Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Thursday, 10 December 2020

e-NAM ; reimagined to resolve farmer agitation

 


In respect of Farm Laws, farmers have a few fears – especially in respect of,

Ø   Continuity of MSP regime

Ø   “ Contract Farming “ turning into “ Corporate ( owned ) Farms “

Ø  “ Private Mandies “ obsoleting current APMC mandies

One ( unstated / unarticulated ) fear is :

Ø  Adatiyas ( middlemen ) losing their business

Why was this ( fear ) never mentioned by the farmers ?

Simple. That would have revealed the  “ hidden agenda “ and become a non-starter since the very objective of the farm laws is to cut-out the “ long chain of middlemen “ between the farmers and consumers buying 4 kg of wheat at a Kirana store ( at 300 % of what farmer sells to Adatiya ! )

Government has sent them its proposal outlining how it proposes to dispel these fears. Govt had no need to say anything about “ reducing “ the role of the middlemen ( since that topic was not on the table )

Then again, total “elimination “ of middlemen from the supply-chain ( between farmers and the end-consumers ), is just not possible . Govt is fully aware of this

But there is a way to bring in greater “transparency“ in the “ SELL/ BUY “ process , including those “ CONTRACTS “ between the farmers and those CORPRATE HOUSES , by modifying the existing e-NAM platform

In my following email, I had suggested introduction of a “ CONTRACT “ section in e-NAM portal :

Selling Farm Laws before selling Farm Crops   [  24 Sept 2020 ]

Where I suggested as follows :

            “ On the existing Govt portal ( e-NAM ) , we will introduce a section called

              CONTRACT FARMING , 

             where the farmers desirous of entering into contract farming agreements,

             will submit their full details ( Name / Farm Size / Location of farm / main

              crops / past yields per acre / no of workers / family members engaged /

              existing loan  liabilities / water availability etc )

              Companies on look out for CONTRACT FARMING can search this                            database

             ( of course , after due registration with full details of the Company ) and

              shortlist / select potential farmers and send them their “ Purchase

              Proposal “ ( by filling in an Online Standard Form ).

             

              Central Government would have full access to these contracts entered

              Online  between the parties and ensure that no contract is entered into

              below the MSP for the concerned crop . No one else can see these

              contracts but the parties concerned would have a provision to EDIT                      these

--------------------------------------------------------------------------------------------

e-NAM portal, already has a section for REGISTRATION of “ Seller – Buyer – Commission Agent – Service Provider “ , covering all of the data-fields mentioned above

But the process of this portal is centered around ( already ) produced crops which are ( already ) brought to a Mandi by ( already existing ) middlemen , for sale to ( already existing ) buyers , from lots / heaps of grain

I believe, none of these details ( Buyer – Seller – Middlemen – Selling Price – Crop – Quality etc ) , are entered into any CENTRAL SERVER , and a CENTRAL DATABASE created for each and every PURCHASE

Now, we have close to 18 crore ( 180 million ) farmers – selling their crops to ( may be ) 10 LAKH ( a million ) buyers ( middlemen ), generating billions of “ Buying – selling “ transactions

These transactions are not recorded in any CENTRAL DATABASE , and transparently visible to all

If these were recorded , then we will know,

Ø  WHO sold

Ø  WHAT crop

Ø  HOW MUCH,

Ø  Of WHAT quality

Ø  To WHOM

Ø  WHEN

Ø  At WHAT price etc

I suggest that the Govt offer to the farmers such a modification in e-NAM portal

All existing APMC mandies and future PRIVATE mandies must get linked to the CENTRAL SERVER and each and every sale must be directly and digitally , recorded online on e-NAM portal

Going further , in the proposed CONTRACT section of e-NAM portal , parties ( Farmers and Corporate Buyers ) desirous of entering into CONTRACT FARMING, must be required to fill-in an online form to furnish following data :

( A )  FARMERS

         #  Crop ( proposed to be produced ) with estimated quantity / quality /

             availability date / min. expected  price etc

             

( B )  CORPORATE BUYERS

        #  Crop  ( proposed to be purchased ) with Quantity / Quality needed / 

            When / Max price offered etc

 

e-NAM portal software will automatically carry out “ MATCH-MAKING “ between buyers and sellers and produce SHORT-LISTS , every morning

Then portal will send out “ BUY ALERTS “ to the matched farmers , and “ SELL ALERTS “ to matched buyers , on an App

These alerts will go out every morning . All alerts can also be viewed online on e-NAM portal by log in

From the shortlists appearing in the App, both parties can contact ( over phone ) and carry-out further negotiations / bargaining

If negotiations / bargaining leads to some agreed upon CONCLUSION , then both the parties will log into –NAM portal and confirm their CONTRACT

Appropriate “Transaction Tax “ should be deducted and deposited in the account of STATE GST ( both, the State where farmer is located and the State where the buyer is located )

 

This kind of  SEARCH – DISCOVER – MATCH – ALERT - AGREE  type of algorithms are to be found on all types of e-commerce portals ( jobs – houses – travel – domestic goods – insurance etc )

If millions of farmers get into such a “ Futures Trading “ type of process then employing AI ( Artificial Intelligence ) will help them get BEST PRICES for their FUTURE / PLANNED crops

In fact , using some SEARCH feature on e-NAM portal, farmers can even find out which crops are commanding what ( higher ) prices , and WHEN , and then accordingly carry out their CROP ROTATION / future planting

Full “HISTORY of TRANSACTIONS “ will be stored and made available to the concerned parties  

 

Dear Shri Tomarji,

I urge you to consider my suggestion and if found suitable, then forward to KISAN UNIONS for further discussions

 

With regards,

Hemen Parekh / hcp@RecruitGuru.com / 11 Dec 2020

 

 

 

 

 

 

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