Farmers Producers Company Limited (FPOs)

Objectives:

• Increased crop yields and higher farm productivity resulted from better agricultural practices, improved technology, and training services provided by the FPOs. Infrastructure and farm equipment projects worth Rs.1.68crores were sanctioned by TRICOR for four FPOs and the same has been implemented.
• Enabled member farmers to access formal markets and negotiate better prices for their agricultural products. They often aggregate produce from multiple farmers, which can lead to economies of scale and improved bargaining power. FPOs provided access to credit and financial services, allowing farmers to invest in their farms, purchase inputs, and expand their agricultural activities.
• FPOs encouraged crop diversification and introduced farmers to new crops and varieties that are better suited to local conditions or have higher market demand. Some FPOs engaged themselves in value-addition activities, such as processing and packaging of agricultural products, which increased the value of farm produce and generated additional income for farmers.

Achievement :

• FPOs regularly provide training and capacity-building programs to help farmers acquire new skills and knowledge related to sustainable farming practices, financial management, and marketing. FPOs have collectivised the demand and could negotiate bulk purchases of agricultural inputs (seeds, fertilizers, pesticides) at lower prices, reducing the cost of production for farmers.
• The services of FPOs contributed to improved livelihoods for rural communities by increasing income, reducing poverty, and enhancing food security. FPOs are promoting farmers’ access to insurance and risk management services to protect against crop failures or other unforeseen events. FPOs are facilitating knowledge sharing and peer learning amongst farmers, helping them adapt to changing agricultural conditions and challenges.
• FPOs are fostering social cohesion and a sense of community amongst members, leading to stronger social networks and mutual support.
• FPOs are actively participating and contributing to community development by initiating health, education and other development activities.
• FPOs are empowering farmers by involving them in decision-making processes, fostering leadership skills, and promoting gender equality and social inclusion.

Goals: FPOs a legal form of farmer-owned and farmer-controlled organisations empower and improve the livelihoods of small and marginal farmers by promoting collective action, enhancing their bargaining power, and facilitating their participation in various agricultural value chains.

MARI has established 14 FPOs and mobilized 7403 farmers to become shareholders in the same with a total share capital of 74,03,000 which is being used as revolving fund for various infrastructure and supply of services to shareholders.

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