Infrastructure for information and communication technology (ICT) applications in the agriculture produce market committees (APMCS) of Karnataka

Market infrastructure is important not only for the performance of marketing functions and also for the expansion of market size for the transfer of appropriate price signals which expected to improve the marketing efficiency. Infrastructure facilities lead to reduction in marketing cost, which is crucial for increasing the income of the farmers and reducing the cost to the consumers. In order to improve the marketing system, encouraging and improving infrastructure facilities like grading, storage, warehousing, proper transportation, and reduction of middlemen involvement, ICT application at all the stages of marketing of the produce is essential at the regulated markets. In this connection the role of Agricultural Produce Marketing Committee (APMC) is pivotal in promoting the agricultural marketing. Adequate infrastructure accelerates the growth of the agricultural sector and in turn the entire economic development is assured. To overcome the existing challenges in marketing system market committees have brought reforms in the APMC Model Act 2003’s and came out with suggestions on e-tendering and e-trading of agricultural and allied commodities. This reform of digitalisation in agriculture marketing system was like a path through which market efficiency can be achieved. Karnataka was the pioneer state in introducing this electronic tender and e-trading system reform to bring in efficiency, transparency and competitiveness in the regulated markets. This marketing system expected to bring efficiency in the operation of market functions and increase the producer share in the consumer rupee which is the end economic result of new reforms. Many of the studies have been conducted to assess the infrastructure availability at the market yard but study on the infrastructure availability for e-tendering and e-trading is not available. Venkatachalam (2003) conducted a study on infrastructure and agricultural development in Karnataka state. Results of the study revealed that Karnataka State has achieved an impressive growth rate in the overall infrastructural development compared to other states in the country. Ashwini et al. (2013) analysed the problems and prospects with respect to marketing infrastructure in India. Results of the study revealed that, the infrastructure facilities in development essential for marketing development. Navalur et al. (2013) studied the status of market infrastructure in Karnataka. The research study results found that the Karnataka's share in agriculture market infrastructure in India was very less and state should increase the investment in infrastructure. Based on this background the present paper has attempted to study the infrastructure availability in the selected markets and for the electronic trading and tendering system.