NE AGRICULTURE BUREAU
I firmly believe that now my farmers would decide where, when and at what price their produce will be sold. And it is my belief that there would be no burden on the consumer. – Prime Minister Narendra Modi
To catalyse the digital transformation of mandi or marketplace operations for the trading of agricultural commodities, the National Agriculture Market (e-NAM), a pan-India electronic trading portal was launched by visionary Prime Minister Narendra Modi on April 14, 2016.
- More than 1.75 crore Farmers & 43 Lakh traders have registered on e-NAM platform (as on March 31, 2023).
- 2,575 FPOs have been onboarded on e-NAM platform.
- Traded value worth Rs 50 lakh crore has been recorded on e-NAM platform.
- As on March 16, 2023, 1,361 mandis of 23 States and 4 UTs have been integrated with e-NAM platform.
- The progress towards “One Nation One Market”— which enables efficient price discovery — has been facilitated by inter-state trade
The objective was to create a transparent online competitive bidding system to enable farmers to secure remunerative prices for their produce. Since then, trade volumes on the e-NAM platform have steadily gathered pace, improving market access of farmers and creating a unified national market for agricultural produce.
e-NAM is completely funded by the Central Government and is implemented by Small Farmers Agribusiness Consortium (SFAC), under the aegis of Ministry of Agriculture and Farmers’ Welfare. This portal networks the existing Agricultural Produce Market Committee (APMC) mandis and provides single window services for all APMC related information and services. This includes commodity arrivals, quality & prices, buy & sell offers and e-payment settlement directly into farmers’ account, among other services..
e-NAM platform promotes better marketing opportunities for the farmers to sell their produce through online competitive and transparent price discovery system and online payment facility.
It aims to promote uniformity in agriculture marketing by streamlining of procedures across the integrated markets, removing information asymmetry between buyers and sellers and promoting real-time price discovery based on actual demand and supply.
Objectives
- To integrate markets first at the level of the States and eventually across the country through a common online market platform, to facilitate pan-India trade in agricultural
- To streamline marketing/transaction procedures and make them uniform across all markets to promote efficient functioning of the
- To promote better marketing opportunities for farmers/sellers through online access to more buyers/markets, removal of information asymmetry between farmer and trader, better and real-time price discovery based on actual demand and supply of agri- commodities, transparency in auction process, prices commensurate with quality of produce, online payment etc. that contribute to marketing
- To establish quality assaying systems for quality assurance to promote informed bidding by
- To promote stable prices and availability of quality produce to consumers.
Scheme Components
- Selection of State’s/UT’s APMCs/Regulated Market Committees (RMCs) is undertaken after mandatory reforms in their APMC/RMC Acts as prescribed in the Scheme and approval of their Detailed Project Report (DPR) by Project Appraisal Committee (PAC). Details of eligibility to avail assistance under the scheme are outlined in the scheme
- Provision of e-NAM software to States/UTs free of cost.
- Based on their Detailed Project Reports (DPR), financial assistance is provided to State/UT for selected APMCs/RMCs up to a maximum of 30.00 lakhs per market, for purchase of hardware, five internet connections, assaying equipment and related infrastructure to make the market ready for integration with e-NAM platform. State Government/ UT/ their agencies would bear the balance fund requirement, if any, for making arrangement for electronic trading in proposed markets.
- Technical Assistance: Small Farmers Agribusiness Consortium (SFAC), the Lead Implementing Agency (LIA), through Strategic Partner (SP) Nagarjuna Fertilizers & Chemicals Ltd.7(NFCL) for implementation of e-NAM, deputes at all APMCs/ RMCs free of cost one Mandi Analyst at each market, for a period of one year to provide day-to- day hand holding support to stakeholders for its successful e-NAM portal access to private markets may be considered by the Project Appraisal Committee (PAC) provided they are recommended by the competent authority of the concerned State/UT. However, in such cases they must provide for Mandi Analyst, related hardware, assaying facilities and other support services at their own cost.
- Capacity building: Orientation of APMC/RMC line staff, awareness to farmers through Market talk, Gram Sabha, Print & Electronic media would be undertaken with support of strategic
Pre-requisites for e-NAM
There are three basic criteria for a state to propose Mandis for e-NAM:
- The state APMC Act must have a specific provision for e-auction/electronic trading as mode of price
- There must be one single trading license to be valid across the state/UT
- A single point levy of market fee across the State/UT.
Beneficiaries & Benefits of the Scheme
e-NAM is designed and implemented to benefit all the stakeholders – farmers, mandis, traders, buyers, FPOs, processers and the exporters. The benefits to stakeholders include:
- Transparent online trading with enhanced accessibility to the
- Real time price discovery for better & stable price realization for
- Reduced transaction cost for
- Availability of information on e-NAM mobile app about commodity The details of price of commodity sold along with quantity are received through SMS.
- Quality
- More efficient supply chain& warehouse based
- Online payment directly to the bank accounts of the
Stakeholders
The different stakeholders (As on March 31, 2023) of the Scheme are:
Source: https://enam.gov.in/
Monitoring of the Scheme
- Monitoring by combination of periodic desk review, field visits and web-based mechanism are adopted to track the physical progress of integration of existing mandis to e-NAM portal. Overall monitoring of the progress of the scheme interventions in all the states and national level is undertaken by
- A coordinated approach for monitoring and evaluation by involving following agencies will be undertaken:
- National level- lead implementing agency (SFAC) along with DMI/NIC with the support of SP (NFCL)
- State level- respective department with supporting agencies (SAMB/DAM/NFCL)
Outcome of the Scheme
- Single license for trading across all markets in a
- Single point of market
- Electronic auction for transparent price
Easier norms for obtaining trading licenses
- Abolition of fragmented markets.
- Seamless transfer of agricultural
- Improved supply-chain and reduced
- Increased price share for the
- Wholesale based
- Quality based informed
District Level Structure
Schematic representation of administrative structure at District Level is:
New Features incorporated
- During COVID-19 pandemic, e-NAM platform /mobile application has been further strengthened by launching FPO (Farmer Producer Organisation) trading module in e- NAM whereby FPOs can trade their produce from their collection center without bringing the produce to APMC.
- Warehouse based trading module was also launched in e-NAM to facilitate trade from warehouses based on e-NWR (electronic-Negotiable Warehouse Receipt).
- On July 14, 2022, Platform of Platforms (POP) under the National Agriculture Market (e-NAM) was launched. With its introduction, farmers will be facilitated to sell the produce outside their state borders. This will increase farmers’ digital access to multiple markets, buyers and service providers and bring transparency in business transactions. 41 service providers from different platforms are covered under POP facilitating various value chain services like trading, quality checks, warehousing, fintech, market information, transportation etc.
- AI based assaying equipments have been integrated with e-NAM platform.
Achievements
- Digital India Award 2022: Electronic National Agriculture Market (e-NAM) initiative of Ministry of Agriculture won Platinum Award (1st) in the Digital Empowerment of Citizens Category.