The Open Network for Digital Commerce (ONDC) is on track to onboard 6,000 farmers' collectives by the end of March.
This ambitious endeavor follows a recent partnership announcement between tech giant Meta and ONDC, aimed at empowering small businesses, particularly Farmer Producer Organizations (FPOs), through upskilling initiatives.
Thousands of farmers' collectives across various states are now leveraging the ONDC platform to market a diverse range of agricultural products. From rice, pulses, honey, millets, mushrooms, spices to value-added products, these collectives are tapping into the government's e-commerce platform to reach consumers nationwide.
Since the incorporation of FPOs onto the ONDC platform in April 2023, over 4,000 such entities have successfully sold approximately 3,100 varieties of value-added agricultural products.
ONDC plays a pivotal role in supporting and training FPOs, offering services such as free registration, assistance in developing and digitizing product catalogues, generating shipping labels, identifying delivery partners, and facilitating digital payments, thereby enabling FPOs to effectively leverage the platform for marketing their products.
With more than 30 digital applications including Mystore, PayTM, Maginpin, and Delhivery, ONDC offers comprehensive solutions spanning intercity logistics, buyer-seller interactions, and more. Collaborations with entities like the Small Farmers Agribusiness Consortium (SFAC) further underscore the government's commitment to supporting small and micro-enterprises, addressing the challenges faced by FPOs in accessing markets across the country.
Tapas Kumar Pati, Chief Operating Officer of BASIX Krishi Samruddhi, which has facilitated the integration of 59 FPOs into ONDC across Odisha, West Bengal, Bihar, and Uttar Pradesh, highlighted the transformative impact of the platform. Pati noted that since joining ONDC earlier, sales are expected to surpass Rs 5 million in the current fiscal year, with a target of doubling sales to Rs 10 million by FY25.
Initially, FPOs relied on the services of India Post for product delivery due to its extensive network. However, additional logistic partners have been added over time to ensure quicker delivery to consumers. Recent success stories include Rich Returns, a Baran, Rajasthan-based FPO, which has sold agricultural products worth Rs 3,00,000 through Mystore in the last couple of months. The FPO aims to achieve a sales turnover of Rs 5,00,000 by the end of the current fiscal year.
The digital network provided by ONDC offers FPOs direct access to digital marketing, online payment, business-to-business (B2B), and business-to-consumer transactions, fostering local value addition and catalyzing the growth of logistics in rural areas.
Officials stress the importance of government support for FPOs to sell their products on the Government e-Marketplace portal, which is utilized for public procurement by central and state government agencies.
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