(1) The producer market yard (Kisan Mandi) may be established outside the principal market yard or sub-market yard in the notified market area. Such market yard may be set up with suitable infrastructure in accordance with the provisions of this Act and the rules made there under by a group of producers in any notified market area for sale to whole sellers or institutional buyer or any other buyer, as may be prescribed.
(2) Any person other than market committee and Board who desires to establish a private producer market yard (Kisan Mandi) in any notified market area under section 7, shall apply to the State Government or any officer authorized by it in this behalf along with requisite fee for grant of license and such authority shall grant the licence for such period, in such form, on such terms and conditions, as may be prescribed.