Agricultural marketing falls under the States’ jurisdiction, but that hasn’t stopped the Government of India from stepping in to support states in strengthening it. Through a mix of policy measures and schemes, the goal has been to make sure farmers actually get fair, remunerative prices for what they grow.
e-NAM: Bringing Farmers Onto a Digital Trading Platform
One of the bigger moves here was the National Agriculture Market, or e-NAM, an all-India electronic trading portal that virtually links up physical Agricultural Produce Market Committees (APMCs). What it does is give farmers access to a much wider pool of buyers through transparent online bidding, which in turn means better price discovery and sale proceeds paid straight into their bank accounts. It also opens the door to inter-State trade, letting buyers from anywhere in the country jump into the bidding.
The numbers tell the story of how far this has come. As of June 30, 2026, 1.89 crore farmers and 2.78 lakh traders are registered on e-NAM. Inter-State trade on the platform has grown from just 563 MT (worth ₹37 lakh) in 2018-19 to 2,984.3 MT (worth ₹14.28 crore) in 2025-26, with cumulative inter-State trade now standing at 28,566 MT valued at ₹83.95 crore. Even the average number of trader bids per lot has climbed, from 2.1 in 2016-17 to 2.8 in 2025-26, which points to buyers competing harder for produce.
Farmer Producer Organizations Building Collective Strength
Under the Central Sector Scheme for Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs), the target has been met: 10,000 FPOs are now registered nationwide. The idea behind FPOs is simple. By collectivising farmers to aggregate their produce, they gain economies of scale and stronger bargaining power as a group. Since the scheme launched in 2020, these FPOs have racked up a cumulative turnover crossing ₹20,340 crore.
Building Out Storage, Logistics and Processing Infrastructure
Post-harvest management, logistics, storage, and value addition have all gotten dedicated attention too. Under the Agricultural Marketing Infrastructure (AMI) Scheme, the last ten years have seen 12,353 storage infrastructure projects sanctioned, adding up to a storage capacity of 369.18 lakh MT, along with 6,901 non-storage projects.
Separately, the Agriculture Infrastructure Fund (AIF) has extended interest subvention support to 18,893 warehouses, 3,110 cold stores and cold chain projects, and 2,105 integrated primary and secondary processing units. Under the Mission for Integrated Development of Horticulture (MIDH), around 1.76 lakh infrastructure units have come up, everything from pack houses and cold storages to refrigerated vans, ripening chambers, pre-cooling units, and processing facilities.
The Ministry of Food Processing Industries has its own contribution here through the Central Sector Umbrella Scheme, Pradhan Mantri Kisan Sampada Yojna (PMKSY), which is meant to build post-harvest infrastructure and processing facilities to push the food processing sector forward. As of June 30, 2026, 1,256 projects under this scheme are either completed or operational, benefiting roughly 37.76 lakh farmers.
Storage at the Grassroots and What the Evaluations Found
There’s also what’s being called the World’s Largest Grain Storage Programme, run by the Ministry of Cooperation to build storage infrastructure right at the PACS (Primary Agricultural Credit Society) level. The point is to let farmers store their produce instead of being forced into distress sales, giving them better access to remunerative markets and cutting their reliance on middlemen. So far, construction has wrapped up in 313 PACS, adding 1.80 LMT of storage capacity.
NITI Aayog’s evaluation reports from 2020 and 2025 have both flagged the Integrated Scheme for Agricultural Marketing (ISAM) as a genuinely useful intervention, one that strengthens agricultural marketing by improving market infrastructure, encouraging competition among markets, and helping farmers realize better prices.
The scheme has pushed market reforms, FPO-led aggregation, value addition, and post-harvest infrastructure development. The reports also noted that grading units and storage facilities tend to perform better when they’re integrated with horticulture clusters and tied to active FPOs and SHGs, which boosts both utilization and visibility.
On top of that, the evaluation found that over 60% of beneficiaries reported actually using the post-harvest infrastructure and crop processing facilities set up under ISAM. Beneficiaries also pointed to improvements in price realization, how long products last, and how appealing they are in the market, largely thanks to value addition. The evaluation flagged e-NAM in particular for its role in promoting transparent markets, efficient price discovery, stronger contract negotiations, and easier access to institutional finance. Taken together, ISAM has played a real part in strengthening agricultural marketing infrastructure and making markets more efficient.
The Bigger Picture: Central Support Across the Board
Agriculture itself remains a State subject, but the Government of India backs up state efforts through a wide range of Central Sector and Centrally Sponsored Schemes aimed at boosting production, productivity, and farmers’ incomes across the country. These schemes touch nearly every part of agriculture: credit, insurance, income support, infrastructure, crops (horticulture included), seeds, mechanization, marketing, organic and natural farming, farmer collectives, irrigation, extension services, digital agriculture, and crop procurement.
Key Takeaway: The Government of India’s approach to strengthening agricultural marketing combines digital market integration, farmer collectivisation, and investments in post-harvest infrastructure to improve price realization and reduce inefficiencies across the agricultural value chain.
Initiatives such as e-NAM, the nationwide network of Farmer Producer Organizations (FPOs), the Agriculture Infrastructure Fund (AIF), the Mission for Integrated Development of Horticulture (MIDH), PM Kisan Sampada Yojana (PMKSY), and the World’s Largest Grain Storage Programme complement state-led agricultural marketing systems by expanding market access, storage, processing, and logistics.
Backed by positive evaluations from NITI Aayog, these interventions reflect a broader strategy of enhancing transparency, competitiveness, value addition, and farmers’ incomes while supporting states through a comprehensive framework of Central Sector and Centrally Sponsored agricultural schemes.
M.C.Q.
Question 1: With reference to the National Agriculture Market (e-NAM), consider the following statements:
- It is an electronic trading platform that integrates Agricultural Produce Market Committees (APMCs).
- It facilitates transparent online bidding and better price discovery.
- It permits inter-state trade in agricultural produce.
Which of the statements given above is/are correct?
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Question 2: The primary objective of the Central Sector Scheme for Formation and Promotion of Farmer Producer Organizations (FPOs) is to:
- A. Replace Agricultural Produce Market Committees (APMCs) with private markets.
- B. Organize farmers into collective institutions to improve bargaining power, economies of scale, and market access.
- C. Provide direct income support to all farmers irrespective of landholding.
- D. Promote only organic farming across the country.
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