KARACHI, May 24: The Karachi Market Committee working under the Sindh agriculture department has begun making allotments in two new vegetable and fruit wholesale markets, being established along the Northern Bypass and the National Highway, though the committee has yet to provide basic amenities in the existing Sabzi Mandi which was shifted to the Super Highway seven years ago.

Sources said that allotment of thousands of plots, each measuring 1,000 square yards, had already been completed in the new wholesale markets, each spread over nearly 100 acres given by the revenue department.

However, traders fear that plot-holders will not get any facility in the new projects like the promised facilities, including water, power, gas, road infrastructure and other services in the existing market, which still lacks all of them despite the fact that millions of rupees were collected by the market committee from them as development charges at the time of allotment.

Complaining that the market committee has so far been unable to provide facilities and stop encroachment in the existing market, traders allege that committee officials are now looking for ways to mint more money by giving allotments in the new markets. The Falahi Anjuman Wholesale Vegetable Market demands that the government reconstitute the market committee, saying that the Karachi Market Committee’s composition is not in accordance with the Agriculture Produce Act under which traders, growers and consumers shall get representation in the committee to run the affairs of the wholesale market.

”Hundreds of fake allotment cases have been pending undecided for more than a decade, while the market committee has allotted amenity plots, including those reserved for a fire station and a parking lot, to encroachers. It is all because the market committee is not adhering to the provisions of the agriculture act as well as high court and ombudsman directives,” says Mohammad Javed, president of the Malir Fruit Merchants and Growers Association.

Besides the basic amenities, traders say, the existing market was supposed to have a dispensary, a guest house with 18 rooms, two weighbridges (electronic), three police posts and a fire station. But little facilities exist on ground in the market where between 25,000 and 30,000 people are engaged in business and handling of vegetable and fruit consignments.

Administrator of the Market Committee Anwar Ali Gopang in his brief comment confirmed that 25 per cent of plots in the new wholesale markets had been allotted out. However, he could not be contacted for further details despite repeated attempts on the phone and visits to the market committee’s office.

Rs1bn loan

The Super Highway market was established at a cost of Rs1 billion under a loan agreement with the Asian Development Bank. The bank provided 85 per cent cost of the project and the rest was arranged by the market committee through other sources.

On Dec 24, 1991, the Board of Revenue gave 94 acres and 34 ghuntas of land for the establishment of this wholesale market for which ground rate was fixed at Re1 per square yard. However, without the approval of a layout plan, construction of roads, toilets, dispensary, installation of electricity meters and provision of water and gas, the market was shifted from the University Road to the Super Highway on March 16, 2001 and no development work has ever been carried out since then.

The scheme originally envisaged 1,794 plots of different sizes but on traders’ demand the number of plots was increased to 3,225, and to 4,072 in the second layout plan. Then the number of plots was reduced to 3,483 in the third plan and 3,378 in the fourth plan. Later a fifth layout plan was chalked out making the number of plots 4,348 -- 3,152 plots for shops and 1,196 plots for general auction. This plan, which had been verified by the former ombudsman in June 2000 in his decision of a case pertaining to market affairs, was also approved by Sindh Governor Ishratul Ibad in 2004.

Finally, the market committee got approved another plan increasing the number of plots further in 2006 from the city government that issued an NOC with a clear directive that all rules mentioned in the Karachi Building and Town Planning Rules-2002 would be applicable, and the individual plans vis-à-vis the built-up and vacant units be got approved from the KBCA.

At present, the number of shops and sheds has gone up to 10,000, occupying many amenity plots and most of the parking space. Several shops have been built even on the 20-feet space along the boundary wall. The space allotted to chowkidars (the wardens who keep sold produce before it is transported to local markets) has also been encroached upon, while many dealers, who had paid decent amounts to get allotment 14 years back, are yet to be given possession. A cent per cent increase in the number of business stalls speaks volumes of irregularities and corrupt practices on part of the relevant authorities. Traders say that encroachers in connivance with the market committee are bent upon grabbing every bit of the available land.

The Market Committee

To regulate the sale and purchase of agriculture produce and for this purpose to establish wholesale markets with all basic facilities is the responsibility of the market committee under the Agriculture Produce Market Act, 1939.

The market committee issues licences to dealers, commission agents, brokers, weigh men, surveyors, warehousemen, paladars and boriottas for carrying out their trade in the market after charging an annual fee. The committee can also renew, suspend or cancel such licences. To arrange open auction, supervise correct weight and timely payment of the agricultural produce; levy of fee on agricultural produce bought or sold in the notified market area as well as to fix and implement trade allowance in markets so that growers are not fleeced by middle men are other functions of the market committee.

There are about 71 market committees in Sindh, each categorised into four classes according to their annual income. The Karachi Market Committee, which is placed in Class A, shall constitutionally comprise 18 members with 50 per cent representation of the growers. The committee’s chairman and vice-chairman should be elected from among the members.

However, this is not the case at present as the provincial government dissolved all market committees in Sindh on Sept 23, 1990 and their affairs were entrusted to assistant directors of the bureau of supply and prices. The Karachi Market Committee was later put under the administrative control of the agriculture department’s extension wing and since November 1993 the committee has been run by government functionaries, most of the time under the supervision of an administrator. At present, the committee comprises 130 permanent staffers, all getting their salaries from the market committee fund.

During the last few years, several secretaries of the market committees have been appointed and removed for different reasons. Sources said controversies in the agriculture department, which had developed two months back over the posting of an officer as market committee secretary because of corruption charges against him, settled down when he was replaced on May 7, 2008.

Like the present administrator, the appointment of Abdul Rasheed Shaikh as secretary of the market committee was made under the caretaker set-up a few days before the general election despite several complaints of corruption and misuse of authority pending against him. He was also under investigation by the National Accountability Bureau and Anti-Corruption Establishment, sources said.

Insiders say the market committee collects Rs60,000 everyday in fees and vehicle entry charges though traders quite easily put the actual charges paid to the committee daily in six figures.

Traders say the solution to all these problems lies in setting up a market committee in compliance with the Agriculture Market Produce Act 1939-1940 comprising 18 members (nine growers, six fruit and vegetable dealers and three representatives of consumers) to run daily affairs of the market. The chairman and vice-chairman of the committee should be elected from among the members. In many other cities, such as Quetta, Lahore, Nawabshah and Sukkur, the market committees follow the Agriculture Act. When Sindh Agriculture Secretary Subhago Khan Jatoi was contacted for his version, his personal sectary told Dawn that he was busy in a meeting. Despite repeated attempts afterwards, he was not available for his comments on the issue.