Why is an Online Market Important for Farmers in India?
One thing is certain: following the lockdown, the way business is expected to be done is expected to undergo a tectonic shift. Prime Minister Narendra Modi has been advocating for an independent India. Agribusiness will undergo a fundamental change, just like other industries that are fueled by technology.
Due to the direct cash-in-hand security, many farmers still favour selling their produce traditionally. It is evidently time to actively alter their mindset and include them in technological endeavours.
In order to achieve inclusive growth in India, it is critical to increase agricultural productivity and support higher farmer incomes. Over 50% of people who are working-age work in agriculture, which is estimated to contribute more than 15% of GDP. Farmers often lack strong market connections and struggle to obtain fair prices for their crops, which are two obstacles that prevent them from earning higher incomes and productivity.
Kisaan Trade brings to you an article emphasising the topic of why an online market is important for farmers in India.
What is a farmer's online market?
Alternatively referred to as an "online farmers' market" or "agricultural e-commerce platform," an online market for farmers is a digital platform that enables direct sales and transactions between farmers and producers and consumers, retailers, or wholesalers. Instead of using traditional physical markets or middlemen, these platforms act as online marketplaces where farmers can advertise and sell their agricultural products directly to consumers.
An extension of the conventional farmers' market, where farmers set up stalls to sell their produce directly to customers, is the idea of an online market for farmers. However, the online version brings the ease of e-commerce and technology to the agricultural sector, allowing farmers to sell their products outside of their local communities and reach a wider customer base.
Why Is an Online Market Important for Farmers in India?
For several important reasons, an online market is essential for Indian farmers. It addresses the various issues that farmers face, improves their market access, and provides a number of advantages that can greatly enhance their way of life and agricultural methods. For the following reasons, Indian farmers must have access to an online market:
1. Expanded Market Reach: Online markets give farmers access to a much larger customer base outside of their immediate neighbourhood. They can establish connections with customers from various towns, states, or even foreign nations, giving them access to bigger markets and boosting their chances of making sales.
2. Direct Sales and the Elimination of Intermediaries: Farmers can avoid middlemen and lessen their reliance on intermediaries by selling their produce directly to consumers or businesses through an online platform. These enable them to negotiate better prices for their products and retain a higher share of the revenue. This is why online markets are important for farmers in India.
3. Price Transparency and Fair Pricing: Fair pricing and price transparency are made possible by online markets, which enable farmers to set competitive prices for their produce based on supply and demand in the market. This openness can ensure fair pricing and prevent middlemen from manipulating prices.
4. Reduced Post-Harvest Losses: Farmers can sell their goods on online markets before they spoil, which lowers post-harvest losses. Perishable produce can be delivered quickly to customers thanks to effective logistics and delivery options, improving overall food security and lowering waste. Thus, the online market is important for farmers in India.
5. Market Trends and Information: Online resources frequently give farmers access to current market trends and patterns of demand. Farmers can choose crops, set prices, and plan their production with the help of these insights.
6. Promotion of Special and Local Products: Online markets give farmers the chance to display and sell special, regional, and indigenous goods that might not be in high demand in more conventional physical markets.
7. Access to Inputs and Services: In addition to allowing farmers to sell their produce, online marketplaces may also grant them access to agricultural inputs, tools, and services. This can support agricultural practices and streamline the procurement process, thus proving that the online market is important for farmers in India.
8. Empowerment of Small and Marginal Farmers: For small and marginal farmers who may struggle to reach distant markets or bargain for reasonable prices, online markets can help level the playing field. They may be able to compete with bigger players on a regional or international level thanks to these platforms.
9. Digital Financial Inclusion: Digital payment options are widely available on online markets, enabling farmers to be more financially included and to handle transactions electronically.
10. Facilitating Export Opportunities: Indian farmers can use online markets as entry points to global markets, enabling them to export their produce to customers abroad and grow their businesses internationally.
How does technology benefit Indian farmers?
1. Availability of Information: Farmers now have access to essential agricultural information, such as weather forecasts, market prices, crop advisory services, and best farming practices, thanks to mobile applications and the internet. Farmers can make wise decisions and maximise their agricultural activities with the help of this knowledge, which is why an online market is important for farmers in India.
2. Precision Agriculture: Precision agriculture is made possible by technologies like GPS, remote sensing, and drones. Farmers' productivity rises as a result of better mapping of their fields, crop health monitoring, and input application (such as fertiliser and pesticide applications).
3. Digital Financial Services: Digital financial services, such as mobile banking and crop insurance, have made it easier for farmers to participate in the financial system. These services aid farmers in better financial management and risk management related to farming.
4. E-commerce and online markets: By removing middlemen and facilitating fair pricing, online platforms and e-commerce sites link farmers directly with consumers and buyers. These platforms increase market accessibility and give farmers a reliable source of income, making an online market important for farmers in India.
5. Agri-Tech Startups and Apps: A growing number of agri-tech startups in India are creating cutting-edge applications that cater to particular agricultural needs. These apps offer useful solutions for farmers, from crop management powered by AI and soil testing to pest detection.
6. Smart Irrigation Systems: Farms can automate and maximise water use with the help of IoT-based smart irrigation systems. To ensure effective irrigation and conserve water resources, these systems continuously monitor soil moisture levels and environmental factors.
7. Climate-Resilient Farming: Climate-smart farming practices help farmers adapt to changing climatic conditions and lessen the effects of extreme weather events. These practices include the use of drought-resistant seeds, heat-tolerant plants, and water-saving techniques.
8. Farm Management Software: Farm management software solutions help farmers with planning, record-keeping, and revenue and expense tracking. This enhances both financial management and operational effectiveness and increases the need for an online market, which is important for farmers in India.
9. Agricultural machinery and equipment: Today's high-tech tractors, harvesters, and planters boost farm productivity while reducing the need for labour-intensive manual labour.
10. Data Analytics and AI: AI and data analytics are being used to analyse vast amounts of agricultural data, assisting farmers in making informed decisions and allocating resources as efficiently as possible.
11. Market Linkages: Farmers are connected with buyers, processors, and retailers via online platforms and mobile apps, ensuring effective market linkages and higher price realisation for their produce.
12. Education and Training: Farmers can access educational materials, training modules, and professional advice through e-learning platforms, which helps them improve their farming abilities and knowledge.
In what ways can Kisaan Trade assist you in entering the online market?
1. Online Storefront: Kisaan Trade may offer farmers a profile or storefront on its website where they can list and advertise their goods to potential customers.
2. Expanded Market Reach: By using the Kisaan Trade platform, farmers can connect with buyers from a wider range of geographic areas, expanding their potential customer base.
3. Marketing and Promotion: Kisaan Trade might support the marketing of farmers' goods through their platform, boosting exposure and luring more potential customers, thus creating an online market important for farmers in India.
4. Transaction Processing: The platform might make it easier for farmers to manage transactions by facilitating secure online payment options and order processing.
5. Delivery and Logistics: Kisaan Trade may provide delivery and logistics services to assist farmers in effectively delivering their goods to customers.
6. Market Insights: The platform might offer market insights and trends to farmers, enabling them to decide on product offerings and pricing with knowledge.
7. Customer Support: Kisaan Trade may provide customer support to help farmers manage their online presence and address any issues that may arise.
You may contact us to avail our services anytime.