This paper examines the performance of agricultural markets through analysing the primary data from 856 farm households in six states along with secondary data. It argues that adequate physical and storage infrastructure is crucial even for the functioning of the electronic market, and other related policy measures are needed to have a significant improvement in agricultural marketing. The results indicate that farmers obtained 3.75% higher prices in these markets vis-à-vis the prices received before selling to these markets. This is significant as the prices plummeted by 8.34% in the manual transactions.