INTERNAL TRADE
Domestic Operations :-
Domestic operations of Nafed mainly comprise of outright business, joint venture business with member federation/societies, agency & consignment business and implementation of price support scheme/market intervention scheme of the government of india. Nafed helps farmers by procuring their produce like foodgrains, pulses, oilseeds, spices, cotton, tribal produce, jute & jute products. Eggs, Fresh Fruits & Vegetables throught the established cooperative network all over the country with active involvement marketing societies at mandi level. NEFED also provides marketing assistance to the farmers by arranging disposal of their produce on consignment basis at terminal markets to enable them fetch best possible price for their produce.
Nafed at the behest of Govt. of India also serves the consumers' interests through supply of various essential items, such as, onions, potatoes, eggs etc. during scarce marketing situation or when the prices of such commodities rise abnormally.
| Commodity | 2010-11 |
|---|---|
| Outright | Value in Rs. Lakhs |
| Foodgrains | 84016.24 |
| Pulses | 16372.61 |
| Spices | 4615.78 |
| Oil & Oilseeds | 50816.14 |
| Horticulture | 462.42 |
| Cotton | 20329.90 |
| Jute Goods | 492.35 |
| Poultry | 269.92 |
| Fertilizer | 5977.23 |
| Seed | 4092.93 |
| Misc Items (Rubber,Sugar,Tea,Salt,Misc. etc.) | 11034.01 |
| Agricultural Inputs | 839.55 |
| Industrial Units | 218.03 |
| Total | 199537.11 |
Warehousing Receipt Based Finance :-
In order to attract Farmers for utilizing storage capacity of Nafed, a scheme of providing finance against storage of their produce in Nafed warehouces has been introduced. For Making this scheme farmers friendly, Nafed and HDFC Bank have signed a Memorandum of agreement on 01 Feb 2005. The scheme envisaged Providing finance to farmers through Nafed and its member cooperatives against pledge of their stocks. WRF will make cash available to the farmers at the time of their need so that they take care of their crop.
Broad roles of Nafed and associated cooperatives would be:
- To promote scheme
- Documentation and security of documents
- Loan disbursal
- Market intelligence
- Disposal of stock in the event of default
For implementation, a joint team with representation from Nafed and HDFC Bank which will identify the commodity, Location, Cooperative society and where house so as to design the promotional campaign and finally launched.