NOTIFICATION Dated Peshawar, the 28th August, 2007.
No. PA/NWFP/Legis-I/2007/18047.-The North-West Frontier Province Agricultural and Livestock Produce Markets Bill, 2007 having been passed by the Provincial Assembly of North-West Frontier Province on the 29th June, 2007 and assented to by the Governor of the North-West Frontier Province on 15th August, 2007 is hereby published as an Act of the Provincial Legislature of the North-West Frontier Province,
THE N.W.F.P AGRICULTURAL AND LIVESTOCK PRODUCE MARKETS ACT, 2007(N.W.F.P. ACT NO. IV OF 2007)' [First published after having received the assent of the Governor of the North-West Frontier Province in the Gazette of the N.-W.F.P. (Extraordinary), dated the 28th August, 2007.AN ACT to amend and consolidate the law relating to marketing of agricultural and livestock produce in the North-West Frontier Province. WHEREAS it is expedient to amend and consolidate the law relating to marketing of agricultural and livestock produce in the North-West Frontier Province; It is hereby enacted as follows:-1. Short title extent and commencement.—(1) This Act may be called the North-West Frontier Province Agricultural and Livestock Produce Markets Act, 2007.
2. Definitions.—In this Act, unless there is anything repugnant in the subject or context,-
(iv) cotton un-ginned (phutti), cotton ginned (lint), cotton waste; (v) firewood and tanning bark; (vi) fodder, viz bardana, senji, lucern, shaftal, berseem, shalgham, guara, chari, bajra, maize, javi, barley, wheat, jowar (green and dry) and their seeds, methi, metha, swank, oats, ajwain and also wheat bhoosa and maize stalks as dry fodder; (vii) fruits and vegetables (fresh and dry) and their squashes, jams, pickles, cordials, marmalades, chutnies, sauce, jellies, candies, juices; (viii) gram (whole and split) and its chollia, atta, kera, surri, bura, wanda;(ix) jowar (grains ) and its atta;(x) jute (seed and fibre); (xi) maize (grains), maize cobs (dry and green) and its atta, starch, sugar (glucose), gluten, meals and wastes and corn oil; (xii) mehndi (leaves and powder); (xiii) oilseeds, viz., cotton seed, linseed, sarson/canola, raya, taramira, soyabeen, sunflower, sesamum. groundnut, castor, palm and their oils, oil-cakes, hulls, meals, feeds, vegetable ghee; (xiv) pulses (whole and split), viz., moong, mash, masoor, moth, raj, mash, arhar, lobia, gram and other beans; (xv) rice (paddy), rice (cleaned), rice (broken), phak, parali, hulls, husks (rice silver), parboiled; (xvi) sugarcane, sugarbeet and its products, viz, gur, shakkar, sugar (desi and refined), molasses, sugarcane juice; (xvii) tobacco leaves, tobacco cured and its snuff or naswar and guraku; (xviii) wheat and its atta, maida, suji, dalia, starch, choker, bran, bhusa ;and (xix) any other commodity that may hereafter be declared by notification to be agricultural produce for the purposes of this Act;
(h) "dealer" means any person who within the notified market area sets up, establishes, uses or allows to be used any place for the purchase or sale of the agricultural and livestock produce; (i) "Director General of Agriculture" means the Director General of Agriculture (Extension), North-West Frontier Province; (j) "District Co-ordination Officer" means the District Co-ordination Officer of the district within the boundaries of which the notified market area concerned is situated; (k) "District Officer Agriculture (Extension)" means the District Officer Agriculture (Extension) of the District concerned; (I) "Executive District Officer Agriculture" means the Executive District Officer Agriculture of the District concerned; (m) "Government" means the Government of the North-West Frontier Province; (n) "grower" means a person who by himself or through tenants or otherwise grows, produces, manufactures or processes agricultural produce or rears livestock and produces livestock products but shall not include a person, other than a member of a society registered under the Co-operative Societies Act, 1925, who works as a dealer or broker either individually or as a partner of a firm of dealers or brokers or is otherwise engaged in the business of disposal, storage and processing of agricultural produce; (o) "livestock produce" means- (i) beef, mutton, hides and skin (dry or wet), bones, bone meals, feeds, wool and hair; (ii) cheese, butter, desi-ghee, milk, curd (dahi), margarine; and(iii) poultry comprising turkeys (dressed or otherwise), eggs and fish; (p) "market committee" means an agricultural market committee established under section 7; (q) "member" means a member of a market committee; (r) "notified market area" means any area notified under section 4; (s) "prescribed" means prescribed by rules or bye-laws made under this Act; (t) "Secretary" means the Secretary of the market committee concerned; (u) "section" means a section of this Act; (v) "trade allowance" means such allowance as may be prescribed by rules or specified in the bye-laws of market committee made under this Act; (w) "Vice Chairman" means the Vice Chairman of the market committee concerned; (x) "warehouseman" includes a person who stores any agricultural or livestock produce not belonging to him and charges rent therefor in any form, from the persons at whose instance the said produce is so stored; and (y) "weighmen" means any person licenced under sub-section (2) of section 9 to function as weighmen. 3. Notification of intention of exercising control over purchase and sale of agricultural and livestock produce in specified areas.—Government may, by notification in the official Gazette, declare its intention of exercising control over the purchase and sale of such agricultural or livestock produce or both and in such area as may be specified in the notification and shall invite objections and suggestions from persons likely to be affected thereby. The objections and suggestions which may be received by the District Co-ordination Officer, through District Officer Agriculture (Extension), within a period to be specified in the notification, will be considered: Provided that such period shall not be less than 30 days from the date of issue of the notification. 4. Declaration of notified area.—(1) After the expiry of the period specified in the notification under section 3 and after considering such objections and suggestions as may be received before the expiry of the specified period, Government may, by notification and in any other manner that may be prescribed, declare the area notified under section 3 or any portion thereof to be a notified market area for the purposes of this Act and specify the agricultural produce or the livestock produce or both over which control is to be exercised in that area.
Provided that a licence shall not be required by a grower who either himself or through a bona fide agent sells his own agricultural produce or the produce of his tenant or, as the case be, livestock produce, or by a person who purchases any agricultural produce or livestock produce for his private or domestic use: Provided further that in the case of a market committee established for the first time under this Act, no person shall be deemed to have violated this provision if he has made an application to the market committee for grant of licence. (4) No person shall, within the market, store, purchase, sell or in any other manner, deal with any thing which is not declared as agricultural produce or livestock produce, as the case may be.
Provided that no fee shall be charged from a dealer who is a Co-operative Society registered under the Co-operative Societies Act, 1925. (2) Licence under this Act shall not be granted to a person who-
Provided that this disqualification will not operate if a period of three years has elapsed since, the completion of the sentence imposed on any person in respect of any such offence. (3) If any person carrying on business of a dealer in a notified market area on the date of issue of notification under section 4 fails to apply for a licence within thirty days from the date of issue of such notification, the market committee may refuse to grant him a licence unless he deposits late fee as specified below in cash with the market committee: (i) for delay up to 3 months Rs.1000/- (ii) for delay up to 6 months Rs.2000/- (iii) for delay exceeding 6 months. Rs.3000/-
Provided that no such order shall be passed without giving the licensee an opportunity to show cause within 15 days from the date of issue of the show cause notice. (6) Any person aggrieved by an order passed under sub-section (5) may, at any time within one month of the passing of the order, appeal to the District Officer Agriculture (Extension) against such order. The order of the District Officer Agriculture (Extension), on appeal, shall be final.
(2) The market committee shall be constituted by Government in the following manner: (a) Where a committee consists of ten members,-' (i) one member shall be appointed from amongst the employees of Government in the field of Agriculture (Extension); (ii) five members shall be appointed from amongst the growers of the notified market area concerned; (iii) two members shall be appointed from amongst persons licensed under section 6 in respect of the notified market area concerned; (iv) one member shall be appointed from amongst weighmen or brokers in the notified market area concerned licensed under section 9; and (v) one member shall be appointed from amongst consumers resident in the notified market area concerned, who is not a dealer or a grower; and (b) where the committee consists of seventeen members,- (i) one member shall be appointed from amongst the employees of Government in the field of Agriculture (Extension); (ii) nine members shall be appointed from amongst growers of the notified market area concerned; (iii) five members shall be appointed from amongst persons licensed under section 6 in respect of the notified market area concerned; (iv) one member shall be appointed from amongst weighmen, brokers or palladars in the notified market area concerned licensed under section 9; and (v) one member shall be appointed from amongst consumers resident in the notified market area concerned, who is not a dealer or a grower. (3) If a question arises as to whether any person is or is not a grower for the purposes of this Act, the decision of the District Co-ordination Officer concerned shall be final. (4) Not more than one person related to each other as father, son, brother, uncle, brother in-law, son in-law and their ascendants and descendants shall be appointed as a member of the same market committee. . (5) No act done by a market committee shall be called in question on the ground merely of the existence of any vacancy, or any defect in the constitution of the market committee. 9. Duties of the market committee.—(1) The market committee shall enforce the provisions of this Act and the rules and bye-laws made thereunder in the notified market area and when so required by Government, shall establish an agriculture produce market therein providing such facilities for persons visiting it in connection with the purchase, sale, storage, weighment, pressing and processing of agricultural produce or purchase and sale of livestock produce, as the case may be, as Government may, from time to time, direct.
Provided that the Chairman shall be elected only from amongst the members belonging to growers. 13. Filling of vacancies.—If any vacancy of a member of a market committee occurs due to his death, resignation, transfer or retirement or is caused by the removal of any member in accordance with the provision of section 11, Government may appoint any person as a member to fill such vacancy in accordance with the provision of section 8: Provided that the term of office of the member so appointed shall expire on the same date as the term of office of the vacating member would have expired had he held the office for the full period allowed under section 10. 14. Incorporation of committees.—Every market committee shall be a body corporate by such name as Government may specify in the notification establishing it, shall have perpetual succession and a common seal, may sue and be sued in its corporate name, and shall be competent to acquire and hold property, both movable and immovable, to lease, sell or otherwise transfer any movable or immovable property which may have become vested in, or has been acquired by, it, and to contract and to do all other things necessary for the purpose for which it is established:
Provided that no market committee shall permanently transfer any immovable property except in pursuance of a resolution passed at a meeting specially convened for the purpose by a majority of not less than three-fourth of the members of the market
committee concerned. 15. Sub-committee and delegation of powers.—(1) A market committee may appoint a sub-committee consisting of not less than two and not more than five of its members for the conduct of any work or to report on any matter. (2) A market committee may delegate to or withdraw from any one or more of its members or sub-committees such pf its powers or duties and in such manner as may be prescribed. 16. Appointment of staff, etc.—(1) Subject to such rules as may be made by Government in this behalf, the market committee may employ such persons as may be necessary for the management of the agriculture produce market including seasonal and part-time staff. The appointments, salaries and other service conditions of the employees of market committee, including allowances, contribution to any provident fund etc., if any, shall be governed by the rules framed by Government. The appointment of seasonal and part-time staff shall be made in accordance with budgetary provision of the market committee concerned.
Provided that- (a) no fee shall be leviable in respect of any transaction in which delivery of the agricultural produce or livestock produce bought or sold is not actually made;
20. Market Committee Fund.—(1) All money received by a market committee shall be deposited into a fund to be called the Market Committee Fund. All expenditure incurred by a market committee under or for the purposes of this Act shall be defrayed out of the Market Committee Fund, hereinafter referred to as "the Fund' and any surplus remaining after meeting such expenditure shall be invested in such manner as may be prescribed.
21. Purposes for which the Fund may be expended.—Subject to the provisions of section 20, the Fund shall be expended for the following purposes:- (i) acquisition of land for the establishment of market or markets; (ii) construction and repair of buildings which are necessary for the purposes of establishing such agriculture produce markets and for the health, convenience and safety of the persons using them; (iii) collection and dissemination of information regarding all matters relating to marketing in respect of the agricultural produce or livestock produce and propaganda in favour of their improvement and thrift; (iv) providing comforts and facilities, such as light, sanitation, shelter, shade, parking accommodation and water for the persons, draught cattle, vehicles and pack animals coming to the market and similar other purposes; (v) provision of facilities such as cleaning sets, plants or grading, standardization, packing and processing of agricultural produce and likewise requisite facilities for livestock produce, where necessary; (vi) construction of cold storage, warehouse and godown for the benefit of growers; (vii) establishment of feeder markets; (viii) provision and maintenance of standard weights and measures; (ix) pay, leave salary, compassionate and medical allowances, honoraria and contributions towards leave allowances or provident fund of the persons employed by market committees; (x) payment of loans that may be raised for the purposes of the market and the provision of sinking fund in respect of such loans; (xi) expenses incurred in auditing the account of market committee; (xii) payment of travelling allowances to the members and employees of market committees as prescribed; (xiii) payment of allowances and honoraria to the authority of the superseded market committee; (xiv) contribution towards the Fund subject to rules framed thereunder; (xv) payment of property tax; (xvi) payment of other taxes leviable under any law for the time being in force; (xvii) engagement of lawyer where needed; (xviii) subject to previous sanction of Government- (a) purchase of load carrying vehicles/refrigerated trucks for bringing agricultural produce or livestock produce of the growers to the agriculture produce markets for exporting purposes, (b) purchase of agricultural implements and machinery and gypsum of the value not exceeding twenty five thousand rupees for distribution amongst growers of the market area;(c) maintenance and improvement of the market including construction of stores, platforms, small pullis, culverts and roads within the agriculture produce market;(xix) holding of melas, fairs, exhibitions and shows for publicity of agricultural produce or livestock produce and propaganda amongst growers for improved production; (xx) advance of loans to other market committees in the district for carrying out development projects, with the previous sanction of Government; (xxi) training of members and staff of market committee; (xxii) purchase and sale of essential agricultural commodities; and (xxiii) any other purpose that may be declared by notification by Government for improvement of agricultural produce or livestock produce, as the case may be, and its marketing, where necessary in the general interest. 22. Levy of surcharge on loss.—(1) Every person shall be liable for the loss, waste or misapplication of any money or property belonging to a market committee, if such loss, waste or misapplication is proved to the satisfaction of the District Co-ordination Officer or any other officer specially empowered in this behalf by Government to be the direct consequence of such person's neglect or misconduct in the performance of his duties while being a member of a market committee. (2) The person against whom an order under sub- section (1) is made may, within one month of the issue of such order, appeal to Government which may modify or set aside the order.
25. Bar of suit in absence of notice.—No suit shall be instituted against any marketcommittee or any member or employee thereof or any person acting under the direction of any such market committee, member, or employee for anything done or purporting to be done under this Act, until the expiration of two months next after a notice in writing, stating the cause of action, the name and place of abode of the intending plaintiff and the relief which he claims, has been, in the case of a market committee, delivered or left at its office, and, in the case of any such member, employee or person as aforesaid, delivered to him or left at his office or usual place of abode, and the plaint shall contain a statement that such notice has been so delivered or left: Provided that where a suit instituted without delivering or leaving such notice, or before the expiration of the said period of two months, or the plaint dose not contain a statement that such notice has been so delivered or left, the plaintiff shall not be entitled to any costs, if any settlement as regard the subject matter of the suit is reached or the market committee, any member, employee or person referred to above concedes the plaintiffs claim within the period of two months from the date of the institution of the suits. 26. Power to borrow.—(1) A market committee may, with the sanction of Government, raise money required for carrying out the purposes for which it is established on the security of any property vested in and belonging to the market committee on such conditions and subject to such rules as may be prescribed. (2) A market committee may. for the purpose of meeting the initial expenditure on lands, buildings and equipment required for establishing a agriculture produce market and for the proper discharge of the duties and functions imposed on it by or under this Act, obtain loan from Government or from any other market committee on such conditions and subject to such rules as may be prescribed. 27. Power to annul proceedings.—(1) Government may by order in writing call for the record of a market committee and after giving a reasonable opportunity of showing cause, annul any proceeding of a market committee or its sub-committees which it considers not to be in conformity with law or rules or bye-laws and may do all things necessary to secure such conformity, or may suspend any resolution which it considers likely to lead to breach of peace, or to cause injury or annoyance to public or to any class or body of persons or is likely to affect adversely the interest of the market committee or of growers or dealers transacting business in agricultural produce and livestock or of any class of functionaries working in the notified market area.
28. Supersession of market committee.—(1) If in the opinion of Government a market committee is incompetent to perform or persistently makes default in performing the duties imposed on it by or under this Act, or abuses its powers, Government may, by notification, supersede such committee: Provided that before issuing a notification under this sub-section, Government shall give a reasonable opportunity to the market committee for showing cause against the proposed supersession and shall consider the explanations and objections, if any, furnished by the market committee. " (2) Upon the publication of a notification under sub-section (1) the following consequences shall ensue:
Provided that the term of office of such authority may be terminated earlier if Government, for any reason, considers it necessary.
(2) Notwithstanding anything contained in any other law, no compensation shall be payable for any encroachment removed or caused to be removed under this section. 31. Training Institution.—(1) Government may set up a training institute for the training of members and the staff of market committees, dealers, processors and other market functionaries and for the promotion of research in agricultural or livestock produce, its marketing and allied subjects and may by rules provide-
(2) Every market committee shall pay towards the cost and maintenance of the institution set up under sub-section (1) such amount as Government may from time to time determine. 32. Recovery of dues.—All sums due from a market committee to Government may be recovered in the same manner as arrears of land revenue are recoverable. (2) Any amount due to a market committee shall be recoverable as arrears of land revenue. 33. Emergency powers.—If at any time Government is satisfied that a situation has arisen in which the purposes of this Act cannot be carried out in accordance with the provision thereof, Government may by notification dispense the market committee and—
34. Penalties.—(1) Whoever contravenes the provisions of section 4, shall, on conviction, be punishable with fine which may extend to one thousand rupees and in case of continuing contravention, with fine which, in addition to such fine as aforesaid, may extend to one hundred rupees for every day, after the date of first conviction, during which the contravention is continued.
35. Power to make rules.—(1) Government may either generally or specially for any notified market area or areas, make rules for carrying out all or any of the purposes of this Act. (2) In particular and without prejudice to the generality of the foregoing power such rules may provide for- (i) appointment and removal of members of a market committee; (ii) power to be exercised and the duties to be performed by a market committee; (iii) election of the Chairman and Vice-Chairman of a market committee and their powers and term of office; (iv) filling of casual vacancies in the offices of members or in the office of Chairman or Vice-Chairman of a market committee; (v) time, place and manner in which a contract between buyer and seller is to be entered into and money is to be paid to the seller; (vi) management of the market, maximum fee which may be levied by marketcommittee in respect of agricultural produce or livestock produce boughtor sold by licensees in the notified market areas, and the recovery anddisposal of such fee;(vii) issuance, by market committee, of licences to brokers, weigh-men, measurers, surveyors, warehousemen, changers, tokriwalas and rehriwalas, the form in which and the conditions under which such licences shall be issued or renewed and the fee, if any, to be charged therefor;(viii) the place or places at which agricultural produce or livestock produce shall be weighed, the kind and description of the scales, weights and measures which alone may be used in a transaction in a notified market area; (ix) inspection, verification, regulation, correction and confiscation of scales, weights and measures in use in a notified market area, if found defective; (x) trade allowances which may be made or received by any person in any transaction in agricultural produce or livestock produce in a notified market area; (xi) prohibition of brokers from acting in the same transaction on behalf of both the buyer and the seller of agricultural produce or livestock produce, as the case may be; (xii) provision of accommodation for storing any agricultural produce or livestock produce brought into the market; (xiii) preparation of plans and estimates for works proposed to be undertaken partly or wholly at the expense of market committees, and the grant of sanction to such plans and estimates; (xiv) forms in which the accounts of market committee shall be kept, the audit and publication of such accounts and the charges, if any, to be made for such audit; (xv) management and regulation of provident fund which may be established by a market committee for the benefit of its employees; (xvi) preparation and submission for sanction of-annual budget, and reports and returns to be furnished by market committee; (xvii) investment and disposal of the surplus funds of a market committee; (xviii) prescribing any matters in respect of which fees shall be payable under this Act and fixing the amount of such fees and the mode of payment and recovery thereof; (xix) imposing on persons licensed under section 6, the duty of making returnsto market committee at regular intervals of transactions of sale and purchase affected by them or at their place of business, and of producingaccounts for inspection and furnishing information when called upon byan authority duly empowered and prescribing the form and mode of verification of, and the particulars to be entered in such returns as well asthe nature of such information; and (xx) determining- (a) conditions of service of the employees of market committees and their grades of pay;
36. Bye-Laws.—(1) Subject to any rules made by Government under section 35, a market committee may, in respect of the notified market area under its management, make bye-laws for- (i) regulation of business;(ii) conditions of trading; (iii) delegation of powers, duties and functions of sub-committees, if any, appointed under section 15; (iv) remuneration of different functionaries not specifically mentioned in this Act working in the notified market area and rendering any service in connection with the sale or purchase of agricultural produce or livestock produce as the case may be; (v) such other matters as are in the opinion of Government necessary or expedient to be provided for through bye-laws.
37. Trial of offences.—(1) No offence made punishable under this Act or any rules or bye-laws made thereunder shall be tried by a court inferior to that of an Judicial Magistrate of the First Class. .
38. Validation of continuance of functions of certain authorities and officers.—Notwithstanding anything contained in this Act, all authorities and officers who, immediately before the enforcement of this Act, were exercising functions of market committee under the law being repealed under section 39 shall continue to exercise their respective functions under this Act till the market committees are reconstituted: 39. Repeal.—(1) The Agricultural Produce Markets Act, 1939 (V of 1939) is hereby repealed. (2) Notwithstanding the repeal of the Act under sub-section (1), everything done action taken, obligation, liability, penalty or punishment incurred, licence granted, inquiry or proceedings made, committees appointed or person appointed or authorised, jurisdiction or power conferred, rules or bye-laws made and order or notification issued under any of the provisions thereunder shall, if not inconsistent to the provision of this Act, continue and so far as may be, be deemed to have been respectively done, taken, incurred, commenced, appointed, authorised, conferred, made or issued under this Act. ---------------------------------------------
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