E-Marketing of Agriculture Commodities: Challenges and Prospects for Marginal and Small Farmers in India (original) (raw)

Agricultural marketing reforms and e-national agricultural market (e-NAM) in India: a review

Agricultural Economics Research Review

Efficient markets offer efficient price discovery and level playing field for all the actors. This paper systematically reviews developments in Indian agricultural marketing and emphasizes on addressing the challenges in implementation of e-NAM to achieve the goal of doubling farmer's income; hence the challenge of poverty reduction as envisaged in SDGs. The study captures various challenges in the implementation of e-NAM in terms of 3 I's (Infrastructure, Institution and Information) and advocates for strengthening the back-end of the supply chain with public-private interventions; amendment in state APMC Acts to accommodate for e-tendering operations and wide publicity of benefits of e-NAM among farmers.

Electronic National Agricultural Markets, Impacts, Problems and Way Forward

IIM Kozhikode Society & Management Review, 2019

There are about 585 Agricultural Produce Market Committee (APMC) markets which were linked to Electronic National Agricultural Market (eNAM) in 14 states in India by 2018. There was a slow but definite increase in the adoption of eNAM by the stakeholders. There has been no detailed study so far on the impact of eNAM on prices received by farmers and bottlenecks faced in introducing this e-market platform in the existing markets. This article fills this research gap. The econometric results show that there has been an increase in prices received by the farmers and more markets have linked to eNAM due to the introduction of e-auction. Other benefits of eNAM include timely online payment of sale proceeds to the farmer’s bank account and reduced chances of collusion among traders. However, on the flipside, due to lack of quick assaying facilities, participation of distant traders has not picked up, which has resulted in no significant increase in competition. There is a need for increasing the participation of the stakeholders through formation of farmers groups, private sector participation in the maintenance of eNAM, convincing the traders and commission agents to use eNAM and linking warehouses and rural periodical markets to eNAM to increase the scale, scope and efficiency of market operations.

Increasing the Value of Farm Products: Connecting Farmers and Consumers through an E-commerce System

Farmers are expected to benefit from the fruits of their labor. Consumers, on the other hand, should not be overwhelmed by expensive farm products just because of the common practice of the traditional business trade. In the past, alternative solutions to break this trend are not viable due to the lack of available system and technologies. The middlemen or the intermediaries are the ones dictating the prices of farm commodities and the same time gaining huge amount of profit margin due to the incremental markup of one intermediary level to another. With the advent of E-commerce infrastructures and the motivation to embrace this system, the option of breaking the barrier between the farmers and the consumers is now possible. An E-commerce system that is designed to help farmers reach the consumers directly or with the assistance of a farmer's cooperative is presented in this study. However, the E-commerce system is an option that needs to gain popularity among farmers and consumer. The requirements to gain enough knowledge of this trade and the stage to achieve full maturity of its adoption still need further motivation and investigation.

Electronic national agricultural markets: the way forward

Current Science , 2018

The Model Agricultural Produce Marketing Act (APMC Act), 2003, and recent improvements to it through Model Agricultural Produce and Livestock Marketing (Promotion and Facilitating) Act (APLM), 2017, provide some hope in increasing efficiency in agricultural markets in India. The Model APLM Act advocates increased competition in the marketplace by allowing private markets, farmers’ markets, and electronic-National Agricultural Markets (eNAM). Under eNAM, the Central Government introduced electronic trading in about 400 APMC markets in 2016 and connected them through uniform market platform in line with the e-markets of Karnataka introduced in 2012. This article examines experience of e-markets in Karnataka since 2012, with the intention to suggest improvements to eNAM. Results show that e-markets help increase competition, eliminate collusion among traders resulting in increased farmers’ price and market arrivals. They facilitate competitive bidding and same day payments to farmers. However, there was some resistance from traders and commission agents as they felt that there were no benefits in e-auction compared to physical transactions. In addition, there was fear of taxation of on-line transactions. Aligning interests of all stakeholders, including farmers, traders and commission agents is the biggest hurdle in the implementation of eNAM.

Challenges and Opportunities for ICT Initiatives in Agricultural Marketing in India

AbSTRACT Agriculture is different from industry and plays a significant role in the economic development of a nation. India's prosperity depends upon the agricultural prosperity. There are many kinds of agricultural products produced in India and the marketing of all these farm products generally tends to be a complex process. Agricultural marketing involves many operations and processes through which the food and raw materials move from the cultivated farm to the final consumers. The conventional approach of extension services have not been able to resolve the challenges posed by various factors in Indian Agriculture marketing. The paper at length discusses about the challenges and the opportunities for ICT mediated services for agricultural marketing.

E-CHOUPAL: IMPORTANCE FOR RURAL INDIA

Agri business in India is at a transition point. The need is for an effective and efficient distribution system for agri-produce and provision for supply demand transparency. The reforms in this sector need to catch up with the pace of development in the economy and intermediation and participation of organized players in this sector will remove the lacunae. For this purpose I.T.C. Limited developed the “e-Choupals” to the rural areas of India. In this new business model, ITC reaches implicit agreements with some farmers (inside the network) that they can sell the products directly to ITC at the market price in the local market, but allow the farmers, both inside and outside the network, to access valuable information through the e-Choupals such as price updating, weather forecast, best practice etc., free of charge. ITC’s Agri Business Division, one of India’s largest exporters of agricultural commodities, has conceived e-Choupal as a more efficient supply chain aimed at delivering value to its customers around the world on a sustainable basis. ‘e- Choupal’ also unshackles the potential of Indian farmer who has been trapped in a vicious cycle of low risk taking ability - low investment - low productivity - weak market orientation - low value addition - low margin - low risk taking ability. This made him and Indian agribusiness sector globally uncompetitive, despite rich & abundant natural resources. In this paper, we highlight ITC’s incentive of offering such opportunities, to the farmers for their benefits and growth.

DIGITALIZING AGRICULTURE FOR INDUSTRIAL ADVANCEMENT: EXPLORING FARMERS' PARTICIPATION IN E-NAM, PUNJAB, INDIA

Global Research Foundation , 2024

The Government of India launched electronic National Agriculture Market (e-NAM) trading portal for marketing of agricultural commodities on 14th April, 2016 which networks the existing APMCs to create a unified national market for agricultural commodities. The present study is an attempt to understand the level of farmers’ awareness and motivational factors to participate in e-NAM. Exploratory research design was employed for the study. The primary data was collected from 50 farmers in Mansa APMC of Punjab, India. The study found that the average age of the farmers was 45 years, majority (52.00%) were illiterate, average family size was 7.56 members and nuclear family size was 52%. Nearly 56% of farmers were aware of e- NAM, while awareness percentages for specific features were lower: registration at gate-entry (18%), lot IDs (42%), assaying process (50%), online bidding (52%), inter-state bidding (48%), and online money transfer (8%). These findings indicate knowledge gaps among farmers, emphasizing the need for improved awareness and education on these aspects of e-NAM. With respect to the motivational factors the study found that 32% of respondents were motivated by immediate cash after sale, 32% considered better infrastructure as a key factor, 22% were driven by the desire for remunerative prices, and 14% found the elimination of middlemen to be influential. To promote wider participation and uptake of e-NAM APMC, it is crucial to address farmers' awareness gaps and improve their understanding of specific features. Additionally, efforts should be made to ensure timely payments, enhance infrastructure, and provide opportunities for farmers to obtain competitive prices. By addressing these factors, e-NAM APMC can effectively support farmers in maximizing their economic well-being and contribute to the overall development of the agricultural sector

E-Marketplace in the Agricultural Sector in Sri Lanka: Challenges in Adoption

Asian Journal of Agricultural Extension, Economics & Sociology, 2021

Purpose: Agricultural e-commerce can assist in overcoming notable challenges and inefficiencies in the agriculture supply chain especially in developing countries. The aim of the study is to identify barriers to sustaining and further developing an E-marketplace in the agricultural sector in Sri Lanka. Design: An exploratory qualitative research approach was used to provide an in-depth overview of adopting and sustaining an e-marketplace. Data collection was carried out using semi-structured individual interviews amongst mass producers and buyers of fruits and vegetables as well as an emarketplace developing institution in Sri Lanka. As this is a qualitative study, non-probability sampling techniques were used. Sample for mass producers was selected using the snowball sampling approach. Criterion sampling approach was used for the selection of bulk buyers of fruits and vegetables and the e-marketplace developing institutions. Thematic analysis was employed. Findings: The study found that while farmers and buyers both expressed an interest in joining an e-marketplace in the future, they had expectations that must be fulfilled to do so. Unawareness

E-Agriculture leads to rural development in India: A Review

society of business and management , 2021

The United Nations' Food and Agriculture Organization (FAO) has developed an e-agriculture plan in partnership with the International Telecommunication Union to assist countries in using information and communication technologies to support rural development. Information and communication technologies (ICTs), which are mostly focused on agriculture, can assist enhance agricultural growth by enhancing farmers' access to essential information, allowing them to make the best decisions and manage their resources responsibly. In this era of climate change, when extreme weather occurrences are the norm, e-agriculture can provide services such as weather forecasts and disaster alerts that can assist farmers in making informed decisions. Agriculture has evolved into a knowledge-intensive industry, and having access to the appropriate information at the right time can make all the difference in a smallholder farmer's livelihood. Governments can supply rural communities with weather, market pricing, and insurance information that adds to their livelihoods with the correct kind of ICT services. Many of the challenges in the agricultural sector can be solved by having access to the correct information. Disaster planning and management, including measures like wise water management, watershed upkeep, and reliable meteorological information, can go a long way toward mitigating the effects of weather and climate change. Developed countries are already implementing a variety of agricultural technologies. Smallholder farmers in underdeveloped nations benefit from e-agriculture because it makes technology more accessible and affordable. Simple technology, such as soil health analysis, can assist a farmer in determining the sort of fertilizer to use in his land. Another excellent idea is to connect farmers with markets by providing market information and assisting them in receiving electronic payments.Initiatives like E-Choupal have proved the power of bringing communities together in India, A strategic approach to integrating the growth and reach of ICTs in other industries such as banking, insurance, and mobile technologies for agriculture is essential for identifying crucial services and solutions and ensuring their long-term viability.This research investigates the possible contribution of e-agriculture to the development of rural areas and the improvement of farmers' livelihoods.