National Agriculture Market (e-NAM)

The National Agriculture Market (e-NAM) is an ambitious initiative launched by the Ministry of Agriculture and Farmers’ Welfare to streamline and modernize agricultural marketing in India. It is an electronic trading platform aimed at creating a unified national market for agricultural commodities, enabling farmers across India to access better prices for their produce.

About e-NAM

• Launch Date: April 2016

• Funded by: The Central Government of India

• Implemented by: Small Farmers Agribusiness Consortium (SFAC)

• Key Beneficiaries: Farmers, mandis (markets), traders, buyers, processors, and exporters.

e-NAM is designed to integrate and digitize agricultural markets across the country, reducing the barriers created by state boundaries and improving transparency in the agricultural trade.

Key Objectives of e-NAM

1. Create a Unified Market:

   • Integrates state-level agricultural markets (mandis) into a single national market, enabling better reach for traders and buyers.

2. Ensure Transparency:

   • Through transparent price discovery, allowing farmers to know the best possible price for their produce via electronic auctions.

3. Improve Efficiency:

   • Streamlines and standardizes the marketing procedures across all the markets, making transactions faster and more efficient.

4. Assure Quality:

   • Implementing quality assaying to ensure that prices are reflective of the quality of produce, which helps farmers get better value.

5. Benefit Consumers:

   • Stable prices and availability of quality produce are ensured, benefiting both farmers and consumers.

Features of e-NAM

1. Pan-India Network:

   • A network of mandis across India integrated into the e-NAM platform, providing farmers with a wide market reach.

2. Quality Assurance and Assaying:

   • Ensures that the produce meets quality standards and that prices reflect this quality.

3. Streamlined Licensing & Market Fees:

   • Simplifies the licensing process for traders and imposes a single-point levy of market fees.

4. Direct Online Payments:

   • Facilitates transparent financial transactions, ensuring that payments are made directly to farmers.

5. Improved Market Access and Information:

   • Provides real-time market information, helping farmers make informed decisions about when and where to sell their produce.

6. Logistics & Integration:

   • Integrates logistical support to ensure efficient transportation and storage of produce.

Monitoring and Administration

• e-NAM is coordinated at the national level by SFAC and supported by state departments and other local agencies at the state level.

Pre-requisites for e-NAM Implementation

To integrate mandis into the e-NAM platform, states need to implement the following three reforms in their Agricultural Produce Marketing Committee (APMC) Act:

1. Permit E-auction/Electronic Trading:

   • Allowing the use of digital platforms for trading agricultural produce.

2. Single Trading License:

   • A single license that can be used across the state or union territory for trading in agricultural markets.

3. Single-point Market Fee:

   • Imposing a single-point levy of market fee across the state.

Tradable Parameters for Goods

The Directorate of Marketing and Inspection (DMI) is responsible for defining tradable parameters for agricultural commodities on the e-NAM platform. These parameters:

• Standardize grades of commodities.

• Link prices to the quality of produce.

• Help farmers secure better prices for their produce.

Achievements of e-NAM

• Mandis Integrated: As of February 2024, a total of 1,389 mandis from 23 states and 4 union territories have been integrated into e-NAM.

• Farmers Registered: Over 1.77 crore farmers are registered on the platform.

• Traders Registered: Over 2.53 lakh traders are registered on e-NAM.

These integrations have significantly improved the reach and efficiency of agricultural trade in India, leading to better price realization and reduced post-harvest losses.

Significance of e-NAM

• Enhanced Price Realization: Farmers can access better prices for their produce by selling directly to a wider range of buyers.

• Reduction in Post-Harvest Losses: By facilitating timely sales and better market access, post-harvest losses have been reduced.

• Formalization of Agricultural Trade: Encourages formal, digital trading practices in agriculture, promoting transparency and reducing exploitation.

• Stable Prices and Supply for Consumers: e-NAM helps stabilize prices and ensures that quality produce is available to consumers at reasonable prices.

Other Digital Initiatives in Agriculture

India has launched several digital initiatives to further enhance agricultural development and support farmers:

1. Krishi UDAN 2.0:

   • An initiative to facilitate air transport of perishable agricultural produce, ensuring faster delivery to markets.

2. Digital Agriculture Mission (DAM):

   • A national mission aimed at digitizing agricultural practices and promoting technology-driven farming solutions.

3. India Digital Ecosystem of Agriculture (IDEA):

   • An initiative to create a unified digital ecosystem for the agricultural sector.

4. ITC's e-Choupal:

   • An initiative by ITC to provide farmers with access to information, resources, and markets using digital tools.

5. Agri Market Infrastructure Fund (AMIF):

   • A fund to develop infrastructure in agricultural markets and improve marketing facilities.

6. Agri-Stack:

   • A digital platform aimed at creating a comprehensive database for farmers, enabling better access to services, subsidies, and markets.

7. National e-Governance Plan in Agriculture (NeGP-A):

   • A government initiative to provide e-governance services to farmers for efficient management of agricultural activities.

8. AGMARKNET:

   • An online platform to provide market information and price trends for agricultural commodities.

Conclusion

e-NAM is a critical initiative in India's agricultural transformation, creating a more efficient, transparent, and accessible market system for farmers. With the inclusion of 9 new commodities, it continues to expand its reach, helping farmers realize better prices for their produce and contributing to the formalization of the agricultural sector. Through initiatives like these, India is moving towards a digital, efficient, and fair agricultural ecosystem.