In Madhya Pradesh regulatory framework for agricultural marketing is unique and consists of two distinct set of measures. One of these is development and regulation of primary markets, popularly called "Regulated Markets" and the second set is the regulation of market through a series of legal instruments. Regulation of primary markets was taken up as an institutional innovation and construction of well laid-out market yard was considered as an essential requirement of effective implementation of the regulation programme.

As the programme was a developmental-cum-legal measure, it took considerable time to extend it to a wider scale. Berar Cotton and Grain Market Law, 1897 will be long remembered as the first law which provided the basis for the regulation of markets all over the country. Till 1950 there was not any regulated market in the state. The then Government of Madhya Bharat passed the Madhya Bharat Agricultural Produce Market's Act in 1952, this was modelled mostly on the lines of Bombay Act. With the reorganisation of the state in 1956, more than one Act was operative simultaneously in different regions of the state. The programme got momentum after passing of the Madhya Pradesh Agricultural Markets Act, 1960 which came in force w.e.f 15th October, 1960.