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

SW Asked by Swati Kulkarni from India

Quick Answer

The mandi fee on produce sold in the Shimla market is determined by the Himachal Pradesh Agricultural Produce Market Act, 1968, which regulates the marketing of agricultural produce in the state.

Detailed Legal Analysis

The mandi fee on produce sold in the Shimla market is determined by the Himachal Pradesh Agricultural Produce Market Act, 1968, which regulates the marketing of agricultural produce in the state. The fee structure may vary based on the type of produce and the prevailing regulations set by the Himachal Pradesh Marketing Board.

Here are the key points regarding the mandi fee in Shimla:

  • Mandi Fee Rate: The mandi fee typically ranges from 2% to 3% of the sale price of the agricultural produce. Specific rates may be prescribed for different types of produce.
  • Market Committees: The Shimla market is managed by the local Agricultural Produce Market Committee (APMC), which is responsible for implementing the mandi fee regulations as per the Himachal Pradesh Agricultural Produce Market Act, 1968.
  • Payment of Fees: Sellers must pay the mandi fee at the time of the sale of their produce at the market. This fee is collected to maintain the market infrastructure and provide facilities for the trading of agricultural products.
  • Registration: Sellers must be registered with the APMC to sell their produce in the Shimla market. Registration is essential for the collection of mandi fees and for availing market services.
  • Exemptions: Certain categories of produce or specific transactions may be exempt from mandi fees. It is advisable for sellers to check with the APMC for any updated exemptions or specific conditions.
  • Legal Framework: The mandi fee and other market regulations are governed under Section 17 of the Himachal Pradesh Agricultural Produce Market Act, 1968, which outlines the powers of the APMC to levy fees and manage the market.
  • Revenue Allocation: The fees collected are typically utilized for the development and maintenance of market infrastructure, facilities for farmers, and other related activities that promote agricultural trade.

For accurate and updated information, it is advisable to consult the local Agricultural Produce Market Committee or refer to the official notifications issued by the Himachal Pradesh government regarding the mandi fee structure and regulations.

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 4, 2026 AI-assisted answer

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

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