect the requisite number of members within the aforesaid period, the Government may 
nominate the requisite number of persons qualified to be el ected under this Act, representing that 
category.  
40. Publication of names of member of a Marketing Committee – The names of the members 
of a Marketing committee shall, as soon as possible, be published in the official Gazette. Upon the 
publication of the  names of all the members of a Marketing Committee or upon publication of the 
names of at-least nine members of such committee in the official Gazette, the Marketing Committee 
shall be deeded to have been duly constituted.  
41. Duration of the Marketing Committee – Except as otherwise provided in this Act, a Marketing 
Committee shall continue for three years from the date of its constitution under section 40.  
Provided that the Government may, by notification, published in the official Gazette, extend it s 
duration for such period as it may be deemed fit but not exceeding one year in the aggregate.  
42. Creation of Election Fund – (1) The superintendence, direction and control of the preparation 
of the list of voters, and conduct of election to a Marketing Committee and the Board shall vest in the 
Director.  
(2) All expenses in connection with the preparation of the list of voters and the conduct of electio n to 
a Marketing Committee, and to the Board, as may be sanctioned by Director, shall be defrayed from 
the Election fund of Market Fund and market Development fund. For this purpose, the Marketing 
Committee and the Board shall place at the disposal of the Director such funds in advance which he 
considers necessary for the discharge of the functions conferred on him by sub-section (1).  
43. Election of Chairman and Vice -Chairman and procedure for election – (1) Within thirty 
days of the publication of the names under section 40, the first meeting of the Marketing Committee 
shall be convened by the Director for the election of the Chairman and Vice-Chairman.  
(2) Such a meeting shall be presided over by he Director or any persons authorised by him in his 
behalf.  
(3)   the presiding authority shall have the powers as the Chairman, while presiding over a meeting of 
the Marketing Committee, but shall not have the right to vote.  
(4)   If, at the election of the Chairman or of the Vice -Chairman, there is an equality of votes, the 
result of the election shall be decided by lot be drawn in the presence of the person presiding over 
the meeting and such manner as he may determine.  
(5)   In the event of a dispute arising as to the validity of election of the Chairman or the Vice -
Chairman, the Director if he is the presiding officer, shall decide the dispute himself, and,  in any 
other case, the person presiding

Excerpt shown. Open the full act in Lexace.

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