A farmer in North India can sell his produce on the NAM to a trader in the west or south based on price. This will make a significant difference because there is no state or national price. Futures exchanges poll to arrive at prices but it is not an efficient mechanism.
- The NAM allows states to have their own electronic platforms and they can decide on linking these to the national exchange.
- Literacy and the knowledge of the’technology is another aspect of selling the agricultural produce through e-NAM. A large section of the farmers, especially the small and the marginal farmers are either illiterate or poorly literate. Using the latest state-of-the-art e-Marketing platform is rather impossible or extremely difficult for them. Ultimately they have to depend on another set of middlemen- cyber agents or the electronic platform of the local commission agents who will exploit them.
- Delivery aspect of the sold
commodities is still unresolved. Agricultural markets are not the virtual markets, as is the case with future markets. Tangible commodities are sold and purchased in mandies. How rice purchased in Ludhiana by a trader of Kerala will be handled at Ludhiana or in its transportation ? RDa?p5S