Integrated Scheme for Agricultural Marketing (ISAM)

What is Integrated Scheme for Agricultural Marketing (ISAM)?

The Integrated Scheme for Agricultural Marketing (ISAM) is a Government of India initiative under the Ministry of Agriculture & Farmers’ Welfare aimed at strengthening agricultural marketing systems to ensure better price realization for farmers, reduce post-harvest losses, and promote efficient, transparent, and competitive markets.

ISAM integrates several sub-schemes to address infrastructure gaps, market reforms, information dissemination, and farmer participation in agricultural marketing.

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Objectives of ISAM

• Improve market access for farmers
• Reduce intermediaries and transaction costs
• Promote scientific storage and grading
• Encourage transparent price discovery
• Strengthen market intelligence and digital platforms
• Support value addition and rural agri-economy

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Major Components of ISAM

1. Agricultural Marketing Infrastructure (AMI)

Earlier known as GrAMIN Bhandaran Yojana

Purpose

• Create and upgrade scientific storage infrastructure
• Prevent distress sale by farmers
• Promote warehouse receipt financing

Key Features

• Construction of warehouses, silos, godowns
• Cold storage units and pack houses
• Facilities for grading, sorting, and standardization

Benefits

• Reduced post-harvest losses
• Improved quality of produce
• Access to bank credit against warehouse receipts

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2. National Agriculture Market (e-NAM)

A pan-India electronic trading portal

Purpose

• Integrate existing APMC mandis into a single national market
• Enable transparent and competitive trading

Key Features

• Online bidding and e-auction
• Real-time price discovery
• Quality assaying and electronic weighment
• Inter-state and inter-mandi trade

Impact

• Reduces information asymmetry
• Encourages better price realization
• Enhances farmer bargaining power

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3. Market Research and Information Network (MRIN)

Purpose

• Provide timely and accurate market information

Key Features

• Daily price and arrival data from mandis
• Market trends and advisory services
• Dissemination via websites, mobile apps, SMS, and media

Importance

• Helps farmers decide when and where to sell
• Reduces price exploitation

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4. Strengthening of Agmark Grading Facilities

Purpose

• Promote quality assurance and standardization

Key Features

• Upgradation of Agmark laboratories
• Training of personnel in grading and certification
• Awareness programs on quality standards

Benefits

• Improves consumer confidence
• Facilitates domestic and export trade
• Encourages premium pricing for quality produce

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5. Development of Farmers’ Markets

Purpose

• Promote direct marketing from farmers to consumers

Examples

• Apni Mandi
• Rythu Bazaars
• Kisan Mandis

Benefits

• Higher farmer share in consumer price
• Fresh produce at lower prices for consumers
• Reduced role of middlemen

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Funding Pattern

• Central Government provides financial assistance
• State Governments, Panchayats, FPOs, cooperatives, and private entities are eligible
• Subsidy varies based on region, category, and infrastructure type

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Role of States

• Reform APMC Acts to allow:
  • Direct marketing
  • E-trading
  • Single-point levy of market fees
• Facilitate land, approvals, and implementation support

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Benefits of ISAM

• 📈 Increased farmer income
• 📉 Reduced post-harvest losses
• 🏗️ Improved rural infrastructure
• 🔍 Transparent and competitive markets
• 🌾 Better quality produce and food security

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Challenges

• Uneven adoption of market reforms across states
• Limited digital literacy among small farmers
• Infrastructure gaps in remote areas
• Need for stronger private sector participation

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Conclusion

The Integrated Scheme for Agricultural Marketing plays a crucial role in transforming India’s agricultural marketing. It changes from a fragmented, local system to a national, technology-driven market ecosystem. ISAM combines infrastructure development, digital platforms, quality assurance, and farmer-centric reforms. This combination supports the vision of Doubling Farmers’ Income. It also promotes sustainable agricultural growth.