Keywords : APMC Act, Price discovery, Farmer protection, Market transparency, Intermediary exploitation

Abstract : Agricultural Produce Market Committees (APMCs) were established in India to create a regulated and transparent system for marketing agricultural produce, ensuring fair prices and protecting farmers from exploitation by intermediaries. Rooted in colonial-era market reforms and formalized post-independence through various state-level APMC Acts, these institutions have played a crucial role in organizing agricultural trade, setting up physical marketplaces (mandis), and regulating transactions through auction systems and licensed agents. However, over time, APMCs have come under criticism for monopolistic practices, restrictive regulations, lack of infrastructure, and inefficiencies that limit market access and fair price realization for farmers. In response, multiple reform initiatives have been introduced, including the Model APMC Act (2003), the National Agriculture Market (e-NAM) platform (2016), and various state-level policies promoting private markets, contract farming, and digital integration. The controversial Farm Laws of 2020, although later repealed, further highlighted the need for reform and raised national debates on liberalizing agricultural marketing. This paper examines the historical evolution, structure, objectives, and performance of APMCs in India, while also analyzing the ongoing reforms and emerging alternatives such as Farmer Producer Organizations (FPOs) and digital marketplaces. It argues that the future of agricultural marketing lies not in dismantling existing frameworks, but in modernizing and integrating them with market-friendly and technology-driven solutions that truly empower India’s farmers and ensure sustainable agricultural growth.

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