What is the full form of FPO in agriculture?

FPO (full form in agriculture) is a Farmer Producer Company. It is a registered Indian company in the Registrar of Companies (ROC).

Here are some prominent features of an FPO –
1. FPO’s shareholder members are mainly composed of farmers. Share capital of the FPO is contributed by these member farmers.

2. FPO’s member farmers are geographically close, in the closeby villages & usually within a district. They grow same / similar agricultural produce. The FPO can aggregate the produce better. Govt of India is also encouraging this with the goal of ‘One District One Crop’.

3. This structure of FPO collectives is meant to bring better business practices, better aggregation, better bargaining power, better value and retain more income for the Indian farmers.

4. Business profits from the FPO from these agricultural businesses are distributed fairly between the farmers as per their contributions.

5. FPOs have a challenge in keeping the trust of the members as well as finding the right buyers. Using modern digital tools on the web and mobile, many FPOs are able to stabilize and grow the FPO business season on season.

6. With the challenges in mind, Small Farmers’ Agribusiness Consortium (SFAC) and National Bank for Agriculture and Rural Development (NABARD) provide matching Equity Grants and Credit Guarentee Support to encourage the formation and growth of FPOs.

7. FPO digital tools are the key to success. Are you starting an FPO or are you promoting FPOs? Samudra Network has created FPO digitization tools to help with Recording Shareholder Information, Issuing Share Certifications, Capturing Harvest Details, and connecting with buyers for aggregation – all geared to make FPOs successful. Send us a Whatsapp Message – 9483166546

8. Buyers can now source from closer to the farmer. They can be assured of the origin, villages from where they are sourcing. Buyers can work closely with the FPOs to reduce price volatility and create dependable business partnerships. Digital tools make asynchronous work easy as well as get insights with the produce dashboards. If you are a buyer, send us a Whatsapp Message – 8310215380 to know more and source from our FPOs.

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2 thoughts on “What is the full form of FPO in agriculture?

  1. We are requesting to you please send the appropriate
    Rules and regulations.
    Ramsamujh sahani


  2. This is wonderfull idea specially for small farmers to unit & work so that they get bargaining power


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