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Farmers to Get Fair Price for Their Produce, Digital Platforms to Boost Incomes

Digital Platforms
Digital Platforms

To enhance farmers’ income, the Central Government is leveraging digital technology in a big way. In 2016, the National Agriculture Market (e-NAM) was launched to enable farmers to sell their produce online to buyers across the country in a transparent and efficient manner.
Farmer Producer Organizations (FPOs) are also being integrated with digital platforms like e-NAM, ONDC (Open Network for Digital Commerce), and GeM (Government e-Marketplace). This digital push has expanded their market access and helped them fetch better prices for their produce.

Farmers Still Not Getting Full Value for Their Crops:

According to a Reserve Bank of India (RBI) working paper titled “Vegetable Inflation in India – A Study of Tomato, Onion, and Potato”, farmers receive only a fraction of the consumer price:

  • 33% for tomatoes,
  • 36% for onions,
  • 37% for potatoes.

Another study on the value chain of fruits in India found that farmers receive only:

  • 31% of the retail price for bananas,
  • 35% for grapes, and
  • 43% for mangoes.

A Focus on Increasing Farmers' Income:

The government is now focusing not only on increasing production and productivity but also on improving market linkages and minimizing post-harvest losses. The goal is to ensure that farmers receive a fair and sustainable price for their produce.

Major Schemes Strengthening Agri-Infrastructure: Agriculture Infrastructure Fund (AIF): As of June 30, 2025, a total of 2,454 projects have been sanctioned under AIF with financial support of ₹8,258 crore, helping small farmers, agri-businesses, mandis, and agri-export clusters set up cold storage units and other critical infrastructure.

Mission for Integrated Development of Horticulture (MIDH): Financial assistance is being provided for the development of pack houses, cold storage, reefer transport, and ripening chambers. Subsidies of 35% in general areas and 50% in hilly/tribal regions are available to boost horticulture infrastructure.

The government's efforts through digital platforms, improved post-harvest infrastructure, and value chain reforms highlight its strong commitment to ensuring that farmers receive better prices and enjoy sustainable income growth.

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