The National Spot Exchange (NSEL) of India in association with Infrastructure Leasing and Financial Services (IL&FS) has been appointed to upgrade the working of the existing network of Common Service Centres (CSCs) which are a part of the National e-Governance Plan (NeGP) of India. Both the organisations will work towards the development of synergies between the NSEL and CSC projects which will provide e-trading platform to the farmers.
The transparent platform will not only will keep the farmers abreast of the latest information relating to agricultural commodities and inputs; it will also obviate the need for middlemen by increasing their holding capacity. The farmers will now be able to take bank loans against pledge of warehouse receipts after they deposit their produce at the NSEL warehouses. This will in turn help the farmers in increasing their holding capacity which will help them steer clear from the danger of distress sale at harvesting time.
NSEL MD and CEO Anjani Sinha, is positive about the effects of this new platform for the farmers where he says that with the help of this direct participation method the farmers will attain both financial and psychological independence. “This alliance will develop and strengthen rural-urban linkage to benefit the rural economy, and will prepare a solid ground for the launch of the much-needed second green revolution that is being seen as the only a long-term solution to India's food crisis,” he added.
Co-partner IL&FS CEO (SCS) Aruna Sundararajan, said: “….CSCs will also provide farmers with real time prices as well as make them available a transparent trading platform in the form of national spot exchange that will keep them abreast of the latest information relating to agricultural commodities and inputs. As a result, farmers will be able to take quick and right decisions”. IL&FS has been appointed as the National Level Service Agency (NLSA) by the country's Department of Information Technology (DIT) for project development, facilitation and coordination of the CSC scheme.
She further adds that such well-established network of CSCs will also facilitate the functioning of integrated service delivery points for various services including e-Governance, education, health, agriculture, financial services, e-commerce and entertainment.