Chhattisgarh Proposes Amendment to Mandi Fee Exemption Rules

On March 7, 2025, the Government of Chhattisgarh notified a proposed amendment to the Mandi Fee Exemption Rules under the Chhattisgarh Agriculture and Food Processing Industry Policy, 2012. This move aims to introduce several key changes in the existing framework and extend its applicability under the newly revised policy.

Key Amendments in the Draft

The draft amendment primarily involves the following modifications:

Rule 1 (1) – The title of the rules will now be changed to “Exemption from Market Fee under Chhattisgarh Agriculture and Food Processing Industry Policy, 2019-24 Rules, 2019.”

Rule 2 – A new clause (t) will be added, stating that “other definitions shall be applicable as per the Industrial Policy 2019-24.”

Rule 3 (1) – The new rules will specify that all new industries and industrial units set up under expansion, replacement, or renovation of existing industries will be exempt from market fees if they are agro and food processing industries. The exemption applies to industries that start commercial production between November 1, 2019, and October 31, 2024.

Rule 4 (Quantum of Market Fee Exemption) – The exemption from market fees will apply for 5 years for general category entrepreneurs (maximum exemption: Rs. 2 crore per annum), while for Scheduled Caste/Scheduled Tribe entrepreneurs, the exemption will be extended to 7 years with a Rs. 3 crore per annum limit.

    These rules also introduce a provision for an exemption from market fee levied on agricultural products for new and expanded industries, subject to certain conditions, and will support the state’s agricultural and food processing industries.

    Objections or Suggestions

    The government has invited objections and suggestions from the public and stakeholders until March 22, 2025. These can be submitted to the Office of the Agricultural Production Commissioner & Secretary at the Department of Agriculture Development & Farmers Welfare, located at Mahanadi Bhavan, Naya Raipur, Atal Nagar, Raipur, Chhattisgarh.

    A Step Toward Boosting Agro and Food Processing Industries

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