UPSC Prelims 2015 GS Paper I · Q24 of 100 Economy easy

In India, markets in agricultural products are regulated under the

  1. (a) Essential Commodities Act, 1955
  2. (b) Agricultural Produce Market Committee Act enacted by States ✓ UPSC's answer
  3. (c) Agricultural Produce (Grading and Marking) Act, 1937
  4. (d) Food Products Order, 1956 and Meat and Food Products Order, 1973

Why the answer is (b)

• Agricultural marketing is a State subject; markets (mandis) are regulated under each State's Agricultural Produce Market Committee Act, which sets up market yards, licenses traders and levies market fees — option (b).

• The Essential Commodities Act (a) controls stock limits and hoarding; the 1937 Act (c) provides AGMARK grading; the Food Products Orders (d) regulate processing standards.

• The 2020 farm laws (repealed 2021) sought to bypass APMC monopolies.

• Hence option (b).

Why the other options are wrong

(a) Essential Commodities Act, 1955
The ECA regulates stocks and prices, not markets.
(c) Agricultural Produce (Grading and Marking) Act, 1937
The 1937 Act concerns grading (AGMARK).
(d) Food Products Order, 1956 and Meat and Food Products Order, 1973
Food Products Orders regulate processing, not markets.

Asked in the GS Paper I of the UPSC Civil Services Preliminary Examination 2015, held on 23 August 2015. Question and answer key: Union Public Service Commission. Explanation: UPSC Answer Check.

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