BSE's electronic spot platform for agricultural commodities has joined hands with Foundation for Development of Rural value Chain (FDRVC) in a bid to strengthen the price discovery mechanism of the commodities traded by Farmer Producer Organisations.
In this regard, the stock exchange's platform -- BSE E-Agricultural Markets Ltd (BEAM) -- signed memorandum of understanding with FDRVC on Wednesday.
The pact is aimed at Farmer Producer Organisations (FPOs) supported by FDRVC to leverage the market Technologies being offered by BSE, specifically the customised e-market solutions to FPOs, the exchange said in a statement on Thursday.
The collaboration is likely to enable both parties to collaborate with meaningful outcomes for the smallholder farmers (SHFs).
Adopting an ecosystem approach, both the entities would work closely with institutions that bring in significant inputs to strengthen the rural value chain in the country.
Through this pact, FDRVC intends to leverage the strengths of larger BSE ecosystem like BSE SME Exchange and BSE Institute to strengthen the overall capabilities of the FPOs.
"This MoU is a step towards that objective where-in the FPOs of the country would get access to the BSE Ecosystem including BEAM's e-spot markets. This is likely to strengthen the price discovery mechanism of the commodities traded by the FPOs," Alok De, CEO of FDRVC, said.
BEAM CEO Rajesh Sinha said that access to regulated and transparent marketplace, direct access to multiple buyers, receipt of cash directly into the account of beneficiary and reduction in intermediate costs are some of the major benefits of our platform.
BEAM was launched in December 2020 by the stock exchange BSE.
