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Principles of Agricultural
Marketing

Module 4
Instructor: Dr. Satish Chandra Pant
Assistant Professor, CCS NIAM, Jaipur
 Module 4

Market
Functionaries /
Agencies involved
in Agricultural
Marketing in India
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Flow of
Presentation
⊷ Market Functionaries
⊷ Marketing Agencies
⊷ DMI
⊷ State Agriculture Marketing
Dept.
⊷ State Agricultural Marketing
Boards
⊷ Regulated Markets (APMCs)
⊷ Food Corporation of India
⊷ PACS
3 Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 “
The basis objective is to ensure
remunerative prices to the producers
and a reduction in cost and margins to
provide commodities to consumers at
reasonable prices, and promote the
movement of surpluses for economic
development.

4
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
Marketing Functionnaries
Producer
Middlemen
Merchant Middlemen
Wholeseller, Retailer, Itinerant Trader
Village Merchants
Agent Middlemen
Commission Agents or Arhatias, Kaccha
Arhatias, Pakka Arhatia, Broker,
Speculative Middlemen
Facilitative Middlemen- Hamals, weighmen,
Grader, Transporter, auctioners, etc.

Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur 5
 g
Agencie
s

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6 Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Directorate of Marketing
and Inspection (DMI)
✢ It was set up in the year 1935
✢ Objective:- to implement the agricultural
marketing policies and programmes for the
integrated development of marketing of
agricultural and other allied produce in the
country with a view to safeguard the interests
of farmers as well as the consumers.
✢ It maintains a close liaison between the
Central and the State Governments.
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur 7
Contd.

 11 Regional Offices at Delhi, Mumbai, Chennai,

Kolkata, Hyderabad, Chandigarh, Jaipur, Lucknow,
Bhopal, Kochi and Guwahati

 Central Agmark Laboratory at Nagpur.

 11 Regional Agmark Laboratories (RALs) spread all

over the country

Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
Functions of DMI
▪ Advice on regulation, development and management
of agricultural produce markets of the States/Union
Territories.
▪ Promotion of Standardization and Grading of
agricultural and allied produce under the Agricultural
Produce (Grading and Marking) Act, 1937.
▪ Promotion and implementation of Integrated Scheme
of Agricultural Marketing (ISAM).
▪ Development and Implementation of Agricultural
Marketing Research and Information Network(MRIN)
sub Scheme
▪ Implementation of Agricultural Marketing
Infrastructure(AMI) Sub scheme.
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
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10
✢ AGMARK certification is compulsory for
following eight food products 
✢ 1.Blended Edible Vegetable Oils (BEVO)
✢ 2.Fats Spread
✢ 3.Carbia Callosa
✢ 4.Honey dew
✢ 5.Ghee
✢ 6.Til Oil produced in Tripura, Assam and West
Bengal 
✢ 7.Kangra Tea
✢ 8.Light Black Pepper.
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 State Agricultural Marketing
Dept.
✢ State Marketing Dept. Is being set up in the
state as counterpart of the central marketing
dept.
✢ Marketing intelligence and Grading of
commodities under AGMARK
✢ Guidance from central marketing department

Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur 12
 Important features of Regulated Market
Method of Sale Licensing of Market
Weighment of Produce functionaries
Grading of produce  Finance
Market news service Dispute Settlement
Market charges Eliminate
Payment of value malpractices
Supervision Provision of
Market committees amenities in the
market
13 Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Source: https://www.financialexpress.com/economy/why-apmc-reforms-not-helping-farmers/1813937/

14 Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
State Agricultural Marketing Board
Inception: APMC Act was modified to
make the provision for the establishment of
SAMB
For regulation of market
Coordination in the functioning of the
regulated markets
Supervise and provide guidance to market
committees 15

Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Food Corporation of India (FCI)
✢ For efficient Management of food economy
✢ It was established on January 1, 1965.
✢ It is an unrivalled food marketing agency
✢ Serving the interest of both farmers and
consumers
✢ To procure a sizable portion of the marketable
surplus of foodgrain
✢ To make timely release of the stock through PDS
✢ To minimise seasonal price fluctuation
✢ To build up a buffer stock

Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur 16
Primary Agricultural Co-operative Society
(PACS)
✢ A co-operative credit society, may be stated with 10
or more persons, normally belonging to a village.
✢ PACS occupy a predominant position in the co-
operative structure and form its base at grass root
level of a village.
✢ It serves as the final link between the ultimate
borrowers on the one hand and higher financial
agencies, namely the RBI/ NABARD on the other
hand.
✢ It facilitate the procurement of commodities.
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur 17
 LET’S REVIEW
Marketing Market Agents DMI
Functionaries

Marketing Board FCI PACS

and APMCs

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Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Assignment Question

Visit the website of state agriculture marketing board and

state agri marketing dept. of your state and write one page
policy note with respect to recent policy initiative taken by
the board/dept.

19
Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur
 Thanks
!
ANY QUESTIONS?
You can leave your questions at
⊷ satishchpant@gmail.co
m

20 Instructor: Dr. Satish Chandra Pant, Assistant Professor, CCS NIAM, Jaipur