Traders at APMC (Agricultural Produce Market Committee) markets are only allowed to make a profit margin of up to 8%, but they manage to exploit the system by selling the same produce in shops outside the market at a 6% markup and then further hiking the prices by 100%-200% when selling them to consumers.

For example, lemons that are bought at ₹27.50 per kilogram in the wholesale market are being sold in retail for ₹80 per kilogram. Similarly, potatoes, which cost around ₹17.50 per kilogram at APMC markets, are being sold for ₹40 to ₹50 per kilogram in retail, marking a price increase of 125%.

Farmers, who spend anywhere between 90 to 180 days cultivating crops like potatoes, lemons, or flowers, often only receive ₹8 to ₹15 per kilogram for their produce when sold at the APMC. However, after traders get their hands on the same product, they manage to sell it within hours at ₹30 to ₹40 per kilogram, making a significant profit.

In the Ahmedabad agricultural market, tomatoes are being sold for ₹1,200 to ₹2,500 per quintal (₹18.50 per kilogram in wholesale), yet in retail markets, tomatoes are sold for ₹50 to ₹60 per kilogram, with some areas even reaching ₹80 per kilogram.

Based on the data from the agricultural market in Jamalpur, Ahmedabad, a comparison of wholesale and retail prices of vegetables has shown that traders are pocketing an unfair profit. 

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