The recent submission of a report by the Expert Committee on the Market Yard of National Importance (MNI) platform marks a significant step towards promoting inter-mandi and inter-state trade in India’s agricultural sector.
Overview
- The Government of India has consistently advocated for the strengthening of Agricultural Produce Market Committees (APMCs) to enhance transparency and competitiveness in agricultural markets. Since its launch in April 2016, the e-NAM (National Agriculture Market) platform has made remarkable progress. With the integration of 1361 Mandis from 23 States and 4 Union Territories, e-NAM has revolutionized the agri-marketing sector in India.
- As of July 3rd, 2023, over 1.75 crore farmers and 2.45 lakh traders have registered on the e-NAM portal, facilitating trade worth approximately Rs. 2.79 lakh crore. While e-NAM has successfully included regulated markets, the need for competitive prices in inter-mandi and inter-state trade has become evident.
The Expert Committee and Recommendations
- To address the need for competitive prices and facilitate inter-mandi and inter-state trade, the Government of India established a high-level Expert Committee in April 2023. On July 4th, 2023, the committee submitted its report, which highlights key recommendations and an implementation framework for the MNI platform.
- The report covers several important aspects, including the MNI-P platform, legal framework, inter-state reciprocity of licenses and movement, dispute resolution mechanisms, and rollout strategies. The MNI platform aims to enable farmers from participating states to sell their surplus produce beyond their state boundaries. It seeks to create a digital ecosystem that harnesses the expertise of various segments within the agricultural value chain.
About e-NAM
e-NAM, the National Agriculture Market, is an online trading platform that facilitates agricultural produce trading, benefiting farmers, traders, and buyers. Implemented under the leadership of the Small Farmers Agribusiness Consortium (SFAC) and the Ministry of Agriculture and Farmers’ Welfare, the platform aims to streamline marketing processes and ensure better prices for farmers through smooth online trading.
About APMC
- Agricultural Produce Market Committees (APMCs) are marketing boards established by state governments in India. APMCs aim to protect farmers from exploitation by large retailers and prevent excessive price spreads between the farm and retail levels. These committees operate under the framework of Agriculture Produce Marketing Regulation (APMR) adopted by the respective states.
- The objectives of APMCs include developing efficient marketing systems, promoting agri-processing and agricultural exports, and establishing effective infrastructure for the marketing of agricultural produce.