Mandi Guide

How to Automate Mandi Commission (Patti) Calculation — Step-by-Step Guide

MandiGrow Team
25 April 2026
7 min read
Quick Answer: Mandi commission (Patti) calculation can be fully automated by configuring your Arhat %, Hamali, Tulai, APMC Cess, and Bhada once in mandi ERP software. Every subsequent sale auto-computes the Patti in under 3 seconds — eliminating 2–4 hours of daily manual calculation.

If you are still calculating mandi commission manually — by hand, on a calculator, or in Excel — you are losing 2–4 hours every single day. Worse, you are almost certainly making calculation errors that cost you money with every patti you generate.

This step-by-step guide shows you exactly how modern commission agents at Azadpur Mandi (Delhi), Vashi APMC (Mumbai), Bowenpally (Hyderabad), and thousands of mandis across India have automated the entire patti calculation process — reducing their daily reconciliation time from hours to minutes.

What Exactly Is a Mandi Patti? (And Why Getting It Wrong Costs You Money)

A mandi Patti (also called Bikri, Sale Memo, or Farmer Settlement) is the financial settlement document given to a farmer after their produce is sold at the mandi. It is both a legal document and the primary trust signal between an arhtiya and their farmer network.

Getting a Patti calculation wrong costs you in 3 ways:

  1. Direct financial loss: If you underpay yourself (miscalculate commission or miss a deduction), you absorb the cost. If you overpay, the farmer disputes it later.
  2. Dispute and relationship damage: Farmers who cannot verify deductions on an English Patti often assume they are being shortchanged. This damages trust and farmer loyalty.
  3. APMC compliance risk: Incorrectly computed APMC Cess creates discrepancies in your 6R/J-Form reports that trigger audits.

The Complete Mandi Patti Formula (With Real Numbers)

Here is the standard formula used across Indian mandis, with a worked example:

Example: 100 Kg Tomatoes @ ₹25/kg (Bowenpally, Hyderabad)

Gross Sale Value = 100 kg × ₹25 = ₹2,500
− Arhat (Commission) @ 5% = ₹125
− Mandi Shulk (APMC Cess, Telangana) @ 1% = ₹25
− Hamali (Loading) @ ₹5/bag × 4 bags = ₹20
− Tulai (Weighing) @ ₹2/bag × 4 bags = ₹8
− Bhada (Inward Freight, farmer paid) = ₹200
− Advance Recovery (Peshgi deduction) = ₹500

Net Payable to Farmer = ₹1,622

Now imagine repeating this calculation 60–150 times per day, with different rates for different farmers, different commission structures per party, and APMC Cess varying by commodity. This is why manual calculation fails at scale.

The 7 Components of a Mandi Patti (Every Arhtiya Must Know)

Component Local Term Typical Range Who Bears It?
CommissionArhat / Aadhat / Dami4–8% (fruits/veg), 1–3% (grains)Farmer
Market FeeAPMC Cess / Mandi Shulk0.5%–2% (state-specific)Buyer (collected by agent)
Loading LabourHamali₹3–₹15 per bag/crateFarmer or shared
Weighing ChargesTulai / Tolai₹1–₹5 per weighingFarmer
Packing LabourPalledari₹1–₹8 per bagFarmer
TransportBhada / KirayyaActual costFarmer (inward) or Buyer (outward)
Advance RecoveryPeshgi / Udhaar KattaVariable (per farmer ledger)Farmer

How to Automate Patti Calculation in MandiGrow (Step-by-Step)

Step 1: Configure Commission Rates Per Party

In MandiGrow's Party Master, set the Arhat % for each farmer relationship. Some farmers may have a 5% commission, others 6%. These rates auto-apply to every sale — no manual input per transaction.

Step 2: Set APMC Cess for Your State

Go to Settings → Mandi Configuration → APMC Cess. Enter your state's market fee rate (e.g., 1% for Telangana, 0.8% for Maharashtra, 1.5% for UP). This auto-applies to every transaction in your mandi.

Step 3: Configure Hamali & Tulai Rates

Set standard rates per bag, per crate, or per quintal. MandiGrow allows different rates per commodity type — for example, ₹5/bag for tomatoes but ₹3/bag for onions — reflecting the actual labour cost differential.

Step 4: Record the Sale (Under 30 Seconds)

During the morning auction, the munim opens the POS, selects the lot (by scanning QR code or typing 6-digit code), enters the sale rate and buyer name, and presses Confirm. The entire Patti is instantly calculated — zero manual math.

Step 5: Print or WhatsApp the Patti

The Patti is ready. Print it on a 3-inch thermal printer (Bluetooth, under 2 seconds) or tap WhatsApp to send it directly to the farmer before they leave the mandi premises. The farmer's Khata is updated simultaneously.

What Happens to Farmer Advances (Peshgi)?

Commission agents frequently advance money to farmers before harvest. These advances must be recovered from future sales. MandiGrow maintains a running Peshgi ledger per farmer. When a sale is processed, MandiGrow automatically shows the outstanding advance and lets you deduct it partially or fully from the Patti — with full transparency to the farmer on the printed slip.

APMC Cess Rates by State (2026 Reference Table)

State Market Fee (Cess) Additional Levy Form Required
Andhra Pradesh / Telangana1%e-NAM / Market Register
Maharashtra0.8–1%0.05% supervision6R Form
Uttar Pradesh1%0.5–1% Gau-Vansh NidhiParcha / APMC Register
Punjab3%3% RDF (Rural Development Fund)J-Form / I-Form
Haryana2%2% RDFJ-Form
Karnataka1%ReMS / APMC Register
Rajasthan0.5–1.6%0.5% Krishak Kalyan FeeKUMS Register
Gujarat0.5–1%APMC Register

Note: Rates are indicative based on publicly available state APMC notifications. Verify with your local Mandi Samiti for the latest applicable rates.

Frequently Asked Questions

How is mandi commission (Arhat) calculated?

Mandi commission (Arhat or Aadhat) is calculated as a percentage of the gross sale value of the produce. For example, if tomatoes worth ₹10,000 are sold and the commission rate is 5%, the arhtiya earns ₹500. MandiGrow allows you to configure different commission rates per farmer, per commodity, or flat-rate per bag/crate, and applies them automatically to every sale.

What is Hamali in mandi billing?

Hamali is the labour charge for loading and unloading agricultural produce at the mandi. It is charged per bag, per crate, or per quintal and is typically deducted from the farmer's Patti. Rates vary by state and commodity. MandiGrow allows configuring Hamali rates per commodity or per buyer/farmer party, and auto-deducts them from every generated Patti.

Can I automate different commission rates for different farmers?

Yes. MandiGrow's commission engine supports per-party configuration. You can set 5% for Farmer A, 4.5% for Farmer B, and a flat ₹300 per truck for Farmer C. Once configured, every sale for that farmer automatically uses the correct rate. No manual override needed per transaction.

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