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e-NAM (Electronic National Agricultural Market)

e-NAM is a pan-India online trading platform launched in 2016 to integrate state-level APMC mandis into a unified national market for agriculture.
Amith

e-NAM (Electronic National Agricultural Market)

e-NAM (Electronic National Agricultural Market) is a pan-India online trading platform launched in 2016 to integrate state-level APMC mandis into a unified national market for agricultural commodities.

👉 Simply put:
e-NAM = “Online mandi” where farmers and traders from anywhere in India can buy and sell farm produce transparently.

🏢 Launched by

  • Government of India

  • Launched: 14 April 2016

  • Implemented by: Small Farmers’ Agribusiness Consortium (SFAC)

  • Nodal Ministry: Ministry of Agriculture & Farmers Welfare

🎯 Objectives of e-NAM

  1. ✅ Create a unified national market for agricultural produce.

  2. ✅ Eliminate middlemen and improve farmers’ income.

  3. ✅ Ensure transparent price discovery through online bidding.

  4. ✅ Allow inter-state trade of agricultural commodities.

  5. ✅ Reduce wastage by connecting markets electronically.

  6. ✅ Promote fair and efficient marketing of farm products.

  7. ✅ Provide real-time market information on prices and demand.

  8. ✅ Reduce market fragmentation by allowing farmers to sell beyond their local mandi.

⚙️ How e-NAM Works – Step by Step

  1. Farmer brings produce to local APMC mandi.

  2. Produce is quality tested and graded.

  3. The data is uploaded on e-NAM portal/app.

  4. Traders across India can bid online.

  5. Farmer gets the best price through competitive bidding.

  6. Once sold, payment is made directly to the farmer’s bank account.

👉 So, e-NAM helps farmers sell locally but reach buyers nationally.

💡 Simple Example

Suppose:

  • A farmer in Madhya Pradesh wants to sell tur dal.

  • Earlier, he could only sell in his local mandi — price ₹70/kg.

  • On e-NAM, a trader from Maharashtra bids ₹80/kg.

  • Farmer sells it online, gets higher price, and receives payment directly in his account.

👉 Thus, e-NAM helps farmers get better prices by expanding the market beyond their local area.

🧭 Benefits of e-NAM

  1. Better price realization for farmers through national competition.

  2. Transparency in weighing, quality testing, and payments.

  3. Reduction in middlemen and unfair commission.

  4. Quick online payments directly to farmers.

  5. Encourages quality production through grading.

  6. Efficient market linkages across states.

  7. Supports digital India & farmers’ income goals.

⚠️ Challenges of e-NAM

  1. ❌ Poor internet and power connectivity in rural areas.

  2. ❌ Lack of awareness among small farmers.

  3. ❌ Limited inter-state trading (some APMC laws still restrictive).

  4. ❌ Insufficient assaying & grading labs in mandis.

  5. ❌ Digital divide – many farmers still prefer cash and traditional trading.

  6. ❌ Poor digital infrastructure in many mandis.

  7. ❌ Resistance from traditional traders & commission agents.

🚜 Government Steps to Strengthen e-NAM

  1. Integrating more mandis under e-NAM.

  2. Training farmers through awareness camps and KVKs (Krishi Vigyan Kendras).

  3. Developing quality testing labs in every mandi.

  4. Linking with Warehouse Receipt System (so farmers can sell even stored produce).

  5. Promoting mobile-based trading and payments.

🔗 Related Government Schemes

SchemePurpose
PM KISAN SAMPADA YojanaEnhances storage, processing, and value addition
AIF (Agriculture Infrastructure Fund)Builds digital infrastructure like grading labs, cold storages
AMI (Agricultural Marketing Infrastructure)Modernizes mandis and warehouses
e-Choupal, Digital Agri Mission 2021Digital empowerment of farmers

📊 UPSC Value Addition (Mains/Essay use)

“e-NAM is a major step toward doubling farmers’ income by integrating fragmented markets and ensuring fair price discovery through technology.”

Keywords to mention in answers:

  • Unified national market

  • Digital empowerment

  • Transparent price discovery

  • Farmer-centric reform

  • One Nation, One Market

Way Forward:

🔹 Strengthening internet access and digital education for farmers.
🔹 Expanding warehouse-based sales so farmers can sell without traveling.
🔹 Encouraging private players and FPOs (Farmer Producer Organizations) to participate.

e-NAM is a significant step toward agricultural market reform but requires better implementation and wider adoption to benefit all farmers.

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