Agricultural wholesale markets are deemed public utilities, and their establishment, as well as the scope of their business operations, shall be planned by respective competent authorities and may be funded through government budgets.
The plans proposed by local competent authorities are subject to submission to and approval by the Central Competent Authority.

Entities eligible to operate agricultural wholesale markets are limited to the categories outlined in the following subparagraphs:
1.Farmers’ organizations.
2.Legal persons jointly funded by farmers’ organizations.
3.Legal persons jointly funded by farmers’ organizations and government agencies/institutions or township/city offices.
4.Legal persons jointly funded by farmers and distributors of agricultural products.
5.Legal persons funded by government agencies/institutions or township/city offices.
6.Legal persons funded jointly by government agencies/institutions or township/city offices, farmers’ organizations or farmers, and distributors of agricultural products.
Entities operating agricultural wholesale markets shall not be for profit; their organization, except for the category in Subparagraph 1 in the previous paragraph, is subject to the provisions of a Company Limited by Shares under the Company Act, mutatis mutandis. However, legal persons under the categories in Subparagraphs 2, 3, 5, and 6 are exempted from the requirements for the number and qualifications of founders specified in Article 128 of the Company Act.
Agricultural wholesale markets operated by entities under Subparagraphs 1 and 2 in Paragraph 1 shall be given priority. Those operated by entities under Subparagraph 4 in Paragraph 1 are not eligible for benefits specified in Articles 12, 15, and 17, including funds, land access, and tax reduction.

The establishment of an agricultural wholesale market requires the submission of a proposal to the special municipal, county, or city competent authority for approval before commencement.
After establishment, the operating entity may initiate operations only after registering with and obtaining permits from the local competent authority. Operations shall not be halted or canceled without prior approval of the local competent authority, except in cases of force majeure.
The local competent authority may revoke approval for establishing an agricultural wholesale market if the entity deviates from the approved proposal, except when such deviation is approved based on valid reasons. Regulations governing personnel, financial, and business management, as well as utilization and management of market cash balance, purchaser transaction suspension durations, cancellation of purchaser’s permits, and other relevant matters are stipulated by the Central Competent Authority.

Agricultural wholesale markets have priority in leasing public lands or purchasing them from the government at promulgated prices. For private lands, the competent authority shall facilitate purchase or initiate legal procedures for land expropriation. Additionally, markets may utilize agricultural lands as specified by law.
Any changes to the utilization of the lands referred to in the preceding paragraph require prior approval from the competent authority.

In cases where the lands, buildings, and/or facilities utilized by an agricultural wholesale market are provided by the government or a farmers’ organization, the usage fee shall be determined by the special municipal, county, or city competent authority within the cap set by the Central Competent Authority.

Agricultural wholesale markets receive a 50% deduction on house tax, land value tax, or farmland tax for lands and buildings.

Anyone falling within any of the following subparagraphs is eligible to register as a supplier to agricultural wholesale markets:
1.Farmers.
2.Farmers’ organizations.
3.Agricultural corporations.
4.Agricultural producers approved by the special municipal, county, or city competent authority.
5.Distributors.
6.Importers of agricultural products.
Suppliers falling under Subparagraphs 2 to 6 in the preceding paragraph are required to maintain transaction records. When necessary, the special municipal, county, or city competent authority may request access to those records, and the supplier shall not refuse or interfere with such requests.
Farmers not registered as suppliers under Subparagraph 1 may supply their agricultural products to an agricultural wholesale market using their personal identification card. Agricultural wholesale markets are prohibited from setting a minimum supply amount for individual farmers.

Anyone applying to become a purchaser at an agricultural wholesale market shall submit a specified amount of performance bond to the market and shall obtain a purchaser’s permit.
The specific amount of the performance bond shall be determined by each agricultural wholesale market, subject to the submission to and approval by the local competent authority.

Suppliers or purchasers in an agricultural wholesale market are prohibited from engaging in both purchase and supply businesses within the same market.

The initial wholesale transaction of agricultural products shall take place in the local agricultural wholesale market unless the following exceptions apply:
1.Products involved in joint marketing by a farmers’ organization for direct supply to export or processing.
2.Products retailed by farmers.
3.In areas where an agricultural wholesale market is not yet established.
4.Farmers designated or approved by a project of the special municipal, county, or city competent authority for direct supply to export or processing.

Anyone purchasing agricultural products from farmers in districts without an established agricultural wholesale market must carry a distributor’s permit, subject to inspection by the competent authority when deemed necessary.
To obtain the distributor’s permit referred to in the preceding paragraph, an application shall be made to the special municipal, county, or city competent authority, with no set cap on the number of permitted distributors.
Details related to the distributor’s permit, including application procedures, criteria and required capital amount, validity periods, and available supports and incentives, shall be prescribed by regulations established by the Central Competent Authority for assistance, guidance, and management.

To ensure a stable product supply, agricultural wholesale markets may establish supply contracts, marketing programs with guaranteed prices, financing arrangements, or other applicable measures based on actual needs.

In the initial wholesale transaction of agricultural products, when the agricultural wholesale market issues sales vouchers on behalf of farmers or farmers’ organizations, they shall be exempted from stamp duties and business taxes.

Transaction modes of agricultural wholesale markets include auctioning, price negotiation, price marking, and bidding. Suppliers may specify the lowest transaction price.

Suppliers are, in principle, responsible for grading and packaging agricultural products sold at an agricultural wholesale market. The market may assume this responsibility for products not graded or packaged by suppliers, with associated fees deducted from the payment for the products.
Regulations concerning grading and packaging standards, periodic inspections, incentives for improvement, and the purchase and usage of packing containers for agricultural products shall be established by the Central Competent Authority.

Agricultural wholesale markets may impose a management fee on both suppliers and purchasers, with the fee-charging standards subject to review and approval by the Central Competent Authority.

Agricultural wholesale markets offering grading, packaging, sorting, refrigerating, freezing, ice making, storage, transportation, electric slaughtering, or other related facilities may charge users fees based on fee-charging standards reviewed and approved by the special municipal, county, or city competent authority.

Operators of agricultural wholesale markets must obtain approval from the competent authority to engage in other businesses. The operations and accounting of such businesses shall be independent, and the competent authority may conduct inspections at any time.

Agricultural wholesale markets shall publicly announce today’s transaction prices and quantities for its own transactions and those of other important markets, at a prominent location within the market.

For unsatisfactory operation of an agricultural wholesale market, the special municipal, county, or city competent authority may issue an order for improvement or rectification. When necessary, the local competent authority may request the Central Competent Authority to mandate the market’s reorganization, merger by operation of the law, or cancellation of the operation permit.