The Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966

Short title, extent and commencement 1) This Act may be called the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966.

1. (2) It extends to the whole of the State of Andhra Pradesh.
2. (3) It shall come into force on such date as the Government may, by notification, appoint.

Definitions 2. In this Act, unless the context otherwise requires:

1. (i) “ Agricultural produce” means anything produced from land in the course of agriculture or horticulture and includes forest produce or any produce of like nature either processed or un-processed and declared by the Government by the notification to be agricultural produce for the purposes of this Act: [(ia) “ Assessing authority” shall mean the Secretary of the Market Committee as specified in its bye-lawa];
2. (ii) “ Director of Marketing” means the Director of Marketing appointed by the Government. [ and includes the Commissioner of Development of Marketing]
3. (iii) “ Government ” means the State Government;
4. (iv) “growers” means a person, who produces by himself or by hired labour or otherwise, or receives under tendency agreement, the agricultural produce, but does not include a dealer or commission agent in such produce, although he may be a grower of such produce. If any question arises as to whether a person is a grower or not, the decision of the Director of Marketing thereon shall be final.
5. (v) ‘Livestock’ means cows, buffaloes, bullocks, bulls, goats and sheep and includes poultry, fish and such other animals as may be declared by the Government by notification to be livestock of the purposes of this Act’
6. (vi) ‘market’ means a market established under sub-section

1. (3) of section 4 and includes market yard and any building therein;
   • (vii) ‘market committee’ means a committee constituted or reconstituted under the provisions of this act’
   • (viii) ‘municipality’ means any municipality governed by the law relating to municipalities for the time being in force in the State and includes the Municipal Corporation of Hyderabad.
   • (ix) ‘notification’ means a notification published in the Andhra Pradesh Gazette, and the word ‘notified’ shall be construed accordingly’
   • (x) ‘notified agricultural produce, livestock or products of livestock’ means agricultural produce, livestock or products’ of livestock specified in the notification under section 3’
   • (xi) ‘notified area’ means by area notified under section3
   • (xii) ‘notified market area’ means any area declared to be a market area by notification under section 4’
   • (xiii) ‘person’ means an individual or company or an association of individuals, whether incorporated or not, and includes a Joint Hindu family’
   • (xiv) ‘prescribed’ means prescribed by rules and made under this Act;
   • (xv) ‘products of livestock’ means such products of livestock as may be declared by the Government by notification, to be products of livestock for the purposes of this Act.
   • (xvi) ‘trader’ means the person licensed under sub-section
2. (1) of Section 7 and includes the person in whose management the collection of fees is placed whether he is called a commission agent, ginner, presser, warehouseman, importer, exporter, stockist or by whatever local name he is called)

1. (1) The Government may publish in such manner as may be prescribed a draft notification declaring their intention of regulating the purchase and sale of such agricultural produce, livestock or products of livestock in such area as may be specified in such notification.
2. (2) Such notification shall state that any objections or suggestions which may be received by the Government from any person with in a period to be specified therein will be considered by them.
3. (3) After the expiration of the period specified in the draft notification and after considering such objections and suggestions as may be received before such expiration, the Government may publish in such manner as may be prescribed a final notification declaring the area specified in the draft notification or any portion thereof, to be a notified area for the purposes of this Act in respect of any agricultural produce, livestock and products of livestock specified in the draft notification.
4. (4) Subject to the provisions of sub-sections (1).,(2) and (3), the Government may, by notification –
   • (a) exclude from a notified area, any area comprised therein; or
   • (b) include in any notified area, any area specified in such notification; or
   • (c) declare a new notified area by separation of area from any notified area or by uniting two or more notified areas or parts thereof or by uniting any area to a part of any notified area; Provided that where, as result of declaration of a new notified area under this clause, the entire area comprised in an existing notified area is united to one or more notified areas, the said existing notified are shall stand abolished.

1. (1) The Government shall constitute, by notification, a market committee for every notified area from such date as may be specified in the notification and the market committee so constituted shall be a body corporate by such name as the Government may specify in the said notification, having perpetual succession and a common seal with power to acquire, hold and dispose of property and may, by its corporate name, sue and be sued: Provided that any market committee functioning immediately before such constitution in respect of a notified area abolished under the proviso to clause(c) of sub-section
2. (4) of section 3 shall stand abolished. (1-A) Any notification made under sub-section
3. (1) for the constitution of a new market committee in respect of any new notified are declared under clause
   • (c) of sub-section
4. (4) of section 3, may contain such supplemental, incidental and consequential provisions, including provisions as to the composition of the new market committee or new and existing market committees and the apportionment of the assets and liabilities between the market committees affected thereby.
5. (2) It shall be the duty of the market committee to enforce the provisions of this Act and rules and bye-laws made thereunder in the notified area. (3)
   • (a) Every market committee shall establish in the notified are such number of markets as the Government may, from time to time, direct for the purchase and sale of any notified agricultural produce, livestock or products of livestock and shall provide such facilities in the market as may be specified by the Government, from time to time, by a general or special order.
   • (b) Every market committee shall also establish in the notified area such number of markets as the Government may, from time to time, direct for the purchase and sale, solely of vegetables or fruits and shall provide such facilities in the market as may be specified by the Government, from time to time, by a general or special order.
   • (c) The market committee shall declare, by the notification, the limits of every market established by it under clauses
   • (a) and
   • (b) ( hereinafter referred to as the market area).
6. (4) As soon as may be after the establishment of a market under sub-section(3), the Government shall declare by the notification the market area such other area adjoining thereto as may be specified in the notification, to be notified market area for the purpose of this Act in respect of any notified agricultural produce, livestock or products of livestock.
7. (5) Subject to the provisions of sub-sections(1),(2),(3) and (4), the Government may, by notification –
   • (a) exclude from a notified market area, any area comprised therein; or
   • (b) include in any notified market area, any area specified in such notification.

1. (1) Every market committee shall consist of fourteen members and shall be constituted by the Government by notification in the following manner –
   • (i) Eight members to be appointed by the Government in consultation with the Director of Marketing from among the following categories of growers of agricultural produce, owners of livestock and products of livestock in the notified area, namely:-
   • (a) growers of agricultural produce who are small farmers;
   • (b) growers of agricultural produce other than small farmers;
   • (c) owners of livestock and products of livestock : Provided that, there shall atleast be three members from among persons belonging to Scheduled Castes, Scheduled Tribes, Backward Classes, minorities and women: Providing further that, there shall be atleast two members representing the category of small farmers;
     • (ii) two members to be appointed by the Government in consultation with the Director of Marketing from among the licensed traders in the notified area of whom one shall be a small trader;
     • (iii) one member to be appointed by the Government from among the Presidents or persons-in-charge, if any, for the time being performing the functions of Primary Agricultural Co-operative Societies or the Co-operative Marketing Societies having their area of operation within the notified area;
     • (iv) the Assistant Director of Marketing having jurisdiction over the notified area or any other officer nominated in this behalf by the Director of Marketing;
     • (v) the Assistant Director of Agriculture or Assistant Director of Horticulture or Assistant Director of Animal Husbandry or Assistant Director of Fisheries having jurisdiction over the notified area or any other officer nominated in this behalf by the concerned Head of the Department;
     • (vi) Chairperson of the Municipality or the Sarpanch of the Gram Panchayat, as the case may be, in whose jurisdiction the office of the Market Committee is located: Provided that in the case of a Municipal Corporation constituted under ant law relating to Municipal Corporations for the time being in force in the State, one person as may be nominated by the Corporation shall represent the Corporation in the Agricultural Market Committee concerned where a notified area comprises the Corporation also. Explanation I: For the purpose of this sub-section, a ‘small farmer’ means a farmer holding an extent not more than 4,04686 hectares (ten acres) of dry land or 2,02343 hectares (five acres) of wet land. Explanation II:
2. (1) In computing the extent of land held by the farmers for the purpose of this sub-section, 0.404686 hectares (one acre) of wet land shall be deemed to be equal to 0.809372 hectares (two acres) of dry land.
3. (2) Every market committee shall have a Chairman appointed from among its members specified in Clause(i) of sub-section
4. (1) and Vice-Chairman be appointed from among its members specified in Clause
   • (i) or Clause(ii) of sub-section (1), by the Government in consultation with Director of Marketing ;]
5. (3) Save as otherwise provided in this Act, the term of office of the members appointed under sub-section
6. (1) shall be three years from the date of appointment: Provided that a member appointed under [clause(ii) of sub-section
7. (1) shall cease to hold office, if he ceases to be a traders: Provided further that a non-official member of the market committee shall cease to hold his office if he absents himself from three consecutive meetings of the committee, including meetings which for want of quorum could not be held. Explanation : For the purposes of the second proviso, no meeting of the market committee from which a member that meeting was not given to him.
8. (4) Where a person ceases to be a member under the second proviso to sub-section (3), the Chairman shall at once intimate the fact in writing to such person and report the same to the market committee at its next meeting. If such person applies for restoration to the market committee on or before the date of its next meeting or within fifteen days of the receipt by him of such intimation the market committee may at next meeting after the receipt of such application restore him to his office: Providing that a member shall not be so restored more than twice during his term of office.
9. (5) The Government may, by notification, remove the chairman or vice-chairman, who in their opinion willfully omits or refuses to carry out or disobeys the provisions of this Act or any rules or bye-laws or lawful orders issued hereunder or abuses his position or the powers vested in him, after giving him an opportunity for explanation, and the said notification shall contain a statement of the reasons of the Government for the action taken.
10. (6) Any person removed under sub-section
11. (5) from the office of Chairman or Vice-Chairman shall not be eligible for appointment to wither of the said offices, until the date of next reconstitution of the market committee under sub-section
12. (1) of section 6.
13. (7) Any other member of a market committee may, at any time, be removed from office by the Government for such reasons and after such inquiry, as may be prescribed.
14. (8) When any vacancy occurs in the office of a member it shall be filled in the manner laid down in sub-section(1): Provided that no such vacancy shall be filled within three months before the expiration of the term of office of the member.
15. (9) The member appointment to fill a vacancy under sub-section
16. (8) shall hold office for the remainder of the term of his predecessor.
17. (10) When any vacancy occurs in the office of a chairman or vice-chairman, it shall be filled in the manner laid down in sub-section
18. (2) and the person [appointed] to fill in such vacancy shall hold office only for the remainder of the term of his predecessor.

1. (1) The Government shall reconstitute the market committee on the expiration of the term of office of the members of the market committee or of the term as extended under sub-section(2).
2. (2) The Government may extend the term of office of the members of a market committee for a period not exceeding one year: Provided that no such extension shall be given for a period exceeding six months at a time. (3)
   • (a) Where, for any reason, there is delay in the constitution of the market committee in accordance with the provisions of this Act, the Government may appoint a person or persons to manage the affairs of the market committee [until the market committee is re-constituted]
   • (b) The person or persons so appointed shall, subject to the control of the Government and to such instructions or directions as they may issue from time to time, exercise the powers, discharge the duties and perform the functions of the market committee and take all such action as may be required in the interests of the market committee.
   • (c) The Government may fix the remuneration payable to the person or persons so appointed. The amount of such remuneration and other costs, if any, incurred in the management of the market committee shall be payable out of the Market Committee Fund.
   • (d) The Government may at any time, and shall at the expiration of the period of appointment of person or persons so appointed, arrange for the constitution or reconstitution of the market committee in accordance with the provisions of this Act.

Trading etc., in notified agricultural produce, livestock and products of livestock I the notified area

1. (1) No person shall, within a notified area, set up, establish or use, or continue are allow to be continued, any place for the purchase, sale, storage, weighment, curing, pressing or processing of any notified agricultural produce or products of livestock or for the purchase or sale of livestock except under and in accordance with the conditions of a licence granted to him by the market committee: Provided that the market committee may exempt form the provisions of this sub-section any person who carries on the business of purchasing or selling any notified agricultural produce, livestock or products of livestock not exceeding such value as may be prescribed: Provided further that a person selling notified agricultural produce, livestock or products of livestock grown, reared or produced by him, shall be exempt from the provisions of this sub-section, but the Government may, for special reasons to be recorded in writing, withdraw such exemption in respect of any such person. Provided also that the market committee shall not renew the licence granted under this section, unless the license pays all the arrears of amount due to it under provisions of this Act. Explanation: Nothing in the second proviso to this sub-section shall be construed as exempting a co-operative marketing society registered or deemed to be registered under the Andhra Pradesh Co-operative Societies Act, 1964, selling notified agricultural produce, livestock or products of livestock or products of livestock for his own domestic consumption.
2. (2) Nothing in sub-section
3. (1) shall apply to a person purchasing notified agricultural produce, livestock or products of livestock for his own domestic consumption.
4. (3) A licence granted under sub-section
5. (1) shall be in such form and subject to the payment of such fees, as may be prescribed: Provided that no fees shall be charged for the grant of a licence –
   • (i) to the Khadi and Village Industries Commission;
   • (ii) to as co-operative marketing society referred to in the explanation to sub-section(1);
   • (iii) to a person merely for curing , pressing or processing any notified agricultural produce or products of livestock.
6. (4) ( a) A licence under sub-section
7. (1) may be refused to a person –
   • (i) whose licence was cancelled and one year has not elapsed since the date of the cancellation;
   • (ii) who has been Convicted of an offence or been guilty of misconduct which, in the opinion of the market committee affects the said person’s integrity as man of business;
   • (iii) in regard to who the market committee is satisfied after such inquiry as it considers adequate, that he is a benamidar for, or a partner with, any other person to whom a licence may be refused under sub-clause
   • (I) or sub-clause (ii):
   • (iv) if, in the opinion of the market committee, the grant of a licence is likely to affect the transaction of purchase or sale in the market or the levy of market fees therefore.
   • (b) The market committee may, in accordance with such rules as maybe made by the Government and after such inquiry as it deems fit, cancel or suspend any licence granted under sub-section(1). Provided that in the case of refusal to grant a licence or of suspension or cancellation of a licence, the applicant or the licencee, as the case may be, shall be entitled to appeal to such officer and in such manner as may be prescribed.
8. (5) A person to whom a licence is granted under sub-section
9. (1) shall comply with provisions of this Act, the rules and the bye-laws made thereunder and the conditions specified in the licence.
10. (6) Notwithstanding anything in sub-section (1), on person shall purchase or sell any notified agricultural produce, livestock and products of livestock in a notified market area, outside the market in that area.

The market committee may appoint one or more of its members, to be a sub-committee or special committee for the conduct of any work or to report on nay matter, and may delegate to any one or more of it members such of its powers or duties as it may think fit.

1. (1) The market committee may, at any time, call a meeting of the market committee, but such meeting shall be held at least once in every month. The market committee shall also call a meeting of the market committee within one month after receipt of a requisition in writing from the Director of Marketing or form one-third of the toral number of members of the market committee. Explanation : In the determination of one-third of total number of members under this sub-section, any fraction arrived at shall be counted as one,
2. (2) Where a meeting is not called as provided in sub-section
3. (1) the Director of Marketing is not called as provided in sub-section
4. (1) the Director of Marketing shall call such meeting. 1[(3) It shall be the duty of the chairman to convene the meetings of the Market Committee in accordance with the provisions of sub-section
5. (1) and where a Chairman of the market Committee fails to convene three consecutive meetings of the market committee from the date of the commencement of office or the last meeting of the Committee, he shall cease to be the Chairman unless such cessation has otherwise occurred before that date and for a period of one year from such date he shall not be eligible to be appointed as Chairman.

1. (1) All appointments of officers and other employees necessary for the management of the market shall be made in the prescribed manner.
2. (2) The market committee shall in the case of persons in the service of the Government whom it employs, make such contribution towards his pension and leave allowances, as may be required by the conditions of his service under the Government, to be paid by him or on his behalf.
3. (3) The chairman, vice-chairman and every officer or servant of a market committee shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code.

1. (1) Every contract entered into by a market committee shall be in writing and shall be signed on its behalf by the chairman and two other members thereof and if the market committee has been superseded, by the person or persons appointed under sub-section
2. (3) of section 22.
3. (2) No contract other than a contract executed as provided in sub-section
4. (1) shall be binding on a market committee.

1. (1) The market committee shall levy fess on any notified agricultural produce, live stock or products of live stock purchased or sold in the notified market area (at such rate, not exceeding (two rupees) as may be specified in the bye laws) for every hundred rupees of the aggregate amount for which the notified agricultural produce, live stock or products of live stock is purchased or sold, whether for cash or deferred payment or other valuable consideration. Explanation I: For the purposes of this section, all notified agricultural produce, livestock or products of livestock taken out of a notified market area shall, unless the contrary is proved. Be presumed to have been purchased or sold within such area. Explanation II: In the determination of the amount of fees payable under this Act, fractions of ten paise wqual to or exceeding five paise shall be disregarded.
2. (2) The fees referred to in sub-section
3. (1) shall be paid by the purchaser of the notified agricultural produce, livestock or products of live stock.

Levy of subscription for market reports etc The market committee may, in accordance with such rules as may be made in this behalf, levy a subscription for collecting and disseminating among the subscribers, information as to any matter relating to statistics or marketing in respect of notified agricultural produce, livestock or products of livestock.

1. (1) All moneys received by a market committee shall be paid into a fund to be called. The Market Committee Fund and the said Fund shall be deposited, in a single banking account with nearest Government treasury, or with the sanction of the Government, in a Bank. 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 after such expenditure shall be invested in such manner as may be prescribed. (2)
   • (a) Every market committee shall, out of its fund, pay to the Government the cost of any special or additional staff employed by the Government in consultation with the market committee in the notified area for giving effect to the provisions of this Act.
   • (b) The Government shall determine the cost of such special or additional staff and shall, where the staff is employed for the purposed of more than one market committee, apportion such cost among the market committees concerned in such manner as the Government think fit. The decision of the Government in determining the amount payable by any market committee shall be final.
2. (3) A market committee may grant loans to another market committee out of its surplus funds and with the previous sanctions of the Government at such rates of interest as may be prescribed.

Purposes for which the Market Committee Fund may be expended:-

Subject to the provisions of Section 14, the Market Committee Fund shall be expended for all or any of the following purposes, namely:

1. (i) the acquisition of site for the market;
2. (ii) the establishment, maintenance and improvement of the market;
3. (iii) the construction and maintenance of buildings necessary for the market and for the health, convenience and safety of the persons using the market and maintenance of building under the control of the market committee;
4. (iv) the provision and maintenance of standard weights and measures;
5. (v) the pay, pensions, leave allowances, gratuities, compassionate allowances and contribution towards leave allowance s pensions or provident fund of officers and servants employed by the market committee;
6. (vi) the payment of interest on loans that maybe raised for purpose of the market and the provisions of a sinking fund in respect of such loans;
7. (vii) the collection and dissemination of information regarding all matters relating to crop statistics and marketing in respect of notified agricultural produce, livestock and products of livestock;
8. (viii) schemes for the extension of cultural improvement of notified agricultural produce, livestock and products of livestock within the notified area, including the grant, subject to the approval of the Government, of financial aid to the schemes for such extension or improvement within such area, undertaken by other bodies or individuals;
9. (ix) Propaganda for the improvement of agriculture, livestock and products of livestock and thirft;
10. (x) 1(x x x)
11. (xi) the promotion of grading services;
12. (xii) measures for the preservation of foodgrains; (Xii-a) 2(x x x )
13. (xiii) such other purposes as may be sepcified by the Government by general or special order.

Central Market Fund: 1) There shall be formed for the whole of the State, a fund to be called the “Central Market Fund”. Every Market Committee shall contribute ten per cent of its annual income to the Central Market Fund and the contribution so paid shall be placed to the credit of the said Fund.

1( Provided that it shall be competent for 2(the Director of Marketing to grant postponement of the payment of contribution or reduction or remission thereof in respect of any newly constituted market committee upto a period of three years from the date of its constitution).

1. (2) The Central Market Fund shall be vested in the Government and deposited in the Government treasury at Hyderabad. It shall be administered and applied by the 3(the Director of Marketing) for all or any of the following purposes, namely:-
   • (i) grant-in-aid of the market committees for the first year after their constitution under this Act.
   • (ii) Grant-in-aid of a deficit market committee for a period not exceeding three years.
   • (iii) Grant of loans to the market committees at such rates of interest as are charged on loans granted by the Government for development purposes;
   • (iv) 2(such other similar or allied purposes as may be specified by general or special order; Proviso omitted by A.p.Act 32 of 1988. 3( Provided that the Director of Marketing shall obtain the approval of the Government before sanctioning any grant-in- aid or loan exceeding rupees five thousand.)

No trade allowance permissible except as prescribed by rules or under bye-laws:- No trade allowance other than an allowance prescribed by rules or provided under bye-laws, shall be made or received, in a notified area by any person in any transaction in respect of notified agricultural produce, livestock or products of livestock and no Civil Court shall, in any suit or proceeding arising out of any such transaction, have regard to any trade allowance not so prescribed or provided.

Explanation:-In the case of notified agricultural produce and products of livestock, every deduction other than a deduction on account of deviation from sample, when the purchase is made by sample or of deviation from standard, when the purchase is made by sample, or of deviation from standard, when the purchase is made by reference to a known standard or on account of difference between the actual weight of the sacking and the standard weight , shall be regarded as a trade allowance for the purposes of this section.

Power to borrow : 1) A market committee may, with the previous sanction of the Government, raise the money required for carrying out the purposes for which it is constituted on the secuirty of any property belonging to it and of any fees leviable by it uner this Act. A Market committee may, for the purpose of meeting the initial expenditure on lands, buildings and equipment required for establishing the market, obtain a loan from the Government.

1. (2) The conditions under which such money or loan shall be raised and the time within which the same shall be re-payable shall be subject to the previous sanction of the Government.

1. (1) The Chairman, Vice-Chairman and every member of a market committee shall be liable for the loss, waste or misapplication of any money or other property belonging to the market committee if such loss, waste or misapplication is a direct consequence of his negligence or misconduct and a suit for compensation may be instituted against him in a Court of competent jurisdiction by the market committee with the previous sanction of the Director of Marketing.
2. (2) Every such suit shall be commenced within three years from the date on which the cause of action arose.

No member of a market committee shall be personally liable in respect of any contract or agreement made, or for any expense incurred by or on behalf of the market committee, but the funds at the disposal of the market committee shall be liable for and charged with, all costs in respect of any such contract or agreement and such expenses.

1. (1) Where a suit is instituted against the market Committee, the Chairman, Vice Chairman, or any other member or any of its officers, or servants or any person acting under the direction of such market Committee, Chairman, Vice Chairman or other member or officer or servant acting in good faith and the claim of the plaintiff is satisfied before the date fixed for the settlement of issues or where the summons are issued for the final disposal of the suit before the daste of the hearing or the final disposal, the plaintiff shall not be entitled to the costs of the suit against the market committee or the Chairman, Vice Chairman, or any other member or officer or servant, as the case may be, unless a notice of sixty days of the suit stating particulars of the claim was given before its institution in the manner provided in sub-section(2)
2. (2) A notice for the purposes of this section shall be in writing and shall –
   • (i) in the case of suit against the market committee, be left at the office of that market committee;
   • (ii) in the case of suit against the chairman, vice-chairman or any other member or officer or servant, be delivered to that chairman, vice-chairman or other member or officer or servant, as the case may be.

1. (1) If, in the opinion of the Government a market committee is not competent to perform or persistently make default in performing the duties imposed on it by or under this Act, or abuses its powers, they may, by notification, supersede such committee for a period not exceeding 1(six months) in the first instance and may, by order, extend, from time to time, the period of supersession, so however, that the total period of supersession in the case of any market committee shall not exceed 1(one year). Provided that before issuing a notification under this sub-section, the Government shall give to the market committee an opportunity of making representation on the action proposed and shall consider the explanation or objection, if any, of the market committee thereon.
2. (2) As from the date of publication of a notification under sub-section (1), superseding a market committee, the following consequences shall ensue –
   • (a) all the members as well as the chairman and vice-chairman of the market committee shall be deemed to have vacated their offices;
   • (b) all the assests vested in the market committee shall, subject to all its liabilities, vest in the Government.
3. (3) Where a market committee has been superseded –
   • (a) the Government may, by order, appoint a suitable person or persons to exercise the powers and perform the functions of the market committee during the period of its supersession and transfer to such person or persons the assets and liabilities of the superseded market committee as on the date of such transfer; and
   • (b) the Government, may, at any time before the expiration of the period of supersession, constitute a new market committee under sub-section
4. (1) of section 4 and transfer thereto the assets and liabilities of the superseded market committee as on the date of such transfer.

1. (1) Whoever contravenes the provisions of Section 7 or fails to pay the fees levied under sub-section
2. (1) of Section 12 shall, on conviction be punished with imprisonment for a term, which shall not be less than six months but which may extend to one year and with fine, which may extend to five thousand rupees, and in the case of a continuing contravention with further fine which may extend to five hundred rupees for every day during which the contravention is continued after conviction thereof: Provided that the Court may, for adequate and special reasons to be mentioned in the judgment, impose a sentence of imprisonment for a term of less than six months.
3. (2) Whenever any person is convicted of an offence under section 7 or fails to pay the fees levied under sub-section
4. (1) of section 12, the Magistrate shall, in addition to any fine which may be imposed recover summarily and pay over to the market committee the amount of the fees chargeable for the licence under section 7 or the fees levied under sub-section
5. (1) of section 12, as the case may be, and may in his discretion also recover summarily and pay over to the market committee such amount, if any, as he may fix as the costs of the prosecution.
6. (3) The recovery of the licence fees under sub-section
7. (2) shall not entitle the person convicted to the grant of a licence under this Act.
8. (4) Any person, who willfully acts in contravention of the provisions of Sections 17 or Section 17-A shall on conviction, be punished with imprisonment for a term, which shall not be less than three months but which may extend to six months and with fine, which may extend to one thousand rupees: Provided that the Court may, for adequate and special reasons to be mentioned in the judgment impose a sentence of imprisonment for a term of less than three months.
9. (5) Any person who –
   • (i) prevents or obstructs inspection, entry, search or seizure by the assessing authority or an officer authorized under Section 17-C, in contravention of the terms thereof : or
   • (ii) prevents or obstructs inspection of any notified agricultural produce, livestock or products of live stock or of any vehicle, vessel or other conveyance carrying such produce, by the officer aforesaid, shall, on conviction, be punished with imprisonment which shall not be less than three months but which may extend to six months.

Power to write of irrecoverable amounts

1. (1) A market committee may, subject to such restriction and control as may be prescribed, write-off any amount due to it, if in its opinion such amount is irrecoverable;

Trail of offences

1. (1) No offence punishable by this Act or any rule or bye-law made thereunder shall be tried by a court inferior to that of a magistrate of the first class.
2. (2) Prosecutions [for the contravention of the provisions of this Act or any rule or bye-law made thereunder] may be instituted by person duly authorized in writing by the market committee in this behalf.
3. (3) All fines recovered from any person convicted shall be credited to the Consolidated Fund of the State and a grant equivalent to such fines shall be paid to the market committee.

1. (1) All sums due from a market committee to the Government may be recovered in the same manner as arrears of land revenue.
2. (2) All sums due to the market committee by way of market fees or other fees may be recovered in the same manner as arrears of land revenue.

1. (1) The Director of Marketing may, of his own motion or on application made to him, call for and examine the record of any market committee and the Government may, of their own motion or on application made to them, call for and examine the record of the Director of Marketing, in respect of any proceeding, [other than a proceeding relating to assessment and recovery of market fees under Sections 12-A to 12-F (both inclusive)], to satisfy himself or themselves as to the regularity of such proceeding, or the correctness, legality or propriety of any decision passed or order made therein; and, if in any case, it appears to the Director of Marketing or the Government, that any such decision or order should be modified, annulled, reversed or remitted for reconsideration he or they may pass orders accordingly: Provided that every application to the Director of Marketing or the Government for the exercise of the powers under this section shall be preferred within ninety days form the date on which the proceeding, decision or order to which the application relates was communicated to the applicant.
2. (2) No order prejudicial to any person shall be passed under sub-section
3. (1) unless such person has been given an opportunity of making his representation.
4. (3) The Director of Marketing or the Government, as the case may be, may suspend the execution of the decision or order pending the exercise of his or their power under sub-section
5. (1) in respect thereof.
6. (4) The Director of Marketing or the Government may award costs in proceedings under this section to be paid either out of the funds of the market committee or by such party to the application for revision as the Director of Marketing or the Government may deem fit.

Nothing in this Act shall apply to any place set up, established or continued on behalf of the Government for the purchase, sale, storage, weighment, pressing, or processing of any notified agricultural produce or products of livestock or the purchase, sale or accommodation of livestock or to the purchase or sale of any such notified agricultural produce, livestock or products of livestock by or on behalf of the Government.

1. (1) Where in pursuance of section 3, the Government notify any area comprised within the local limits of the jurisdiction of a municipality or other local authority, no such municipality or other local authority shall levy any fees on any notified agricultural produce, livestock or products of livestock purchased or sold in the notified area.
2. (2) The market committee of the notified area shall out of its funds, pay every year to the municipality or other local authority, which was levying such fees immediately before the notification of the area, a sum equivalent to the licences fees levied by such municipality or other local authority during the period of one year immediately before the notification of the area, for a period of ten yeas as compensation for the loss of income of the municipality or the local authority on account of the establishment of markets in the area by the market committee.

Nothing in any law providing for the establishment, maintenance or regulation of a market or the levy of fees therein shall apply to any market established under this Act or affect in any way the powers of a market committee, in respect of such market.

1. (1) Notwithstanding anything in the Indian Registration Act, 1908 it shall not be necessary for the chairman or any member or officer of a market committee to appear in person or by agent at any registration office in any proceeding connected with registration of any instrument executed by him in his official capacity or to sign as provided in section 58 of that Act.
2. (2) Where any instrument is so executed, the registration officer to whom such instrument is presented for registration may, if he thinks fit, refer to the chairman, member or person referred to in sub-section
3. (1) of section 11 for information respecting the same and, on being satisfied of the executing thereof shall register the instrument.

Where in the opinion of the Government it is considered necessary so to do, they may, by notification regulate or prohibit the commission agents operating in the market;

Power to make rules

1. (1) The Government may, either generally or specially for any notified area or areas, make rules for carrying out the purposes of this act.
2. (2) In particular and without prejudice to the generally of the foregoing power, such rules may provide for- i. [the appointment and removal of members of a market committees. ii. The appointment of the chairman and vice-chairman of a market committee and their term of office; iii. The filling of casual vacancies in the office of the chairman, vice-chairman or members of a market committee;] iv. Regulating the methods of recruitment and conditions of service of officers and other employees of the market committee; v. The procedure to be adopted by the market committee for the issue of passes to enter into a market area and for the publication of information with regard to the proceedings of the market committee and the arrivals, prices and stocks of notified agricultural produce, livestock or products of livestock; vi. Arrangements to be made for the functioning of the markets, discharge of duties of a market committee and its chairman, in case they are prevented from discharging their duties under any lawful order: vii. The acquisition of land by a market committee for the purpose of the Act under the Land Acquisition Act, 1894; viii. The issue by a market committee of licences under section 7, the forms in which, and the conditions under which such licences shall be issued or renewed, the annual fees that may be levied for such licences and the recovery of such fees; ix. The maximum rates of subscriptions which may be levied by the market committee under section 13 and the recovery of such subscriptions; x. The issue by a market committee of licences to commission agents, weighmen, measures, surveyors and other persons operating in the market, such licence shall be issue or renewed, the fees to be charged therefor, the suspension or cancellation of such licences and the appeal to be made to the Government against the suspension or cancellation of such licences; xi. The trade allowances which may be made or received by a person in transactions governed by this Act in a notified area; xii. The provision of facilities for the settlement of any dispute between a buyer and seller of notified agricultural produce, livestock or products of livestock or their agents including, in the case or notified agricultural produce and products or livestock, disputes regarding the quality or weight of the article the allowances for wrappings, dirt or impurities or deductions from any cause; xiii. The prohibition of commission agents from acting in any transaction on behalf of both the buyer and seller or any notified agricultural produce, livestock or products of livestock; xiv. The provisions of accommodation for livestock and for strong any notified agricultural produce or products of livestock brought into the market; xv. The preparation of plans and estimates for works proposed to be constructed partly or wholly at the expense of the market committee and the grant of sanction to such plans and estimates; xvi. The procedure to be followed by a market committee in respect of financial matters generally including the manner in which and the restrictions and conditions subject to which expenditure may be incurred by it; xvii. The form in which the accounts of a market committee shall be kept, [the audit and publication of such accounts] and charges, if any, to be made for such audit; xviii The powers [ x x x] to disallow any surcharge items and the recovery of sums so disallowed an surcharged; xix The institution of provident funds; xx The preparation and submission for sanction of an annual budget and the reports and returns to be furnished by a market committee. xxi The investment and disposal of the surplus funds of a market committee. xxii. The inspection of the accounts and stocks of the traders; xxiii The prevention of adulteration of notified agricultural produce and products of livestock; xxiv. The maintenance of standards of notified agricultural produce, livestock and products of livestock; xxv. [regulation] of market charges such as commission, weighment charges, godown charges and other incidental charges; xxvi. Inspection and administration of market committees; xxvii. The manner in which and the purpose for which the Central Market Fund shall be administered and applied.
3. (3) Any rule made under this section may provide that any contravention thereof or of any of the conditions of any licence issued or renewed thereunder, [shall, on conviction, be punished with the imprisonment for a term which shall not be less than six months but which may extend to one year or with fine or with fine which may extend to five thousand rupees or with both].
4. (4) The power to make rules conferred by this section shall be subject to the condition of the rules being made after previous publication for a period of not less than one month.
5. (5) Every rule made under this section shall immediately after it is made be laid before each House of the State Legislature if it is in session and if it is not in session, in the session immediately following for a total period of fourteen days which may be comprise in one session or in two successive sessions and if before the expiration of the session in which it is so laid or the session immediately following, both the Houses agree in making any modification in the rule or in he annulment of the rule, the rule shall thereafter have effect only in such modified form or shall stand annulled, as the case may be, so however that any such modification or annulment shall be without prejudice to the validity of anything previously done under that rule.

1. (1) Subject to any rules made by the Government under section 33 and with the previous sanction of the Director of Marketing, a market committee may, in respect of the notified area for which it was constituted, make by-laws for the regulation of the business and the conditions of trading therein: [ Provided that it shall be competent for a market committee to adopt the bye-law of any other market committee by a resolution and the bye-laws so adopted shall come into force in respect of the market committee adopting the same on the publication of the resolution in the Andhra Pradesh Gazette and it shall not be necessary to publish the adopted bye-laws in the said Gazette]; [ Provided further that where a market committee fails to make bye-laws or adopt the bye-laws of some other market committee under this sub-section] within two months from the date of its constitution, the Director of Marketing may make such bye-laws as he thinks fit, and he bye-laws so made shall remain in operation until the market committee has made bye-laws under this sub-section.
2. (2) Every bye-law made under this section shall be published in English and Telugu in the Andhra Pradesh Gazettee [xx] and it shall come into operation [on [xxx] the date of its publication in English in the Andhra Pradesh Gazette].
3. (3) Any bye-law made under this section may provide that any contravention thereof shall be punishable with fine which may extend to five hundred rupees.

The Government may, by notification, and for the reasons to be specified therein, either permanently or for any specified period, exempt any market committee, any person or class of persons from all or any of the provisions of this Act, subject to such conditions as the Government may deem fit to impose.

The Andhra Pradesh (Andhra area) Commercial Crops Markets Act, 1933 and the Andhra Pradesh (Telangana Area) Agricultural Market Act, 1339F, are hereby repealed; Provided that-

1. (a) any area declared to be a notified area or market under nay of the Acts so repealed shall be deemed to have been declared under this Act [xx]; [(aa) any area declared to be a notified area or market or market-yard by or under any of the Acts so repealed shall be deemed to have been declared to be a notified market area under this Act for the purpose of section 12;].
2. (b) Any market committee constituted under any of the Acts so repealed and existing immediately before the commencement of this Act shall be deemed to have been constituted under this Act until a market committee is constituted under this Act in its place and on such constitution all the assets and liabilities of the market committee so deemed to have been constituted shall devolve on the market committee so constituted under this Act;
3. (c) The repeal shall not affect the previous operation of the Acts so repealed or anything duly done thereunder and anything done or any action taken under the said Acts shall be deemed to have been done or taken under this Act and shall continue to be in force unless and until superseded by anything done or any action taken under this Act.

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1. (1) Notwithstanding anything in the Andhra Pradesh (Telangana Area) Agricultural Market Act, 1339 Fasli, all contributions made by the Market Committee constituted under that Act to the fund which was called the Central market Fund and all expenditure incurred there from, before the commencement of this Act shall be deemed always to have been validly made and incurred as if such contributions and expenditure were expressly provided for in the said Act, and no such contribution or expenditure shall be questioned in any court of law on the ground that the said Act did not provide for such contribution of expenditure.
2. (2) The balance of the said fund, if any, outstanding at the commencement of this Act shall stand transferred on such commencement to the Central Market Fund formed under sub-section
3. (1) of section 16 and shall for all purposes be deemed to form part of that Fund: Provided that the said balance shall be administered and applied under sub-section
4. (2) of section 16, only for the purposes of the market committees constituted for the notified areas within the territories specified in sub-section
5. (1) of section 3 of the States Re-organisation Act, 1956.