Chapter IX CONSTITUTION OF STATE AGRICULTURAL MARKETING BOARD

The State Government shall, for coordinating and undertaking the activities relating to

development of markets and marketing infrastructures and services incidental thereto

and also exercising such other powers and performing such functions as are

conferred or entrusted by or under this Act, establish and constitute a State Agriculture

Incorporation of Board The Board shall be a body corporate having perpetual succession and common seal

and may sue and be sued in its corporate name and shall be competent to acquire and

hold property both moveable and immovable and to lease, sell or otherwise transfer any such property, to contract and to do all other things necessary for the purpose for which it is established.

The Board shall consist of a Chairperson, and such other Members as may be elected or appointed by the State Government.

The composition of the Board shall be - 1. Chairperson - to be appointed by the State Government - as may be prescribed: 2.

1. (i) 11 (eleven) other Members to be nominated by the State Government as ex-officio members -
2. (ii) Commissioner/ Secretary/ Director, in-charge of agriculture, horticulture, animal husbandry and fisheries or his nominee.
3. (iii) Agricultural Marketing Advisor to the Government of India or his nominee not below the rank of Under Secretary to the Government of India.
4. (iv) Representative of the National Bank for Agriculture and Rural Development not below the rank of Deputy General Manger.
5. (v) Registrar of Co-operative Societies/ Commissioner for Co-operation.
6. (vi) Managing Director /Chief Executive Officer of State Agricultural Marketing Board.

1. (1) The Board shall have a Managing Director who shall be appointed by the State

Government and he shall be the Chief Executive Officer of the Board.

1. (2) The Managing Director appointed under sub-section
2. (1) shall also function as the ex-officio Secretary of the Board.
3. (3) The Board may appoint other Officers and servants as may be necessary for the

efficient discharge of its duties and functions under the Act.

1. (4) The superintendence and control over all the Officers and servants of the Board shall vest in the Managing Director.

1. (1) The term of office of the non-official Members of the Board shall be for five years.

However, the Members may hold the office at the pleasure of the State

Government. The State Government may ,if it thinks fit, remove any Member of the Board before the expiry of his term of office.

1. (2) No person may be Member of the Board exceeding two terms.

The tenure of an official Member of the Board shall come to an end as soon as he ceases to hold the office by virtue of which he was nominated.

Allowance to Members of the Board The Members of the Board other than an ex-officio Member shall be paid from

the Marketing Development fund for such sitting fee and allowances for attending its

meetings and for attending to any other work as may be fixed by the Government from time to time.

Filling of casual vacancy. 87. In the event of death or resignation or disqualification or removal of any Member of the Board or any vacancy arising otherwise before the expiry of his term of office, a casual vacancy shall be deemed to have occurred in such office and such vacancy shall be filled, as soon as may be, by nomination by the Government.

Resignation of Chairperson, and Members The Chairperson of the Board may resign from respective post by tendering his resignation to the Government and the seat of such incumbent shall become vacant on the date of acceptance of his resignation:

No person shall be a Member of the Board who-

1. (a) is, or at any time has been, adjudged insolvent; or
2. (b) is, or has been convicted of an offence which, in the opinion of the state Government involves moral turpitude; or
3. (c) is of unsound mind and stands so declared by the competent court; or
4. (d) is a Director or a Secretary, Manager or other salaried officer or employee of any

company or firm having any contract with the Board or a Market Committee

;or

1. (e) is, or at any time been, found guilty under sections 103 and/ or 115 of this Act ; or
2. (f) has so abused, in the opinion of the state Government, his position as a Member, as to render his continuance on the Board detrimental to the interest of the general public.

The Board may appoint sub-committees consisting of three or more of its Members

which shall also include Chairperson and the Managing Director, for the performance

of any of its duties or functions or for giving advice on any matter incidental thereto and may delegate to such sub-committee, any of its duties or functions as may be deemed necessary.

The State Government shall exercise superintendence and control over the Board and its Officers and may call for such information as it may deem necessary and, in the event of it being satisfied, that the Board is not functioning properly, it may suspend the Board and, till such time as a new Board is constituted, make such arrangements for the exercise of the functions of the Board as it may think fit.

Functions and powers of the Board

1. (1) The Board shall, subject to the provisions of this Act, perform the following functions and shall have power to do such thing as may be necessary or expedient for carrying out these functions:
   • (i) Coordination of the working of the Market Committees and other affairs

1. (ii) Undertake State level planning of the development of agricultural produce including livestock in principal market yards, sub-market yards and market sub-yards.
2. (iii) Administer the State Marketing Development Fund.
3. (iv) Give direction to the Market Committees in general or any Market Committee in particular with a view to ensuring improvement thereof.
4. (v) Any other functions specifically entrusted to it under this Act.
5. (vi) Such other functions of like nature as may be entrusted to it by the Government.

1. (2) Without prejudice to the generality of the foregoing provisions, such functions of the Board shall include:
   • (i) approval of the proposals for selection of new sites by the Market Committees for establishment of principal market yard or sub-market yard or market sub-yard.
   • (ii) approval of the proposals for constructing infrastructure facilities in the principal market yard, sub-market yard and market sub-yards ; and also in delineated market area;
   • (iii) supervision of and guidance of the Market Committees in preparation of plans and estimates of construction programme undertaken by the Market Committee ;
   • (iv) execution of all works chargeable to the Board’s fund;
   • (v) maintenance of the accounts in such form as may be prescribed and get the same audited in such manner as may be laid down in the regulation of the Board;
   • (vi) publishing annually at the close of the year its progress report, balance sheet and statement of assets and liabilities; and send copies thereof to each member of the Board and the State Government;
   • (vii) set up separate Marketing Extension Cell in the Board for transfer of marketing technology and extension services. Board may also make necessary arrangements for awareness generation campaign on matters related to regulated marketing of an agricultural produce including livestock and development of marketing facilities therefor;
   • (viii) providing facilities for the training of officers and servants of the Market Committees after assessing the demand for trained personnel in agricultural marketing at all levels. Set up a Training Cell with college/centers for training in agricultural marketing for various market functionaries, Market Committee members and farmers etc., in the state Marketing Board with necessary academic support from the Directorate of Marketing and Inspection of Government of India, a National level Nodal agency.
   • (ix) provide facilities for linking of consumers to farmers or their groups through appropriate technology;
   • (x) help prepare budget for the ensuing year;
   • (xi) granting subventions on loans to Market Committee for the purposes of this Act on such terms and conditions as the Board may determine;
   • (xii) arranging or organizing seminars/ workshops/exhibitions etc. on subjects related to agricultural marketing;
   • (xiii) doing such other things as may be of general interest to Market Committees or considered necessary for the efficient functioning of the Board;
   • (xiv) facilitating Market Committee in promoting grading and standardization of notified agricultural produce including livestock, setting up of assaying labs and other infrastructures for on-line trading and activities incidental thereto ;
   • (xv) providing logistic support to promote on-line trading on-line to develop barrier market for notified agricultural produce including livestock; and
   • (xvi) setting up an advisory committee with technical support of Directorate of Marketing and Inspection to promote efficient marketing of notified agricultural produce and livestock , including issues relating to grading, standardization, packaging , quality certifications, as may be prescribed.
   • (xvii) Payment of administrative expenditure of the Board. (xviii)Payment of travelling and other allowance to the Chairperson , and Members of the Board.
   • (xix) Payment of legal expenses incurred by the Board.
   • (xx) Granting aid to financially weak Market Committees in the form of loan or grant for development proposes.
   • (xxi) Propaganda and publicity on matters relating to marketing of agricultural produce.
   • (xxii) Training of the officers and staff of the Market Committees and Board and also to market functionaries and agriculturists.

(xxiii)Organizing and arranging workshops, seminars, exhibitions etc., on

development of marketing.

1. (xxiv) Promotion and construction of infrastructural facilities in the principal market

yard, sub-market yard and also in common market infrastructural facilities

in the delineated market area.

1. (xxv) Undertaking skill development and pledge financing activities.
2. (xxvi) Undertaking market survey and research, grading and standardization, quality certification of agricultural produce, on-line trading and other activities connected thereto. (xxvii) Acquisition or constructions or hiring by lease or otherwise of buildings or land for performing the duties of the Board. (xxviii)Internal audit of the Board and the Market Committees. (xxvix)Development of Haat Bazars and farmer-consumer markets for marketing of agricultural production in the delineated market areas; and explore the possibility of developing such markets for livestock also.
3. (xxx) any other purpose, deemed necessary for execution of the functions assigned to the Board under this Act or as directed by the State Government.

1. (1) The accounts of ‘the Board shall be subject to audit\certified Chartered Accountant or by other agency as State Government deems fit.
2. (2) The Board may make arrangement for internal audit of accounts, as it may deem fit.
3. (3) The annual accounts and balance sheet of the Board shall be prepared by the Managing Director and all moneys accruing to or received by the Board from whatever source and all amounts disbursed or paid shal be entered in the accounts.
4. (4) At the time of audit, the Managing Director shall cause to be produced all accounts, registers, documents and other relevant papers which may be called for by the audit officer for the purposes of the audit. Any explanation called for by such officer for the removal of any discrepancy shall be immediately furnished to him.
5. (5) The accounts when audited shall be printed.

Delegation of powers

1. (1) Subject to the provisions of this Act, the Board may by general or special order,

delegate to the Managing Director/ Member Secretary or sub-committee appointed

by it or to any Officer ‘of the Board such of the powers and duties under the Act, as it may deem fit.

1. (2) The Chairperson or the Member Secretary of the Board may delegate his power under this Act to any Officer of the Board.

1. (1) The Chairperson of the Board shall preside over the meeting.
2. (2) Subject to the superintendence of the Board, the general control and direction over all the officers and servants of the Board shall be vested with the Chief Executive of the Board.

The Managing Director shall:

1. (i) exercise supervision and control over officers and servants of the Board in matters of executive administration, concerning accounts and records and disposal of all questions relating to the service of the employees as per procedure prescribed;
2. (ii) appoint officers and staff of the Board as per direction and procedure prescribed by the Board;
3. (iii) incur expenditure from the Marketing Development Fund on the sanctioned items of work;
4. (iv) in case of emergency, direct the executions or stoppage of any work and doing of any act which requires the sanction of the Board;
5. (v) prepare annual budget of the Board;
6. (vi) arrange for internal audit of the Board;
7. (vii) arrange for the meetings of the Board and maintain records of the proceedings of the meetings of the Board as per procedure prescribed;
8. (viii) take such steps as deemed necessary for execution of the decision of the Board;
9. (ix) inspect the construction work undertaken by the Market Committees either from their own funds or loans and /or grants provided by the Board or any other agencies and take corrective measures;
10. (x) report, such acts either of the Market Committees or of the Board which are contrary to the provisions laid down under this Act or Rules and Bye-laws made thereunder, to the State Government ;
11. (xi) take such steps as deemed necessary for effective discharge of the functions of the Board.

1. (1) The Board shall meet for the transaction of its business at least once in every three months at such place and at such times as the Chairperson may determine.
2. (2) Save as otherwise provided in sub-section
3. (1) the provisions of chapter IV shall mutatis mutandis apply for the conduct of the business of the Board.
4. (3) All proceedings of ‘the Board shall be authenticated by the signature of the

Chairperson, Member- Secretary/Managing Director and all other orders and

other instruments issued by the Board shall be authenticated by the

signature of the Chairperson, Member-Secretary/ Managing Director or such

other officer of the Board as may be authorized in this behalf by regulation.

1. (4) The Board shall conduct the business in a manner prescribed under the Rule made thereunder.

The Chairperson of the Board shall exercise such powers as may be prescribed.