New Delhi, Nov 2 (KNN) A state-wide protest in Maharashtra by Agricultural Produce Markets Committee (APMC) traders has sparked due to the Maharashtra government’s decision to de-notify all agriculture commodities from the mandis.

Currently, the government is charging one per cent as service charge instead of the same mandi tax collected earlier.

The service charge not only ensures smooth transaction between buyers and sellers within the APMC yards but also penalizes defaulters, if any.

The government of Maharashtra issued an ordinance de-notifying all agriculture commodities effective immediately, which means farmers and traders are free to sell their produce within and outside the APMC yards.

Federation of Associations of Maharashtra, President, Mohan Gurnani said, “Traders within the APMC would not be able to compete with their counterparts outside the mandi due to the one per cent service charge paid by the players inside the APMC yards.”

“They would either have to sell their produce at higher prices or compromise their profit margins. Considering the seriousness of the issue, we are in talks with the government to re-consider the decision,” said Mohan.

“There will be no revenue loss to the government as commodities were sold outside mandis even today. Also, market committees would continue to function. The committee charge 6 per cent of cess without providing any service to farmers,” Said Sadabhau Khot, Minister of the state Agriculture and Marketing Development.

APMC mandis are also declared a market of national importance (MNI) by the state government, which receives over 30 per cent of agriculture produce from a nearby state.

Currently, Azadpur mandi in Delhi is the only such MNI exists in India.

The impact would be severe on producing mandis like Lasalgaon compared to consuming mandis like Vashi near Mumbai.

Farmers may be prompted to save mandi fees, handling and other administrative expenses by bringing their produce to mandis.

APMC Kolhapur,President, Krishnat Vasantrao Patil  said, “There will be no change in trading system. Farmers and traders would continue to bring their agricultural produce to mandis.”

“There is a different kind of trading environment within mandis which will not be available outside,” he added.