242,369+ questions
↑↓ navigate ↵ select esc close
Home / Corporate Law / Question
Corporate Law India · Just now · 432 views

What is the mandi fee on produce sold in Guntur market?

RA Asked by Rajesh Verma from India

Quick Answer

The mandi fee on produce sold in Guntur market is governed by the Andhra Pradesh Agricultural Produce Marketing (Regulation) Act, 1966.

Detailed Legal Analysis

The mandi fee on produce sold in Guntur market is governed by the Andhra Pradesh Agricultural Produce Marketing (Regulation) Act, 1966. The specific rate of mandi fees may vary based on the type of produce and the prevailing regulations set by the market committee. Generally, the mandi fee is a percentage of the sale value of the agricultural produce.

What the law says

According to the Andhra Pradesh Agricultural Produce Marketing (Regulation) Act, 1966, the mandi fee is levied on the sale of agricultural produce in the notified market areas. The fee is collected by the market committee and is used for the development and maintenance of market infrastructure, as well as for the welfare of farmers.

The mandi fee is typically set at a rate that can range from 1% to 2% of the sale value, depending on the type of produce. The specific rates are determined by the Guntur market committee and are subject to periodic revision.

Who can file or apply

Farmers, traders, and commission agents who sell agricultural produce in the Guntur market can be subject to the mandi fee. The following entities may be involved:

  • Farmers selling their produce.
  • Traders purchasing produce from farmers.
  • Commission agents facilitating the sale of produce.

Documents required

To facilitate the payment of mandi fees and the sale of agricultural produce, the following documents may be required:

  • Sale invoice or bill of sale.
  • Identity proof of the seller (Aadhaar card, voter ID, etc.).
  • Registration certificate with the market committee (if applicable).
  • Details of the agricultural produce being sold (quantity, type, etc.).

Procedure and timeline

The procedure for selling agricultural produce and paying the mandi fee in Guntur market generally involves the following steps:

  1. Registration: Farmers and traders must register with the Guntur market committee to participate in the market.
  2. Sale of Produce: The seller presents the produce at the market for sale.
  3. Issuance of Invoice: Upon sale, an invoice is generated which includes the sale value and applicable mandi fee.
  4. Payment of Mandi Fee: The seller or buyer pays the mandi fee as per the prevailing rate.
  5. Receipt: A receipt is issued for the payment of the mandi fee, which must be retained for future reference.

The timeline for this process can vary, but typically, the sale and payment of fees can be completed on the same day of the market transaction.

What to do next

After the sale of agricultural produce and payment of the mandi fee, sellers should consider the following:

  • Keep the receipt of the mandi fee payment for accounting and tax purposes.
  • Monitor any changes in mandi fee rates as announced by the Guntur market committee.
  • Stay informed about the regulations under the Andhra Pradesh Agricultural Produce Marketing (Regulation) Act, 1966, to ensure compliance.
  • If there are disputes regarding the mandi fee or sale, approach the market committee for resolution or seek legal advice if necessary.

Disclaimer: AI-generated for educational purposes only. Does not constitute legal advice. Consult a qualified practitioner.

Legal Provisions Referenced

Verify the current statutory text at India Code (the official repository of Indian legislation) or the Legislative Department. This answer is general legal information, not advice on your specific matter.

Last updated: October 30, 2026 AI-assisted answer

Disclaimer: AI-generated for educational purposes only. Does not constitute legal advice. Consult a qualified practitioner.

Share: