Punjab Arhtiyas Launch Strike Over Commission Dispute as Wheat Procurement Begins
Commission agents, known as arhtiyas, in Punjab have announced a strike starting Wednesday, coinciding with the beginning of the wheat procurement season. The protest centers on their demand for a commission rate of 2.5% of the minimum support price (MSP) for wheat, which they argue is mandated under state law but has not been adequately implemented.
Background of the Commission Hike Dispute
On March 16, the Union Ministry of Consumer Affairs increased the commission from Rs 46 to Rs 50.75 per quintal of wheat. However, arhtiyas have dismissed this hike as insufficient, pointing to the Punjab Agricultural Produce Markets (APMC) Act, 1961, which fixes the commission at 2.5% of the total produce value. Based on the current MSP of Rs 2,585 per quintal, they calculate their rightful commission should be Rs 64.62 per quintal.
Vijay Kalra, president of the Federation of Arhtiya Association of Punjab, emphasized that their commission has been frozen at Rs 46 per quintal since the 2018-19 season. "Recently, the Centre only marginally increased it after eight years. This is still much below the 2.5% fixed under the APMC Act. The MSP of crops has increased considerably since 2018-19, so have salaries of officials; but our commission remains stagnant," he stated.
Financial Impact and State Response
Arhtiyas estimate they are set to lose approximately Rs 170 crore, with 122 lakh tonnes of wheat expected to be procured in Punjab this season. In response, Punjab Food, Civil Supplies and Consumer Affairs Minister Lal Chand Kataruchak confirmed that talks are ongoing with the agents to ensure cooperation in wheat procurement. The state has secured a cash credit limit of Rs 30,973 crore for April to facilitate the process.
To manage the procurement, Punjab has notified 1,897 procurement centers, with proposals for an additional 266 temporary yards received from district-level committees. Amandeep Singh Chhina, president of the Arhtiya Association at Bhagwanwala grain market, highlighted that agents are demanding the restoration of the 2.5% commission structure that was in place until 2020. "At 2.5%, we should be earning around Rs 65 per quintal, but we are being paid much less," he added.
Wider Implications and Political Context
The strike is expected to involve nearly 45,000 agents across Punjab, potentially disrupting procurement operations and causing hardship for both farmers and state machinery. For instance, Amritsar's grain market alone handles 10 to 12 lakh bags during the season, with nine other major mandis operating in the district alongside several procurement centers.
Wheat arrivals are scheduled to begin from April 13 in Amritsar, while in Patiala, the crop starts reaching markets as early as April 3-4. Another commission agent noted the disparity is more glaring as private procurement, especially for paddy, still offers a 2.5% commission. "With assembly elections less than a year away, the government cannot afford to ignore our demands," he asserted, underscoring the political stakes involved.
This strike threatens to delay procurement activities, impacting the timely purchase and distribution of wheat, and could strain relations between arhtiyas, farmers, and state authorities during a critical agricultural period.
