ONDC To On-Board 6,000 Farmer Collectives By March 2024

New Delhi, Jan 29 (KNN) The Open Network for Digital Commerce (ONDC) has set an ambitious target to bring 6,000 farmer producer organisations (FPOs) onto the pan-India digital marketplace by the end of FY24.

Positioned as an alternative to global e-commerce giants like Amazon and Walmart, ONDC aims to support small enterprises.

Thousands of farmer collectives across states now have the opportunity to showcase and sell a diverse range of agricultural products, including rice, pulses, honey, millets, mushrooms, spices, and value-added products on ONDC, the government's e-commerce platform.

Since the initiation of FPOs joining the ONDC platform in April 2023, approximately 4,000 such bodies have successfully sold around 3,100 varieties of value-added agricultural products.

The ONDC actively supports and trains FPOs through free registration, assisting in the development and digitisation of product catalogues, generating shipping labels, identifying delivery partners, and facilitating digital payments to enable them to leverage the platform effectively for marketing their products.

The network boasts over 30 digital applications, including Mystore, PayTM, Maginpin, and Delhivery, covering intercity logistics providers, platforms for buyers and sellers, and more.

While ONDC collaborates with the Small Farmers Agribusiness Consortium (SFAC), an entity under the Agriculture Ministry, to support FPOs, the primary objective is to aid small and micro enterprises as FPOs encounter challenges in accessing markets nationwide.

Tapas Kumar Pati, Chief Operating Officer of BASIX Krishi Samruddhi, a group supporting 59 FPOs on ONDC in Odisha, West Bengal, Bihar, and Uttar Pradesh, expresses optimism, projecting sales to surpass Rs 5 million in the current fiscal year, with a target of Rs 10 million in FY25.

Initially, Pati added, FPOs utilised India Post services for product delivery due to its extensive network. Subsequently, additional logistic partners have been incorporated to ensure swift product delivery to consumers.

In the past few months, Rich Returns, an FPO based in Baran, Rajasthan, has successfully sold Rs 3,00,000 worth of chana, garlic papads, and millet-based products through Mystore. The CEO, Hari Om Nagar, anticipates achieving a sales turnover of Rs 5,00,000 by the end of the current fiscal year.

Launched in April 2022, ONDC operates as a Section 8 company established by the Department for Promotion of Industry and Internal Trade (DPIIT).

Recently, tech major Meta announced a partnership with ONDC to enhance the skills of small businesses, including FPOs.

For FPOs, the digital network provides direct access to digital marketing, online payment, business-to-business (B2B), and business-to-consumer (B2C) transactions, fostering local value addition and catalysing logistics growth in rural areas.

Officials emphasise the need for government support for FPOs to sell their products on the Government e-Marketplace (GeM) portal, used for public procurement by central and state government agencies.

(KNN Bureau)