How FPOs are registered
- As a Farmer Producer Company under the Companies Act, 2013, or
- As a cooperative society under state or multi-state cooperative laws.
- Members are primary producers (farmers), and the FPO is run by an elected board.
What an FPO does
- Bulk buying of seed, fertilizer and pesticides at lower cost.
- Collective storage, grading, processing and sale of produce, including to large buyers and online markets such as e-NAM.
- Custom hiring of machinery and sharing of advisory services.
Government support
The central scheme for Formation and Promotion of 10,000 FPOs (launched in 2020) supports new FPOs with handholding through implementing agencies, management support, matching equity grants and credit guarantee for loans. NABARD, SFAC and NCDC are among the implementing agencies.
Official source
Check the latest rules, benefits and forms here. KisanPe is an independent platform and is not a government website.
Small Farmers' Agribusiness Consortium (SFAC) ↗Related on KisanPe
Common questions
What is the full form of FPO?
Farmer Producer Organisation.
How many farmers are needed to form an FPO?
Minimum membership depends on the legal form and scheme norms; check the current guidelines of the 10,000 FPO scheme or ask NABARD/SFAC.
Who helps form an FPO?
Implementing agencies such as SFAC, NABARD and NCDC, through cluster-based business organisations.
General guidance, not personal advice. For your farm, ask your local Krishi Vigyan Kendra or agriculture officer.
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