Government Mandates Aadhaar for eNAM Scheme Subsidies and Benefits

The Ministry of Agriculture and Farmers Welfare has introduced a significant regulatory change by mandating Aadhaar authentication for individuals seeking subsidies and benefits under the electronic National Agriculture Market (eNAM) scheme.

In a notification dated 21 April 2025, the Ministry clarified that Aadhaar will serve as a mandatory proof of identity for accessing benefits, aligning with broader efforts to strengthen transparency and efficiency across government schemes.

Linking Aadhaar for Agricultural Reforms

Aadhaar, the 12-digit unique identity number issued by the Unique Identification Authority of India (UIDAI), utilises biometric and demographic data to verify individuals’ identities. 

It plays a vital role in accessing various government services. Under the new directive, individuals without an Aadhaar number must apply for enrolment to remain eligible for the eNAM benefits. This initiative is expected to streamline the authentication process, ensuring that the subsidies and incentives reach genuine beneficiaries efficiently.

Read More: RBI Pushes for Safer Digital Banking with Mandatory ‘.bank.in’ Domain by October 2025.

Expansion Plans and Financial Assistance Under eNAM

The eNAM scheme is a flagship digital initiative aimed at enhancing inter-mandi and inter-state agricultural trade. The Central Government is set to expand the platform through measures such as Warehouse Based Sale (WBS), integration of the electronic Negotiable Warehouse Receipt (eNWR) system, and improved farmer access via Farmer Producer Organisations (FPOs).

Financial support is provided through a one-time grant of up to ₹75 lakh per mandi, with ₹30 lakh allocated for computer hardware, internet facilities, and assaying equipment, and ₹40 lakh for establishing sorting, grading, and composting units. FPOs stand as primary beneficiaries under this scheme, which is funded through the Consolidated Fund of India.

Conclusion

The Ministry’s decision to mandate Aadhaar for eNAM beneficiaries marks a pivotal move towards enhancing accountability and transparency in the agricultural sector. By reinforcing authentication processes, the initiative aims to improve the effectiveness of subsidy distribution and bolster the broader objectives of the eNAM scheme.

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