IAS/UPSC Coaching Institute  

Article 1: Agri Value Chain Reforms

Why in News: Farmers in Haryana protested against the newly introduced biometric verification system in mandis (2026), citing inconvenience and procedural hurdles.


Key Details

  • Haryana introduced Aadhaar-based biometric verification for farmers selling crops in mandis.
  • Integrated with Meri Fasal-Mera Byora portal for farmer registration and crop tracking.
  • Triggered after the 2025 Karnal paddy scam, which exposed procurement fraud.
  • Farmers allege harassment, while the government defends it as a step towards transparency and accountability.


Agricultural Marketing System in India

  • APMC Mandis Framework: Agricultural produce is primarily sold through APMC mandis, where state-regulated markets ensure price discovery and procurement, especially for MSP-backed crops like wheat and paddy.
  • Role of MSP Procurement: Government procurement (mainly by FCI and state agencies) ensures income security for farmers, particularly in states like Punjab and Haryana with high MSP dependence.
  • Issues in Traditional Mandis: Problems such as middlemen dominance, lack of transparency, and manual record-keeping have historically led to inefficiencies and corruption.
  • Reform Initiatives: Platforms like e-NAM aim to create a unified digital market, improving price transparency and interstate trade.


Haryana’s Biometric Procurement System

  • Aadhaar-Based Verification: Farmers must authenticate identity through fingerprint-based Aadhaar verification before selling produce, ensuring genuine beneficiaries.
  • Digital Integration: Linked with Meri Fasal-Mera Byora, which records land, crop details, and farmer identity, enabling accurate procurement records.
  • Geofencing & Tracking: Over 400+ mandis and 1,300+ storage points have been geofenced, with vehicle tracking to prevent unauthorized procurement.
  • Operational Impact: The government claims that by April 2026, ~75% wheat arrivals were verified, indicating large-scale adoption.


Rationale Behind the Reform

  • Karnal Paddy Scam (2025): Fake procurement using paddy from other states led to large-scale financial fraud involving officials and traders.
  • Leakages in Subsidy System: According to policy reports, inefficiencies in procurement can lead to significant fiscal losses, affecting subsidy targeting.
  • Need for Transparency: Digital verification aims to eliminate ghost beneficiaries, duplicate entries, and fake gate passes.
  • Alignment with Digital India: The reform aligns with broader governance initiatives like Digital India, promoting technology-driven service delivery.


Farmers’ Concerns and Protests

  • Operational Difficulties: Farmers report long queues, slow biometric authentication, and technical glitches, causing delays in selling crops.
  • Exclusion Issues: Elderly or sick farmers face challenges as physical presence is required, raising concerns of accessibility.
  • Trust Deficit: Farmers argue that corruption is due to official-trader collusion, not farmers, and view the policy as misplaced accountability.
  • Federal & Political Dimension: Opposition leaders criticize the move as bureaucratic overreach, highlighting tensions between governance reforms and ground realities.


Governance vs Welfare Debate

  • Transparency vs Ease of Doing Farming: While digitization ensures accountability, excessive compliance may increase transaction costs for farmers.
  • Digital Divide: Limited digital literacy and infrastructure gaps in rural areas hinder effective implementation of such reforms.
  • Balancing Efficiency & Inclusion: Policies must ensure last-mile delivery without excluding vulnerable farmers, a key challenge in welfare governance.
  • Lessons from Past Reforms: Experiences from farm laws (2020–21 protests) show the need for stakeholder consultation and gradual implementation


Conclusion

Biometric procurement reflects the state’s push for transparency and accountability, but its success depends on farmer-centric implementation. Simplifying procedures, ensuring technological reliability, and building trust through consultation are essential. A balanced approach combining digital governance with social sensitivity will determine whether such reforms strengthen or strain India’s agricultural system.


EXPECTED QUESTIONS FOR UPSC CSE

Prelims MCQ

  1. Consider the following statements:
  1. APMC mandis are regulated by the Central Government.
  2. e-NAM aims to create a unified national agricultural market.
  3. MSP procurement is mandatory for all crops in India.

Which of the above is/are correct?

  1. 1 and 2 only
  2. 2 only
  3. 1 and 3 only
  4. 1, 2 and 3

Answer: (b)


Descriptive Question

Q. Examine the role of technology in improving agricultural procurement in India. Highlight the associated challenges and suggest measures. (150 Words, 10 Marks)