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23rd July 2025 (12 Topics)

Enhancing Agricultural Marketing and Infrastructure

Context

The Government has emphasized improving digital agricultural marketing and cold storage infrastructure under initiatives like e-NAM, AIF, and MIDH to ensure remunerative prices for farmers and reduce post-harvest losses, as reinforced by recent RBI Working Papers on farmers’ share in consumer prices.

e-NAM (National Agriculture Market):

  • Launched in 2016 to create a pan-India electronic trading portal integrating the physical wholesale markets (mandis).
  • Aims to provide transparent price discovery, reduce information asymmetry, and enhance market access.
  • Farmers Producer Organisations (FPOs) are increasingly onboarded to facilitate collective bargaining and ensure better price realisation.

Digital Market Expansion:

  • FPOs are now being integrated with:
    • e-NAM – National electronic mandis.
    • ONDC (Open Network for Digital Commerce) – democratizing digital commerce.
    • GeM (Government e-Marketplace) – allowing government procurement from farmers and FPOs.

Agriculture Infrastructure Fund (AIF):

  • Central Sector Scheme launched in 2020 for post-harvest infrastructure.
  • Targets: Cold storages, warehousing, grading & packaging units, especially at farm-gate level.
  • As of 30 June 2025:
    • 2,454 cold storage projects sanctioned.
    • Sanctioned amount: ?8,258 crore.

Mission for Integrated Development of Horticulture (MIDH):

  • Centrally Sponsored Scheme for holistic horticulture development.
  • Support includes Pack Houses, Cold Chains, Ripening Chambers, Reefer Transport.
  • Subsidy Pattern:
    • 35% of project cost in general areas.
    • 50% of project cost in hilly and scheduled areas.
  • Implemented through State Horticulture Missions (SHMs).

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