JUDGMENT : S.B. Sinha, J. Whether the provisions of Andhra Pradesh (Agricultural produce and Livestock) Markets Act, 1966 shall prevail over the provisions of Andhra Panchayat Raj Act, 1994, is the question, which arises for consideration in this Writ Petition. 2. The Agricultural Market Committee, Anantapur (for short 'the Committee') is the petitioners herein. The Committee was established by the Government in exercise of the powers conferred under Section 4 (3) (a) (b) of A.P. (Agricultural Produce and Livestock) Market Act, 1966 (for short 'the Market Act') by reason of notification issued in G.O.Ms.No.665 dated 4-4-1969. The notified area of the Market Committee is 25 kms radius around the Office of the Market Committee. By reason of G.O.Rt.No.515 dated 20-3-1980. The Government declared the existing maret yard comprising of Ac.20-30 in S.Nos.82-3, 4, 83, 2, 3A, 3B, 84-1, 2, 3, 86-1, 2, 3, 86-1, 87-1, 2A, 88-1, 2A as market area under Section 4(4) of the Act. 3. The Gram Panchayat, Somaladoddi, Anantapur Rural Mandal 1st respondent herein issued an auction notification in Enadu daily newspaper on 13-7-1995 for auctioning of rights for conducting weekly cattle market in S.No.112-1 near Tadakaleru Katta on 31-7-1995 at 3.00 p.m. According to the petitioner, the Market Committee covers the area within the jurisdiction of the Gram Panchayat and, therefore, the Gram Panchayat is prohibited from collecting any fees on the notified agricultural produce or conducting any auction for the notified agricultural produce including the livestock. 4. Under Section 29 of the Market Act where in pursuance of Section 3 the Government notifies any area comprised within the local limits of the jurisdiction of a Municipality or other local authority, no such local authority or Municipality shall levy any fees on any notified agricultural produce, livestock etc. Under sub-section (2) of Section 29, the market Committee will have to make compensation for the loss of income of the Municipality or local authority due to the establishment of the Market Committee. Since the Market Committee has been established within the notified area, the Gram Panchayat, Somaladoddi is ceased to have any business or establish weekly market in relation to any agricultural produce or the livestock. Under the provisions of the Act, the Market Committee alone has authority to regulate the business in agricultural produce and livestock. The auction notification, therefore, being contrary to the provisions of the Act cannot be sustained. 5. Under the provisions of the Act, the Market Committee alone has authority to regulate the business in agricultural produce and livestock. The auction notification, therefore, being contrary to the provisions of the Act cannot be sustained. 5. In the Counter-affidavit it is stated that Section 104 of the A.P. Panchayat Raj Act, 1994 confers power on the Gram Panchayats the right to establish public market including livestock and to collect fees. The Gram Panchayat of Somaladoddi does not fall within the notified area referred to by the petitioner. Since unauthorised cattle market was being conducted in S.No.112-1 of the Gram Panchayat, the Gram panchayat issued the auction notification to regulate the said market and collect fees to improve the financial conditions of the Gram Panchayats and the District Collector, Anantapur approved the same, by proceedings dated 22-6-1995. It was also stated that S.No.112-1 in which the Gram Panchayat is proposing to conduct the cattle market is not one of the survey numbers referred to by the petitioner. 6. The Market Act was enacted to consolidate and amend the law relating to the regulation of purchase and sale of agricultural produce, livestock and products of livestock and the establishment of markets in connection therewith. As noticed hereinbefore, and Agricultural market Committee had been established at Anantapur in terms of Section 4(3) of the Act. Section 3 provides for procedure for declaration of notified area. Section 4 provides for constitution of a Market Committee and declaration of notified market area. Sub-section 3(a) provides for establishment of markets in the notified area of the market committee for purchase and sale of any notified agricultural produce, livestock or products of livestock. Section 4(3) reads thus: (3) (a) Every market committee shall establish in the notified area such number of markets as the Government may from time to time, direct for the purchase and sale of any notified agricultural produce, livestock or products of livestock and shall provide such facilities in the market as may be specified by the Government from time to time, by a general or special order. (b) Every market committee shall also establish in the notified area such number of markets as the Government may, from time to time, direct for the purchase and sale, solely of vegetables or fruits and shall provide such facilities in the market as may be specified by the Government from time to time by general or special order. (c) The market committee shall declare, by notification, the limits of every market established by it under clauses (a) and (b). 7. The market area has been notified by the Government by reason of the notification issued in G.O.Ms.No.665 dated 4-4-1969 in terms of Section 4 (3) (a) of the Market Act. The notified area in terms of the said notification is 25 kms around the office of the market committee. There is no dispute that notified agricultural produce mentioned therein includes livestock also. By another G.O. dated 515 dated 20-3-1980 the Government declared the existing market yard comprising of Ac.20-30 cts. in S.Nos.82-3, 4, 83 etc. as market area in terms of Section 4(4) of the Act. 8. Sub-section (4) of Section 4 provides: As soon as may be after the establishment of a market under Subsection (3), the Government shall declare by notification the market area and such other area adjoining thereto as may be specified in the notification, to be a notified market area for the purposes of this Act in respect of any notified agricultural produce, livestock or products of livestock. 9. Section 12 of the Act provides for levy of fees by the market committee on any notified agricultural produce, livestock or products of livestock purchased or sold in the notified market areas at such rates as may be specified in the bye-laws. Under subsection (2) of Section 29 of the Act, a market committee established within the local limits of the jurisdiction of a municipality or other local authority as notified by the Government under 3 of the Act, was under an obligation to pay compensation, a sum equivalent to the licence fees levied by such municipality or other local authority during the period of one year immediately before the notification of the area, for a period of ten years as compensation for the loss of income of the municipality or the local authority on account of the establishment of markets in the area. Therefore, the question of gram Panchayat suffering any loss does not arise. Therefore, the question of gram Panchayat suffering any loss does not arise. Section 30 of the Act reads thus: Act to override other laws: Nothing in any law providing for the establishment, maintenance or regulation of a market or the levy of fees therein shall apply to any market established under this Act or affect in any way the power of a market committee, in respect of such market. 10. Section 104 of the A.P. Panchayat Raj Act, 1994 which provides for establishment of public markets reads thus: (1) The gram Panchayat may provide places for use as public markets and, with the sanction of the Commissioner, close any such market or part thereof. (2) Subject to such rules as may be prescribed the gram panchayat may levy one or more of the following fees in any public market at such rates, not exceeding maximum rates, if any prescribed in this behalf, as the Gram Panchayat may think fit- (a) fees for the use of, or for the right to expose goods for sale in such market (b) fees for the use of shops, stalls, pens or stands in such markets; (c) fees on vehicles including motor vehicles as defined in the Motor Vehicles Act, 1988 or pack-animals bringing or persons carrying, any goods for sale in such markets; (d) fees on animals brought or sale into or sold in such markets; (e) licence fees on brokers, commission agents, weighmen and measures practising their calling in such market. 11. Section 105 of the Panchayat Raj Act provides for establishment of private markets. 12. The Market Act is a special Act whereas the Gram Panchayat Act is a general Act. Section 12 of the Market Act embraces within its fold control of the market area as regards sale or purchase of the produce mentioned therein in relation to a market area. The fee is levied by the market committee not only for regulation of market but also for development of market. 13. Unless market fee is allowed to be collected by the market committee it may not be in a position to regulate the market area or develop it. Section 104 of the Panchayat Raj Act operates in a different field i.e. providing places for use as public markets. 13. Unless market fee is allowed to be collected by the market committee it may not be in a position to regulate the market area or develop it. Section 104 of the Panchayat Raj Act operates in a different field i.e. providing places for use as public markets. Whereas in terms of the Market Act, the operating provision gets attracted only on sale and purchase of agricultural produce, livestock or produce of livestock in a market established under Section 4(3) (a) of the Act in the area notified by the Government in relation to a market committee established under Section 4(1) of the Act. The provisions contained in Section 104 of the Panchayat Raj Act can be taken recourse to even if no sale or purchase of cattle is made. Thus, in our considered view, the Gram Panchayat cannot realise market fee from any market situate within the notified area of a market committee. It can, however, realise such other charges, which do not come in conflict with the provisions of the Market Act. 14. A true construction of the provisions of Sections 3,4, 29 and 30 of the Act would make it clear that once a market committee has been constituted and a notification has been issued notifying the area of the market committee as per the provisions of the Market Act, the market committee has exclusive right to establish the cattle market under Section 3(a) of the Market Act and to collect levy of fees as provided under Section 12 of the said Act. 15. The view, which we have taken, is fortified by a division Bench decision of this Court in Agricultural Market Committee, Shakarpally v. Gram Panchayat, Shakerpally, 1997 (6) ALT 205 = 1997 (5) ALD 798 (D.B.). 16. For the reasons aforementioned, the Writ Petition must succeed and it is accordingly allowed. No order as to costs.