The Kalimati Fruits and Vegetables Market Development Board has revoked permits of 51 traders operating stalls at the country’s largest vegetable market, in a move to eliminate middlemen in the vegetable trade as their involvement has led to higher prices for consumers. Two weeks ago, the board had already scrapped the permits for 6 stalls.

“As of now, out of 98 stalls, we have scrapped the permits of 57 stalls as part of a move to end cartel in the vegetable business,” said Agriculture Minister Chakrapani Khanal, speaking at an interaction here on Tuesday. “We have initiated action against those traders who have been operating stalls against the agreement.”

Last August, a joint team of the Department of Supply Management and Protection of Consumers Interest and the ministry swooped on the Kalimati market in a crackdown on cartels in the vegetable business.

The investigation revealed that a syndicate of middlemen had a vice-like grip on the supply chain, resulting in high prices for consumers and low returns for farmers. The Kathmandu Post describes how during the inspection, regulators found that many vegetable traders were not issuing bills of sale as required by law.

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