In a significant reform aimed at promoting ease of doing business and facilitating agricultural trade, UT administrator Gulab Chand Kataria approved the proposal of the State Agricultural Marketing Board, UT, to abolish the requirement of furnishing bank guarantee and cash security by applicants seeking licences under Section 10 of the Punjab Agricultural Produce Market Act, 1961.
Amendments to Rules
Pursuant to this approval, the State Agricultural Marketing Board, UT, has carried out amendments in Rule 17 and Rule 21 of the Punjab Agricultural Produce Market Rules, 1962, on the pattern of the Punjab Mandi Board. Under the amended provisions, applicants for licences under the Act will no longer be required to submit bank guarantees or cash security at the time of grant of licence. This measure is expected to reduce the financial burden on traders and other stakeholders, while simplifying the licensing process.
Extended Licence Validity
Further, the amendments provide for a substantial increase in the validity period of licences issued under Section 10 of the Act. The licence validity, which was earlier limited to three years, has now been extended up to 10 years. This reform will significantly reduce procedural requirements and enhance convenience for existing licensees as well as new applicants.
This move is part of broader efforts to streamline agricultural marketing regulations and support the farming community by reducing compliance costs and bureaucratic hurdles. The changes are expected to encourage more participants to enter the agricultural trade sector, boosting economic activity in the region.
