Analysis of e-NAM portal to increase its efficacy

Abstract

e-NAM is an electronic trading platform that is a step in bringing benefits to the farmers. The goals of the e-NAM scheme included removing information asymmetry, facilitating online transactions, establishing a quality assaying system, promoting stable prices, and assurance of quality for the buyers. The e-NAM scheme, though implemented in 2016, has not seen widespread adoption. The platform is struggling with slow APMC onboarding and weak infrastructure development. The behavioural change and the trust-building is another obstacle prohibiting its adoption. While the e-NAM platform is struggling for success, Rashtriya e-Market Services(ReMS) in Karnataka have increased the average income of farmers by 30-40% and have seen success. The purpose for both platforms are the same, but the results are different. The detailed comparison of both platforms and insights from industry experts highlights the problems the eNAM scheme faces. Major issues identified are Limitation in terms of market access due to transportation costs becoming unviable over longer distances, lack of adequate numbers of APMC Mandis and produce storage facilities, inadequate quality assaying method, lack of good infrastructure in the APMC Mandiis, lack of focus on increasing adoption and behavioural! barriers. These issues have limited the rate of implementation and are adversely affecting the farmer’s income and well-being. These issues can be addressed by methodologically increasing infrastructure support. Compared to a pan India platform model, a regional level architecture is more effective due to the diversity of crops and various other factors in India. Cooperation with existing and successful organisations such as ReMS can help speed up the adoption with efficiency. ReMS as a model has a significant amount of learning for the improvement of e-NAM. Establishing Mandis with a produce level focus will help in streamlining the supply chain associated with the produce. Assaying the agricultural produce is an area which needs significant improvement. Finally, the focus of e-NAM needs to shift from being a platform to a customercentric organisation leading execution from the front. These initiatives can improve the adoption and efficiency of the e-NAM scheme and uplifting the condition of distressed farmers in India.