Punjab State Agricultural Marketing Board was established on 26th May,1961 under the Punjab Agricultural Produce Markets Act, 1961 with an objective to control and supervise the marketing network of sale,purchase,storage and processing of processed or non processed agricultural produce so notified (Annexure-A) from agricultural, horticulture, animal husbandry and forest produce. PSAMB is a corporate body as well as a local authority having perpetual succession and a common seal,with power to acquire, hold and sell property.
There are 154 Agricultural Produce Market Committees in the State established under the Act. There are one principal market yard, one or more sub market yards and seasonal purchase centres in each market committee. During the marketing season for the wheat in Rabi and Paddy in Kharif about 1590 and 1514 purchase centres are established apart from the main principal market yards and sub market yards which facilitate the farmer to sell his produce within the radius of six to eight kilometers. PSAMB exercises superintendence and control over the APMCs