New Features Added To E-NAM

On 2^nd April, 2020, the Centre launched new features on the electronic national agriculture market (e-NAM) platform to make it more convenient for farmers to sell their produce at warehouses and collection centres set up by farmer producer organisations (FPOs).

The features have been launched at the time when there is a critical need to decongest mandis to effectively fight against COVID-19.
To strengthen agriculture marketing by farmers across the country.

Electronic-Negotiable Warehouse Receipt (e-NWRs) Module

Warehouse (Registered with WDRA) trading module with payment feature is to enable small & marginal famers to directly trade their stored produce from selected WDRA registered warehouses which are declared deemed market by the State.
Farmers will be able to place their produce in WDRA accredited warehouses.

Benefits of eNWRs integration with e-NAM

Depositor can save the Logistics expenses and will have better income.
Farmers can sell the produce across the Nation to get better Price and at the same time can save himself from hassle of mandi.
Farmers will be able to place their produce in WDRA accredited warehouses avail the benefit of pledge loan if required.
Price stabilization by matching supply and demand through time and place utility.

Farmers Producer Organisation (FPO) Trading Module

FPO trading module will help to enable FPOs to upload their produce from their premise/ collection centres for bidding.
FPOs have the option for delivery of produce either from their premises or by bringing to mandi premise after successful bidding.
Facility provided to FPO to upload assaying report / photo of their produce from their premise to enable traders to visualise the produce before bidding.

Benefits of FPO trading module

This will not only decongest the mandis but also reduce the hassle of FPOs to deal with mandis.
This will help FPOs by reducing transaction costs (Transportation) and enhancing their bargaining power.
Facilitates FPOs to avail online payment facility with ease of doing business.

Logistic Module

As s a quantum response to logistic need by traders, provision has been made for linking large logistic aggregator platforms, which will provide choices to users.
Traders would be able to use the link to navigate to the logistics provider’s website and select appropriate services.

Benefits of Logistic Module

Will help in seamless transportation of agri produce.
Will promote inter-State trade under e-NAM by providing online transport facilities for distant buyers.

Launched in 2016, eNAM is a pan-India electronic trading portal which networks the existing APMC mandis to create a unified national market for agricultural commodities.
Small Farmers Agribusiness Consortium (SFAC) is the lead agency for implementing eNAM under the aegis of Ministry of Agriculture and Farmer’s Welfare.
SFAC through open tender selected Nagarjuna Fertilizers and Chemicals Ltd / Ikisan Division as Strategic Partner (SP) to develop, operate and maintain the NAM e-platform.

Vision

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.

Salient Features

It allows states to have their own agri-marketing platforms that can be linked with NAM.
The highlight of the scheme is the single point levy of market fees, i.e. on the first wholesale purchase from the farmer.
The provision lets farmers to showcase their produce in nearby markets and facilitate traders from anywhere to quote price.
Under the scheme, a provision of Soil Testing Laboratories in or near the selected mandi (market) has been set up. This will help visiting farmers access the facility in the mandi itself.

Benefits

Farmers

They can sell products without the interference of any brokers or middlemen thereby making competitive returns out of their investment.

Traders

Traders will be able to do secondary trading from one APMC to another one anywhere in India.
Local traders can get access to the larger national market for secondary trading.

Buyers, Processers & Exporters

Buyers like large retailers, processors or exporters will be able to source commodities from any mandi in India thereby reducing the inter-mediation cost.
Their physical presence and dependence on intermediaries will not be needed.

Consumers

NAM will increase the number of traders and the competition among them increases. This translates into stable prices and availability to the consumers.

Mandis

There will be a reduction in bookkeeping and reporting system as it will be generated automatically.
Monitoring and regulation of traders and commission agents become easy.
Transparency in the process eliminates the scope of manipulation of tendering/auctioning process.
Market allocation fee will increase due to an accounting of all transactions taking place in the market.
It will reduce the manpower requirements as the tendering/auctioning process is carried out electronically.

Others

With one license for the entire state and single point levy, an entire state becomes a market and the market fragmentation within the same state gets abolished.
It will improve the supply chain of commodities and reduces wastages.