Inter-state sale via e-mandis to require statutory changes

The NAM portal will also be launched on Thursday by Modi in New Delhi on the 125th birth anniversary of Bhimrao Ambedkar

The National Agriculture Market (NAM), to be launched on a pilot basis by Prime Minister Narendra Modi on Thursday, will require statutory changes to enable smooth inter-state movement of farm goods.

"This will happen only after all states and mandis are integrated and the fine-print for this change would be suggested by a high-powered panel of experts constituted under the chairmanship of former Commission for Agricultural Costs and Prices chief Ashok Gulati," a senior official said.

The launch of national e-agriculture market will enable farmers in eight states, including Uttar Pradesh, to sell 25 commodities online in 21 wholesale mandis.

Once the targeted 585 wholesale mandis across the country are integrated with NAM by March 2018, the Centre will allow inter-state sale of agri-produce after addressing issues related to taxes among others.

The NAM portal will also be launched on Thursday by Modi here on the 125th birth anniversary of Bhimrao Ambedkar. The portal will be inaugurated by state dignitaries in 21 wholesale mandis in eight states - Uttar Pradesh, Gujarat, Telangana, Rajasthan, Madhya Pradesh, Haryana, Jharkhand and Himachal Pradesh.

"We have received proposals from 12 states for integration of 365 wholesale mandis. Of these, 21 mandis from eight states have been selected for the pilot launch," Agriculture Minister Radha Mohan Singh told reporters.

He said 25 commodities such as onion, potato, apple, wheat, pulses, coarse grains and cotton, among others, had been identified for online trading. For instance, in Uttar Pradesh, six wholesale mandis have been integrated with the digital platform for trading wheat.

Farmers can sell their produce in any one of these markets where prices are quoted higher.

To integrate a wholesale mandi with the online platform, the state governments have to amend their APMC Act to ensure there is a single licence for trading to be valid across the state, single-point levy of market fee and provision for electronic auction as a mode for price discovery.

Singh said some states have given in-principle nod to be part of NAM and are expected to soon send their proposals while in states like Bihar and Kerala, there is no APMC Act and those states need to take a call.

According to a senior agriculture ministry official, the NAM portal has been designed for integration of mandis across the country.