National Agriculture Market (e-NAM)

Group No. -21

Mr. Vignesh S (2161)

Mr. Vishve Mohit Rajendra (2162)

Mr. Sangharsh Appasaheb Yeole (2163)

What is e-NAM?
How does e-NAM work?
What are the objectives of e-NAM?
What is the progress made by e-NAM?
What are the advantages of e-NAM?
What are the challenges faced by e-NAM?
What are new features added to the e-NAM?
What can be the way forward?
Conclusion
 What is e-NAM?
National Agriculture Market (e-NAM) is a pan-India online trading platform for
agricultural commodities developed by Nagarjuna Fertilizers and Chemicals
Limited (NFCL) Launched on April 14th 2016

It is managed by Small Farmers’ Agribusiness Consortium (SFAC) under the

Department of Agriculture, Cooperation and Farmers’ Welfare. It links
agricultural produce market committees (APMCs) across all states with online
trading of commodities.

The farmer is the primary stakeholder, e-NAM also provides traders,

commission agents and exporters with better business opportunities through a
unified and extensive market place.
 How does e-NAM work ?
 Each state has its own APMC Act, with varied provisions.
 Every state is further divided into several market areas.
 These separate areas formed will be administered by a separate Agricultural Produce
Marketing Committee (APMC), which imposes its own marketing regulation
 e-NAM mandates three changes in the agricultural marketing laws of states
1. Provide for electronic trading
2. the State Marketing Boards/APMCs must enable the promotion of e-auction platform.
3. Provide single trading licences that are valid in all mandis in a state
 The states must also ensure that the mandis are integrated with NAM through internet
connectivity, hardware and assaying equipment.
 The payments for the farmers will be provided with valid licence linked with Aadhaar
through Direct Benefit Transfer by state APMCs.
 What are the objectives of e-NAM?

 To integrate markets, at the state-level and national-level through a common

online platform that would facilitate a pan-India trade in agricultural
commodities
 To enhance better marketing avenues for both the seller (farmers) and the
buyers (trader)
 To put in place quality testing facilities that would help in better- informed
biddings by buyers
 To promote stability in pricing and ensure the availability of quality products
to the end-consumer.
 What is the progress made by e-NAM?

 Currently, 585 mandis across 16 states and 2 UTs have been

integrated on the platform.

 415 mandis are expected to integrate with e-NAM soon.

 More than 1.65 crore farmers and 1.27 lakh traders have registered
 The advantages of e-NAM?
 For Mandis
1. Better monitoring and regulation of traders and commission agents
2. Manpower requirement is reduced
3. It can be used to forecast the arrivals and prices
 For Farmers
1. It provides improved and increased options for selling produce, leading to fair
competition within the market.
2. the national-level market with prices based on the quality of their produce
3. It provides higher returns for farmers
 Other benefits
1. It integrated value chains in major agricultural commodities across the country and
helps to promote scientific storage and movement of agri- commodities
 What are the challenges faced by e-NAM?

 The scarcity of electricity, computers, internet facilities and a

shortage of staff and sorting and quality testing facilities also
remains a huge challenge for this scheme.
 Lack of awareness of the e-NAM scheme among the farmers
 There is no evidence to suggest that farmers have gained from
this new system in terms of reduced commissions to traders
and/or better returns for their produce
 New features added to the e-NAM?
 The government has recently launched new features in the e-NAM platform
to strengthen agriculture marketing by farmers to reduce their need to
physically come to wholesale mandis for selling their harvested produce
 The two new features are as follows:
1. Warehouse-based trading modules in e-NAM software will enable trade
from warehouses according to e-NWR (electronic negotiable warehouse
receipt)
2. Farmers Producers Organisations (FPOs) trading module in e-NAM enables
FPOs to trade their produce from their collection centres without bringing
the produce to APMC.
 What can be the way forward?

 The government should also ensure that farmers adopt this

mechanism and the development of a network of cost-effective
assaying facilities in agricultural markets across the country for
all commodities.

 Private players can be invited to build more warehouses at the

site of mandis.
 Conclusion

 e-NAM has a huge potential to increase the farmer’s

income and prevent exploitation by middlemen. To realise
this, it is necessary to undertake reforms to ensure
transparency and cost-efficiency of the mechanism is
achieved.
Thank You