Why in the news?
- The Department of Agriculture and Farmers’ Welfare has expanded the ambit of e-NAM by adding nine new commodities taking the total number of commodities under e-NAM to 247.
National Agriculture Market (e-NAM)
- What is it?: It is a central sector scheme launched in 2016 as a pan-India electronic trading portal that connects existing agricultural produce market committees (APMCs) to create a unified national market for agricultural commodities.
- Implementation: Implemented by the Small Farmers Agribusiness Consortium (SFAC) under the Ministry of Agriculture & Farmers Welfare.
- Key Features:
- Unified Market Platform: A common online trading portal accessible to all APMC mandis connected under e-NAM.
- Inter-State Trade: Allows farmers to sell produce to buyers across states (One Nation, One Market).
- Quality Testing: Assaying facilities for quality grading and price linkage to quality parameters.
- Payment System: Integrated with electronic payment options through BHIM, UPI, RTGS/NEFT.
- Single trading license valid across all e-NAM mandis within a state.
- Logistics Support: e-NAM platform linked to warehousing and logistics providers for storage and transport.
- Farmer Facilitation Centres: Provide training, internet access, and handholding to farmers for digital trading.
- e-NAM 2.0:
- Integration with Platform of Platforms (PoP) in 2023 to link e-NAM with private agri-marketplaces, FPO platforms, warehousing, and e-commerce players.
- AI-enabled Market Intelligence System for real-time price analytics.
- “Kisan Rath” app integration for transport logistics.
- e-Negotiation Module for bulk buyers and exporters.
- Blockchain pilots in commodity tracking for transparency.
- Advantages of e-NAM:
- Farmers receive better price realization due to competitive bidding.
- Promotes uniformity in agricultural marketing across states.
- Reduces role of middlemen and malpractices in auctions.
- Enables data-driven policy through digital trade records.
- Strengthens Digital India and Atmanirbhar Bharat initiatives in agriculture.
- Challenges:
- APMC Act variation among states delays full integration.
- Digital divide and poor internet access in rural areas.
- Limited awareness and training among small farmers.
- Inadequate assaying and grading infrastructure.
- Low share of inter-state trade despite potential.
- Way Forward:
- Uniform agri-marketing reforms across all states.
- Strengthen digital literacy & infrastructure in rural mandis.
- Incentivize FPO participation and private sector linkages.
- Enhance assaying, warehousing, and logistics connectivity.
- Integrate e-NAM with agri-export hubs and AgriStack data ecosystem.