A Study on The Role of Digital Payments in Agriculture: Reducing the Effect of Middlemen

Abstract

The usage of digital payments has seen enormous growth in recent paths. The role of digital payments and technology-driven initiatives in transforming India's agricultural sector, especially through the government's Digital India program. The initiative was aimed at improving efficiency, transparency, and financial inclusion, thereby empowering farmers by allowing direct transfer of subsidies and other financial benefits. However, the exploitation of middlemen continues to be a significant issue in agricultural supply chains. This research tackles the problems brought forward by digital payment systems and technical problems that arise during DBT's execution. These include farmers' lack of knowledge about why digital payment fails, which are some of the issues that hamper the effective use of the platforms. The research recommends better coordination between these bodies, enhanced transparency regarding payment failures, and the introduction of grievance redress mechanisms.