The facility of an e-tendering system for sale of jaggery will be introduced in Chamarajanagar in due course to help farmers get better rate and eliminate the scourge of middlemen.
Besides ensuring higher rates, e-sale will obviate the need to pay commission to middlemen and the concept will be a strong incentive to farmers to increase production.
Agricultural Produce Market Committee (APMC) secretary Sannaiah told The Hindu that a preliminary training-cum-familiarisation programme will be conducted for farmers about e-sale and its benefits during this week. Farmers have to ensure quality and their product will be graded and the price fixation will be based on the grade of the product, said Mr. Sannaiah.
Traders too will be trained and the authorities have established a laboratory to test and grade the product, which will be indexed online. This will enable traders from anywhere in the country to bid for it, quote their rate and buy the products, he said.
Kurubur Shanthakumar, president, Karnataka Sugarcane Cultivators’ Association, said farmers have been demanding online or e-auction facility for all crops as the concept is beneficial to cultivators. “The association has not only supported e-auction of commodities but has apprised the farmers of its benefits and most of them are now familiar with the concept,” said Mr. Shanthakumar.
Farmers are gradually veering towards e-commerce as they stand to benefit the most. Under the conventional system of trade that continues to be in vogue, the middlemen have to be paid brokerage and commission while traders tend to gang up and quote low to keep the prices artificially depressed thus denying the farmers a fair price. “Even if the quality is good, agents and middlemen have a tendency to nitpick and reduce the price and farmers desperate to sell the commodities would agree to the price quoted,” said Mr. Shanthakumar.
But under the e-sale, the product quality and price would be quoted online by traders from anywhere in India and the farmers are assured of the best possible rates. Another benefit is that the sale proceeds are immediately realised by the farmers as the payment is credited to their bank accounts by the traders bidding online, said the APMC official.
E-sale of turmeric is already in vogue in Chamarajanagar since February, as a result of which farmers are getting a better rate for their commodities. As against nearly Rs. 6,150 a quintal of turmeric, it was quoted during peak demand at nearly Rs. 10,000 a quintal and hence their profitability increased, said Mr. Sannaiah.