Turmeric cultivators in Erode are moving from traditional auctions to an online marketplace under the National Agriculture Market (e-NAM) platform to secure better prices and increase transparency. The traditional system, often dominated by middlemen, was not providing expected returns, leading to price instability and recurring losses for some farmers.
Key Details of the Shift to Online Auctioning
- Platform: Farmers and traders have decided to market their produce through the e-NAM platform, a national electronic trading portal for agricultural commodities.
- Benefits: The digital system aims to provide several advantages:
- Better Price Realisation: Connecting farmers to a wider network of traders from across the country (and potentially globally) is expected to ensure more competitive and fair pricing.
- Transparency: Digital auctions offer more transparent price discovery based on quality standards.
- Elimination of Middlemen: The e-NAM platform provides direct market access, reducing the influence of middlemen and ensuring farmers receive a larger fraction of the final market value.
- Secure Payments: The system guarantees full protection and fair settlement of payments.