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Subject: Agricultural Economics × Author: Baljit Kaur × End date: 2023 × Start date: 2020 × Type: Thesis ×
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    ThesisItemOpen Access
    Performance and functioning of Electronic National Agricultural Market (e-NAM) in Haryana: An economic analysis
    (CCSHAU, Hisar, 2020-08) Baljit Kaur; Kundu, K.K.
    The present study was carried out with the objectives to analyse the impact of e-market on prices received by farmers and market arrivals, functioning of e-markets in Haryana from the stakeholders’ perspectives and also process innovation, lessons learned from electronic trading to e-NAM in Haryana, constraints in the diffusion of e-NAM and to suggest the policy measures. The study was based on primary as well as secondary data. A total of 30 markets with 15 e-NAM linked markets as treatment (e-NAM) and another 15 as control (non-e-NAM) were selected for data collection. In the present study samples of 10 Farmers and 5 traders from each e-market and five each farmers and traders from each non-e-market were selected randomly. Similarly, the secondary data were collected for the year 2014-2019 for e-NAM and 2010-2019 for non-e-NAM selected markets from agmarknet website for collecting the information on arrival and prices from selected mandis. The tools and techniques employed in the analysis of gathered data were Absolute change, comparative change, average, Difference in-difference (DID) approach, price volatility. The outcomes of study revealed that the increase in prices was more in the e markets (treatment group) compared to non-e-markets (control group) for all three commodities wheat, paddy and potato. There is increase in arrivals of potato in the e-markets as compared to non-e-markets. However there is decrease in arrivals of wheat and paddy in e-markets after the implementation of e-NAM in the selected markets. Through the difference in difference technique the e-NAM impact was observed as 27.96, 47.86 and 107.19 per cent increase for wheat, paddy and potato respectively. The similar figures for arrivals of these commodities were 57.36, -28.86 and 92.04 indicating decline in arrivals for paddy through e-NAM platform; while increase in arrival was observed for wheat and potato. About 95 per cent of the farmers told that proper cleaning facilities are available at the mandi. Only 29 per cent of the farmers reported availability of sorting facility, 20 per cent reported availability of grading facility, 100 per cent and 79 per cent reported proper weighing and assaying facility respectively at the selected e-NAM mandis.mandis. The trader cum commission agent response about cleaning (85%) sorting (17%) grading (16%) weighing hundred percent assaying (61%) bid management (73%) e-auction (59%) and grain storage (51%) were aware about these facilities in the e-NAM selected markets. The time taken for online payments received by the farmers takes more than 20 days (57.3%) followed by 10 to 20 days (28%) and 2 to 10 days (15%). The similar figures for traders were 24, 45 and 31 per cent respectively. Both the farmers and traders cum commission agents reported that there is no online payment on the same day. Majority of the farmers were aware of e-auctions (86%) and computer entry at the gate (92%) in the e-markets, but in the non e-NAM markets, 36 per cent of the farmers knew about e-markets functioning and process. Overall, 70.7 per cent of farmers, 32 per cent of traders cum commission agents said the e-market concept is good and were satisfied with the e-NAM. Majority of the traders cum commission agents (68 %) did not favour e-markets, but majority of the farmers were in its favour. None of the farmers and trader cum commission agent informed that they got timely payment. All of the traders highlighted no proper dissemination of information, 80 per cent of traders reported complexity of sale process, 14.7 per cent reported the lack of trained personnel to help them with e-NAM, 85.3 percent of traders faced delay in online payments, and 80 per cent & 60 per cent of traders reported for unavailability of adequate assaying laboratory. About 89.3 per cent of respondent traders faced difficulties in getting license for trading. The increase in prices was more in the e-NAM markets compared to non-e-NAM markets. There is increase in arrivals of potato in the e-NAM markets as compared to non-e-NAM markets. However there is decrease in arrivals of wheat and paddy in e-NAM markets after the implementation of e-NAM in the selected markets. Most preferred medium of crop sale by farmers during post e-NAM period is commission agents. Almost all sampled farmers preferred e-NAM platform to sell the crops in post e-NAM period. Most of the farmers were satisfied with the e-NAM concept but traders cum commission agents did not favour it. None of the farmer or trader reported timely payments in e-NAM system. The findings of the study also revealed constraints by different stakeholders and suggestions for improvement in the functioning of e-NAM in Haryana.