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System Article | Using E-Commerce to Fuel Rural Growth in India

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Using E-Commerce to Fuel Rural Growth in India

- by Meenal Nigam & Vivek Patni *

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Page - 3

VillageNET - Basic Framework

Figure: E-commerce through VillageNET

The proposed VillageNET would comprise of several players. They are: -

  • Villagers: They include craftsmen, farmers, laborers, women, milkmen, fishermen and others.

  • Convener: A convener per village who would serve as a contact point. He would be responsible for management of VillageNET in the village.

  • Financial Institutions: Banks and government agencies. They are the principle enablers of microfinance and e-payment systems.

  • Services: Insurance companies, health, education and other services.

  • Government: It would act as a key regulator. There could be a private company also in place of Government that would be responsible for infrastructure and provisioning of e-commerce. It will get a service tax / charge for providing the service in enabling transactions.

  • Mandi / Commodities Market: It will provide information about current prices of commodities.

  • Factories: Factories that use raw material that is rural produce like khadi, tea, tobacco, cotton, jute, etc.

  • Traders / Whole-salers: Traders perform collective e-procurement and sell to retailers and direct customers.

  • E-kiosks: They will be the interface between the villagers and VillageNET. A basic e-kiosk will have a computer terminal connected to VillageNET, a web-cam, a speaker and microphone, web-browser.

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    * Contributed by -
    Meenal Nigam & Vivek Patni,
    NITIE , Mumbai.


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