Karnataka   

Chitradurga APMC hopeful of increased revenue this year

Bumper crop : Groundnut for sale at the APMC yard in Chitradurga.

Chitradurga: Following good rainfall in the district, the Agriculture Produce Marketing Committee (APMC) is expecting excess revenue of over Rs. 70 lakh this year, compared to last year.

The APMC yard has been receiving good arrivals of foodgrains from various parts of Chitradurga and neighbouring districts. This year, groundnut and maize farmers have made good profit owing to timely rain, which has contributed to increased revenue to the APMC. But, sunflower farmers have suffered on account of pest attack, sources said.

The total revenue earned by the APMC last year was Rs. 1,93,63,294 crore, while by December 2007 itself, the APMC had already got Rs. 1,97,14,032 crore. “The revenue is expected to increase by at least Rs. 70 lakh as we are still receiving grain,” APMC secretary C. Patalingappa said.

Though many farmers still prefer to sell produce in the APMC yard, some, hoping for better returns, sell them in the villages. “This practice is not advisable since farmers lose the opportunity of getting competitive prices. For small and marginal farmers it may be advisable, but certainly not for big farmers,” Mr. Patalingappa said.

On the one hand, the APMC is earning profit through good arrivals, but at the same time it is also losing considerable amount of revenue owing to lack of stringent norms on inspection of arrivals.

The APMC determines the arrival of foodgrains and revenue only on the basis of the amount of grain being disposed of from the yard, but does not maintain a record of actual arrivals inside the yard.

This lacuna helps several agents sell grain in the black to save tax, the sources said. The agents are supposed to pay 1.5 per cent tax on each quintal of the grain sold.

The sources also said that black marketing had resulted in the loss of around 20 per cent revenue to the APMC.

Mr. Patalingappa, who admitted that as per guidelines, all arrivals should be recorded before allowing the grain inside the yard, said that in the absence of staff, compound walls and entry gates, some yards were not in a position to maintain records of actual arrivals.

He said APMCs across the State had been asked to construct compound walls and install gates to contain black marketing.

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