You are here: Home » Markets » Commodities » Other Commodities
Business Standard

Karnataka gets unified platform for commodity trade

BS Reporter  |  Mumbai 

Rashtriya e-Market Services, a joint venture between NCDEX Spot Exchange and the Karnataka government, launched a first-of-its-kind unified market platform (UMP) in Karnataka on Saturday.

The UMP will provide an electronic auction system across the state for transparent price determination. It will offer quality-based trading in Agricultural Produce Marketing Committees (APMCs) and online access to all APMC market functionaries. Participation would be open to all with unified market licences from the state government.

"This is a pioneering initiative that will enable even the smallest farmer to get access to a wider market and enjoy the benefits of transparent price discovery," said Samir Shah, managing director and chief executive, NCDEX.

With this, farmers can choose to sell in any regulated or private market in the state and get timely online payments. The UMP will also provide additional services, including assaying and grading, along with facilitating pledge loans to farmers. Currently, the facility will be available for turmeric (Chamarajnagar) and copra (Tiptur, Arsikere and Tumkur). Soon, it will be scaled up to cover other APMCs and commodities.

"With such initiatives being adopted by various states, allowing participation from consumption centres across the country, the dream to create a unified agricultural market across the country would soon become a reality," said R Ramaseshan, advisor, NCDEX.

The UMP adopts various global best practices, offering risk management and trade fulfilment processes for spot in the state.

The initiative's roots lie in the successful implementation of the mandi modernisation programme of NCDEX and the Karnataka government, which is active across 26 APMC in Karnataka and is expected to cover 94 key in the state by the year-end.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Sat, February 22 2014. 22:24 IST