fpo
Farmer Producer Organization (FPO’s) Concept Note
Farmer
Producer Organization (FPO’s) Concept Note
A Producer Organization (PO) is a legal entity
formed by primary producers, viz. farmers, milk producers, fishermen, weavers,
rural artisans, craftsmen etc., A PO can be a producer company, a cooperative
society or any other legal form which provides for sharing of profits /
benefits among the members. In some forms, like producer companies,
institutions of primary producers can also become member of a producer
organization.
Farmer Producer Company (FPC’s) is a hybrid
between cooperative societies and private limited companies. Key
Points: The objective of the concept of FPC is to organize farmers into
a collective to improve their bargaining strength in the market.
Department of Agriculture
and Cooperation (DAC), Ministry of Agriculture, Government of India launched a
pilot program for promoting member-based Farmer Producer Organizations (FPOs)
during 2011- 12, in partnership with state governments, which was implemented
through the Small Farmers’ Agribusiness Consortium (SFAC). The pilot involved
the mobilization of approximately 2.50 lakh farmers into 250 FPOs (each with an
average membership of 1000 farmers) across the country, under two sub-schemes
of the Rashtriya Krishi VikasYojana (RKVY), namely National Vegetable
Initiative for Urban Clusters and Program for Pulses Development for 60,000
Rain fed Villages.
The purpose of the project
is to collectivize farmers, especially small producers, at various levels
across several states, so as to foster technology penetration, improve
productivity, enable improved access to inputs and services and increase farmer
incomes, thereby strengthening their sustainable agriculture based livelihoods.
SFAC is supporting these FPOs through empaneled Resource Institutions (RIs),
which provide various inputs of training and capacity-building, and linking
these bodies to input suppliers, technology providers and market players. The
investment in the capacity of FPOs will be spread over two years. SFAC is also
monitoring the project on behalf of DAC and the states and reporting on its
progress. The pilot has already shown encouraging results and more than 3.00
lakh farmers are presently mobilized into village-level Farmer Interest Groups
(FIGs), which are being federated into registered FPOs. Besides empowering
farmers through collective action, these grassroots bodies are emerging as
nodal points for the transmission of cultivation technology, inputs and credit
and pooling their production to leverage the market for better price s. To
mainstream the process of institutional development of Farmer Producer
Organizations, DAC is issuing these guidelines to encourage states to directly
support FPO promotion as a regular activity.
Department of Agriculture
and Cooperation (DAC), Ministry of Agriculture, Govt. of India will act as the
nodal agency for the development and growth of FPOs. Small Farmers’
Agribusiness Consortium (SFAC), a Society under DAC, will be the designated
agency of DAC to act as a single-window for technical support, training needs,
research and knowledge management and to create linkages to investments,
technology and markets. SFAC will provide all- round support to State
Governments, FPOs and other entities engaged in promotion and development of
FPOs. In particular, SFAC will create sustainable linkages between FPOs and
inputs suppliers, technology providers, extension and research agencies and
marketing and processing players, both in the public and private sectors.
The mandate of National
Cooperative Development Corporation (NCDC) will be expanded to include FPOs in
the list of eligible institutions which receive support under the various
program of the Corporation.
On above particulars DAC
and SFAC was developing a FPOs through NABARD, RSA, CSA, NGOs/ POPI, SHGs etc.
under this process MITHRA Foundation (POPI) was developed 4 FPOs on
Yadadri Bhuvanagri District, they running successful manner.
Uses of FPO:
To build a prosperous and
sustainable agriculture sector by promoting and supporting member-owned
Producer Organizations, that enable farmers to enhance productivity through
efficient, cost-effective and sustainable resource use and realize higher
returns for their produce, through collective action supported by the
government, and fruitful collaboration with academia, research agencies, civil
society and the private sector. To promote economically viable, democratic, and
self-governing Farmer Producer Organizations (FPOs), to provide support for the
promotion of such FPOs by qualified and experienced Resource Institutions,
To provide the required assistance and
resources – policy action, inputs, technical knowledge, financial resources,
and infrastructure – to strengthen these FPOs. To remove hurdles in enabling farmer’s
access the markets through their FPOs, both as buyers and sellers. To create an
enabling policy environment for investments in FPOs to leverage their
collective production and marketing power.
The main qualifying
criterion for an FPO to attract benefits under various schemes and program of
the Central and State Governments is that it must be a body registered and
administered by farmers and the organization must be focused on activities in
the agriculture and allied sectors.
Main Points of FPO:
The formation and
development of FPOs will be actively encouraged and supported by the Central
and State Governments and their agencies, using financial resources from
various centrally sponsored and State-funded schemes in the agriculture sector
agencies. This goal will be achieved by creating a coalition of partners by the
concerned promoter body, involving civil society institutions, research organizations,
consultants, private sector players and any other entity which can contribute
to the development of strong viable producer owned FPOs. Detailed guidelines
for the promotion of FPOs, including methodology of selecting Resource Institutions
(RIs)/ Resource Support Agencies (RSA), budgets and registration processes are
to this Policy. These are meant to guide the Central and State Government
agencies engaged in FPO promotion and provide a detailed roadmap to achieve the
vision of building FPOs, especially if funds under Central schemes are being
used to promote FPOs. However, State Governments are free to develop their own
independent guidelines to support FPOs if they are using. State budgetary funds
for the FPO’s. DAC and its designated agencies will work with NABARD and
other financial institutions to direct short and medium term credit for working
capital and infrastructure investment needs of FPOs. DAC will also work with
all relevant stakeholders to achieve 100% financial inclusion for members of
FPOs and link them to Kisan Credit Cards.
How to registration FPO’s:
Mobilizing farmers into
groups of between 15- 20 members at the village level (called Farmer Interest
Groups or FIGs) and building up their associations to an appropriate federating
point i.e. Farmer Producer Organizations (FPOs) so as to plan and implement
product-specific cluster/commercial crop cycles. Strengthening farmer capacity
through agricultural best practices for enhanced productivity. Ensuring access
to and usage of quality inputs and services for intensive agriculture
production and enhancing cluster competitiveness. Facilitating access to fair
and remunerative markets including linking of producer groups to marketing
opportunities through market aggregators, from CIG groups 1 or 2 good
progressive farmers are selected by this process minimum 10 farmers are
selected under this BPL and SC/ST and women farmers are maintained, they all
are worked at own field/ tenant also, all data collected by that farmers after
that approaching of Company Sectary(CS) they can formatted/ registration an FPO
under company act 2013 through that farmers, on this process CS fill the farmer
data into spice form, Know Your Customer(KYC) of the farmer, MoA, AoA and
Digital Signature Certificate (DSC) of the farmer after compilation of the
process, FPO get incorporation certification,DIN,DIR,TAN,PAN,GST and labor
license related certificates are generated under MCA guidelines. After wards
FPO established their office with complete infrastructure, with name boards and
appointed a CEO and Charted Accountant (CA), opening a bank account (Current
account) related to FPO discussed with all Board of Members (BOD’s).
GUIDING VALUES AND
PRINCIPLES FOR SUSTAINING FARMER PRODUCER ORGANISATION DEVELOPMENT
VALUES:
FPOs are based on the values of self-help, self-responsibility, democracy,
equality, equity and solidarity. FPO members must believe in the ethical values
of honesty, openness, social responsibility and caring for others.
PRINCIPLES: FPO principles
are the guidelines by which FPOs will put their values into practice.
1st Principle:
Voluntary and Open Membership FPOs are voluntary organizations, open to all
persons able to use their services and willing to accept the responsibilities
of membership, without gender, social, racial, political or religious
discrimination
2nd Principle:
Democratic Farmer Member Control FPOs are democratic organizations controlled
by their farmer-members who actively participate in setting their policies and
making decisions. Men and women serving as elected representatives are
accountable to the collective body of members. In primary FPOs farmer-members
have equal voting rights (one member, one vote) and FPOs at other levels are
also organized in a democratic manner.
3rd
Principle: Farmer-Member Economic Participation Farmer-members
contribute equitably to, and democratically control, the capital of their FPO.
At least part of that capital is usually the common property of the FPO. Farmer-members usually
receive limited compensation, if any, on capital subscribed as a condition of membership. Farmer-members allocate surpluses for any or all of the following purposes: developing their FPO, possibly by setting up reserves, part of which at least would
be indivisible; benefiting members in proportion to their transactions with the FPO; and supporting other activities approved by
the members.
4th Principle: Autonomy and Independence FPOs are autonomous, self-help organizations controlled by their farmer-members. If they enter into agreements with other organizations, including governments, or raise capital from
external sources, they do
so on terms that ensure
democratic control by their
farmer- members and maintain their FPO’s autonomy.
5th
Principle: Education, Training and Information FPOs operatives provide education and training for their farmer-members, elected
representatives, managers, and employees so that they can contribute effectively to the development of their FPOs.
They inform the general public – particularly
young people and opinion leaders
– about the nature and benefits of FPOs.
6th Principle: Co- operation among FPOs FPO’s serve their members
most effectively and strengthen
the FPO movement by working together through local, national, regional and international structures.
7th Principle: Concern for the Community FPOs work for the sustainable development of their communities through policies approved by their members.
NABARD, RSA, POPI/ NGO Roles & Responsibilities:
NABARD has
been promoting Farmer Producer Organizations (FPO’s) through the Producer
organization Promoting Institutions (POPI) and resource supporting (RSA),
details of roles and responsibilities of POPI and RSA are indicated below
The major role of POPI would be under:
·
The POPI will identify / selected potential areas/
clusters from watershed development projects, Wadi projects, existing farmers
clubs, farmer cooperatives, SHGs, JLGs, farmer interest groups, specific
commodity growing areas, etc., and conduct of baseline survey.
·
The POPI will focus on awareness creation among the
farmers and motivate them to form FPOs.
·
To ensure regular monthly meetings of shareholder
members, after formation of the FPO, POPI will start the process of
registration companies’ act or cooperative societies act by obtaining necessary
documents for registration.
·
Preparation of business development plan for the
FPO, POPI will undertake training need assessment (TNAs) of the producers and
also assess infrastructure requirements, market interventions and other support
facilities necessary for success of FPO.
·
Organizing capacity building programs for CEOs and
board members as per modules developed by the BIRD, facilitation in credit and
market linkages.
·
As per NABARD guidelines POPIs will have to develop
governance & management structure, business plan, nature of the FPO and
provide handholding support towards maturity for a period of 3 to 5 years.
Responsibilities of POPI:
·
Identification of clusters: POPI is
responsible to identify potential cluster in the area assigned to them, the
cluster will be identified keeping in view the possibilities and commercial
viability of agribusiness activities. It is important to understand whether
there is a sizable production of crops and reasonable marketable surplus in
cluster to undertaken the business operations by the FPO.
·
Conduct of baseline survey: POPI are
responsible for conducting baseline survey in the assigned area to understand
the total crop production and aspects to marketable surplus in the cluster.
POPI will conduct the baseline survey at village level and submit report to RO,
NABARD.
Specific tasks related to baseline survey are
as under to prepare and finalize the questionnaire for baseline survey, in
consultation with NABARD, developing an appropriate sample design (including
developing the sampling methodology, sampling units and the producer for
arriving at various production parameters of the group/ organization level
based on the sample data, arranging translation of the questionnaires in local
languages, field test of the questionnaires, hiring and training the field
supervisors and enumerators, undertaking survey and data recording, supervising
survey process and ensuring proper data recording, developing the data entry
program, supervising the project database and arranging for data cleaning and
entry, analyze and report the finding of the survey and provide database and
final documents, to submit the final report on baselines survey to the regional
office, NABARD.
·
Identification of sustainable and
commercially viable business activities in identified area:
P OPI to collect data from village level, block
level officials of the state department of agriculture, on season wise cropping
pattern, normal cropping area, cropping intensity, average crop productivity,
total crop production as well as marketable surplus available for marketing and
processing. Based on these data, POPI in consultation with agribusiness
experts/DDM/RO, NABARD would identify and enlist sustainable and viable
business opportunities in the clusters.
·
Formation, federation and
strengthening of CIGs/FIGs or PGs and awareness creation: POPI will
form the Common Interest Group(CIG)/ Farmer Interest Group (FIG)/ Farmer Group
(FG) in identified clusters, an FIG is a self-managed, independent group of
farmers with a shared goal and interest.
The members work together to achieve this goal by pooling their existing
resources, gaining better access to other resources and share in the resulting
benefits.
POPIs shall conduct meetings or open for
awareness creation and discussion on CIG/FIG, producers group and producer organization
and form producer groups with sizable membership. POPIs shall also ensure
record keeping and federating these producer groups. They shall also ensure
record keeping of these producer groups, simultaneously, POPI shall also create
general awareness on farmers/PGs what is FPO, what is the need and importance
of FPOs, what are the advantages of FPO and what services FPOs can provide to
its members, how FPOs can impact on the agriculture and farmers livelihood, how
members will be benefitted from FPOs.
·
Formation and registration of Farmer
Producer Company (FPC)
Creating awareness among producer
groups: POPIs will conduct meetings in
village level and disseminate detailed information on farmer producer formation
and registration, roles and responsibilities of various stakeholders in the
management of FPO such as members, CEO, Board of Directors and other. POPI will
help FPO to decide its vision and mission.
Hiring services of CA/CS firm: for
registration of FPOs, POPI shall assist the FPOs in hiring Services of professionals like
company secretary, chartered Accountant etc. Company
Secretary will consult and take care of the process of FPO registration. Chartered
Accountant Y.1ll take care of all the periodic
filing and legal compliances of the FPO.
Constitution of Board of Directors
of FPO and mobilization of members:
POPIs shall mobilize at least 1oo farmers membership under each FPO initially required
for economy of scale as envisaged
in the proposal
for formation /registration of FPOs. It will facilitate operations increasing the membership of FPO over 3 years period to an optimal size (500-1000) required for sustaining
the business.
As per Companies
Act, for smooth and responsible management
of FPO, Board of Directors
shall be constituted. The Board will take all major decisions
for the operations
and business activities of the FPO. POPI will also facilitate FPO in appointing
a CEO, after incorporation of FPC.
Collection
of KYC and other
required documents of directors:
After the election of the Board of directors from the FPO members
or Producers Groups, POPI will collect the required documents of proposed directors for complying
with the Know Your Customer (KYC) requirement and submit
to Company Secretory for the purpose of registration of FPC.
Assist FPCs in drafting MOA/AOA
While deciding the provisions of Memorandum of Association
(MOA) and Memorandum of Association (MOA) of an FPC, POPI will help them in this. MOA is a legal document which specifies the scope of business activities
of the company and information
about shareholding of the company.
Articles of Association is a user's manual for a company, defining
its purpose and outlining
the methodology for accomplishing necessary day-to-day tasks. While the content and terms may vary according to jurisdiction, articles of association generally
include provisions on the company
name, its purpose, the share capital, and
provisions concerning shareholder meetings.
Opening Current Account in a bank in the name PO
For record keeping
purpose and to maintain
transparency in financial transactions FPO should have its current
account with a bank. This shall
be facilitated by POPI.
FPO for collection of share capital
POPI would assist
FPOs in increasing its membership, shareholders and collection of share amount
from the shareholders. POPI will ensure that the FPO maintains record of shares and issue share amount to the shareholders. POPIs will also ensure the issuing of share
certificates (in prescribed format by MCA) to the shareholders.
Setting
up of Farmers Common Service center at FPO level: POPI will assist FPOs in setting up Farmers
Common Services Center (FCSC), which is a small / medium scale commercially viable activities owned
and managed by FPO. Through this FCSC, FPO might offer wide
range of services to its members as under:
Input supply service,
Insurance services, Marketing
services, Technical services, Networking services, Transportation facility, Aggregation, procurement, processing and packaging services,
Storage of agri produce
in godowns/warehouses owned or rented by FPO. Custom hiring
center/farm implement bank
Preparation
of Business Plan (DPR) for at least 3years
POPI will prepare (or get it prepared by Agri Business Experts/Consultants) commercially viable
business plan and a Detailed Project Report (DPR) of the FPOs. For this, POPI will collect
required data from authentic
sources like block Agriculture Office,
Department
of Agriculture. The business plan will be at least for next three
years
Implementation of business plan
POPI will assist FPO in implementation of the business
plan.
Handholding support (Licenses and certificates)
Based on business activities, POPI is
responsible for identification of required
licenses, certificates and legal compliances to be met necessarily
for running FPO business. POPI will guide the FPO on the type of licenses, certificates or any other documents that are required for running business. POPI \viii also provide detailed information on documents required for obtaining licenses, how and from where obtain
the documents,
All the required consultancy support and
help will be provided by POPI is the major licenses/ certificates which ever
applicable to be obtained by each and every FPO are as “District Industries
Center (DIC), Direct marketing licenses, Private Marketing licenses, Seed
license, Fertilizers license, Pesticide license, Pollution under control
certificate (if applicable), shop act, food safety and standards authority of
India (FSSAI)”
Annual filing and legal Compliance
Timely filing of statutory
returns is crucial for Business of FPOs for ensuring all legal compliances and annual filings
as per the time schedule given by ROC, MCA, income tax Department
or any other
related departments. The MIS on annual
filing and legal compliances will be submitted to HO and RO, NABARD.
Market Linkages
POPI is responsible for facilitation of market linkages between FPOs and buyers, processors
or any other buyer entity. POPI will help to draft and execute
Memorandum of Understanding between
the FPOs and buyers. For this, POPI will be responsible for:
•
Collection of data on season wise, crop wise production, marketable surplus available at FPO level.
• Organize Buyer -Seller meets
• Conduct training program on markets, contract
farming etc.
• Disseminate
information about exhibitions and help FPOs to participate in Exhibitions, Krushi mela, Krushi Mahotsav or any other program where there is opportunity for FPOs to
sell their produce.
•
Arrange or conduct training
on online marketing
platforms like NCDEX,
MCX, and e NAM etc.
Credit Linkages
FPO needs
various type of credit facilities
like term loan, working capital
loan etc. from banks and financing agencies for running its business, purchase of agri inputs, purchase of machineries, purchase of various required
assets etc. POPI will help FPO to get the loans from such banks or NBFCs for meeting their capital need.
Convergence
POPI shall explore convergence of interventions with the ex1stmg schemes
of State/Central Governments or other
stakeholders and bring required synergy through effective coordination.
POPI is responsible for submitting a clear
exit plan on stabilization of the internal systems for appropriate management, governance and marketing systems is established
in the FPO.
Major role of Resource
Support Agency (RSA)
The major role of RSA would be as under:
• Organizing capacity
building programs for the Producer Organization Promoting Institutions (POPIs)
• Providing
necessary
hand. Holding support to POPIs for undertaking the promotion of quality FPOs in the state/ region
• Achieving
desired growth rate in membership mobilization (300 by end of third year and 500 by end
of 5th year in NE and Hilly States and LWE Districts; while 500 by the end of 3rd year and 1000 by end of 5th year in other areas)
• Ensuring credit and
market linkages of FPOs
• Review of timely account keeping, audit, legal compliance of FPOs, etc. promoted by the concerned POPIs
• Facilitating resolution of operational issues of FPOs
• Facilitating
convergence of various Schemes
of Government
and/or Corporate, etc. for improved ecosystem services
Based on the role and responsibilities of RSA as defined above, each RSA will be required to submit to RO detailed proposal along with
annual action plan with firm timelines,
milestones to be achieved
and other measurable
deliverables / indicators. The proposal
will be examined
by the RO as per needs of the State and accord sanction of grant to RSA under POOF-ID Account subject to maximum of Rs. 8.oo lakh per RSA for the entire
project period of 3years. The grant support sanctioned to RSA will be released by the RO
based on the performance and deliverables as per sanction.
BoD’s Roles & Responsibilities:
1.
Encourage members to participate in the activities
of the Farmer Producer Company (FPC) and to make use of FPC’s service.
2.
Get approval of decisions taken by the BOD’s in the
General body meeting and implement activities as per the decision of the
General body.
3.
To monitor and supervise the activities of the FPC.
4.
To appoint and supervise the activities of the CEO
and other FPC employees.
5.
Check whether proper books of account are being
maintained.
6.
Sanction any loan or advance, in connection with
the business activities of the producer company to any member. A director
cannot sanction a loan for self or director relatives.
7.
Decide the dividend payable to members.
8.
Decide the withheld price payable to members.
9.
Purchase or sale of FPC property, and investment of
funds of the producer company for its business.
10. Other
activities to be done as per the decisions taken at the general body meeting by
members, place the audit accounts before the board and in the annual general
meeting of the members.
11. Build the
confidence and encourage farmers to control as shareholders in the FPC, to
provide information to company members about the activities of the FPC.
CEO’s Roles & Responsibilities:
1.
To ensure efficient and timely services from FPC to
members, be a part of various committees like procurement committee, marketing
committee etc., formed by the BoD.
2.
Take
decision required for day-to-day functioning of the FPC. Get approval of
decision taken by the CEO in the BoD meeting and implementing that activities
as per decision of BoD’s.
3.
Sign all business related documents likes invoice,
purchase orders etc., on behalf of FPO.
4.
CEO is the representative person of the FPO.
5.
Responsible for providing timely information to the
company members and BoD’s of FPC meetings, including emergency or urgent meetings.
6.
Responsible for maintaining proper books of accounts,
prepare annual accounts.
7.
Shall operate the bank accounts as joint signatory
of a director, he /she decide the safe keeping of cash and other assets of the
producer company.
8.
Any other task or responsibility as decided by the
BoD’s for the smooth functioning of the company.
9.
What type of equipment’s required to the FPO that
should be adjusted after with that useful or not discussing to the BoD’s, it
required they all take a decision on BoD’s meeting.
10. As a CEO
they should take care about property damage, in case it occurs he / she should
take care about that and claiming the policies related to property damages.
11. According
their requirements CEO discuss with their BoD’s to prepare their Business plan
for the FPO.
12. They gave
certain information about producer company rules & regulations to the BoD’s.
13. Here CEO
can decide the prices tag of what can be produced/ services by FPO’s.
14. CEO can
performing their job role decide under policy guidelines under FPO, basic CEO
can understand their job role and performing well, they knowing the basic
things about their service area and related problems
15. They think
what type of activities are suitable for farmers, what are basic requirements
of the farmers on those particular area, what is the basic demand and all those
they identified and take decision about those things in BoD’s meeting.
16. CEO can
prepare with the help of BoD’s to prepare financial calendar for the FPO, they
maintain proper files related to that FPO.
Business
Plan
Business Planning will be carried out by RIs with the help of selected farmers’ representatives. Business planning
is a process through which the strategic and operational orientation of an emerging FPO is shaped.
While baseline assessment figures will be important inputs to understand the level from which products
and services for farmers’ members should be developed, more
important will be the
collective visualization of the future
of the FPO. Using a
variety of tools
and systematic collective reflections, a business plan with proper projections on
various aspects needs to be developed. The key is to develop business plans in detail
with at least 10% of FPO farmer
members to provide clear vision
GUIDELINES FOR BUSINESS PLANNING
1.
Executive Summary
2.
Introduction
3.
External Context
– Civil society,
government services, market
competition
4. Strategic Orientation – Mission, vision, objectives and goals, key measurable indicators
5.
Product and Service Model
– Products and services, terms
and conditions
6. Institutional
Structure – Membership, governance, operational staff, terms of engagement, performance measurement, remuneration and other
important details
7.
Production Plan – Key commodities,
seasonality, production plan,
quality norms, group
production incentives
8.
Procurement Plan – Procurement points, time,
pricing mechanisms, viability of procurement points, staffing
for procurement, storage
and transportation
9.
Storage and Processing – Processing facilities, machinery and plant erection, capacities, safeguards
10. Financial Resources Plan – Finances
required, fixed investment and working capital requirements, sources, terms of borrowings, member
own funds
11. Marketing Plan – Channels,
brands, consumer feedback, key products,
marketing strategy
12. Benefits
of FPO – Member level benefits computation and projections
13. Operational Plan and Activity Chart List 14.Product
Costing
15. Risks and Risk Management Plan
16. Linkages and Convergence Plan
BUSINESS OPERATIONS
Business operations
is the commencement of procurement, production, processing, marketing and financial service
activities of a FPO.
RIs should carefully train both the
governing and operational structures of the FPO in order
to ensure smooth functioning of business operations. The entire value-chain related
to various agriculture and allied products and commodities needs to be managed
FPO
SERVICE MODEL
The FPO
will offer a variety of services to its members as illustrated in the table. It can be noted that it is providing almost end-to-end services to its members,
covering almost all aspects of cultivation (from inputs,
technical services to processing and
marketing). The FPO will facilitate linkages between
farmers, processors, traders, and retailers to coordinate supply
and demand and to access key business
development services such as market information, input
supplies, and transport services. Based on the emerging needs,
the FPO will keep on adding new services from time to time.
The
set of services include Financial,
Business and Welfare services. An indicative list of services
includes:
Financial Services: The FPO will provide
loans for crops, purchase of tractors, pump sets, construction of wells, laying of pipelines.
Input Supply Services:
The FPO will provide low cost and quality inputs to member farmers.
It will supply fertilizers,
pesticides, seeds, sprayers, pump sets, accessories, and pipelines.
Procurement and Packaging Services: The FPO will procure agriculture produce
from its member farmers;
will do the storage, value
addition and packaging.
Marketing Services: The FPO will do the direct marketing after procurement of agricultural produce. This will enable members to
save in terms of time, transaction costs, weighment losses, distress sales, price fluctuations, transportation, quality maintenance etc.
Insurance Services: The FPO will
provide various insurance like Crop Insurance,
Electric Motors Insurance and Life Insurance.
Technical Services: FPO will promote best practices
of farming, maintain marketing information system, diversifying and raising
levels of knowledge and skills in agricultural production and post-harvest processing that adds value to products.
Networking Services: Making channels of information
(e.g. about product specifications,
market prices) and
other business services accessible to rural producers; facilitating linkages with financial institutions, building
linkages of producers, processors, traders and
consumers, facilitating linkages with government program.
PROJECT OUTCOMES |
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