It has been observed that in the post-independence period the government of India considerably emphasised the implementation of the agricultural Produce Marketing Act through the state governments. In all, there were 6,752 regulated markets functioning in the country as on the end of March 1993. However, due to increasing disputes in the regulated markets and lack of infrastructure, the intervention of private traders in procurement of foodgrains and sales to terminal and retail markets has significantly increased. The private traders intervention in the transactions of commercial crops like bidi tobacco, sugarcane, oilseed, pulses and spices were found dominant. The liberalisation policy introduced in 1991 in the country has further made easy the entry of private traders in the domestic marketing and export of agricultural commodities.