Farmer Producer Companies and Organizations
Explore the concept of Farmer Producer Companies (FPCs) and Farmer Producer Organizations (FPOs), which are designed to empower farmers through collective efforts in areas like production, marketing, and financial services. Learn about the structure, benefits, and types of FPCs and FPOs in the agricultural sector.
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Presentation Transcript
FARMER PRODUCER COMPANY Centre had amended the Indian Companies Act, 1956, in 2002-03 to provide for producer companies . A Farmer Producer Company is a hybrid between cooperative societies and private limited companies. ... They are owned and governed by shareholder farmers (or artisans) and administered by professional managers. What is the meaning of producer company? A Producer Company is thus a body corporate having an object that is one or all of the following: production, harvesting, procurement, marketing, selling, export of primary produce of the Members or import of goods or services for their benefit. grading, pooling, handling,
What is Farmer Producer Organization? The concept of 'Farmer Producer Organizations, (FPO)' consists of collectivization of Producers especially small and marginal farmers so as to form an effective alliance to collectively address many challenges of agriculture such as improved access to investment, technology, inputs and markets. Input Supply Services (Seeds, Fertilizers & Machinery) Financial Services (Credit, Saving, Insurance, extension) Marketing linkage services (Contract farming, Procurement under MSP) Training and Networking Advocacy, Documentation ) FPO Services (HRD, Policy
Types of FPOs 1. Community based : Resource oriented farmer producer organization 2. Commodity based :Market oriented farmer producer organization - FPC is a legal form company. - In 2002 an Act was passed in parliament and this legal form was created. - According to this new law, Only farmers producers can be members of the FPC
The farmer members themselves will manage this company. Paid staff can be employed to help the farmers producers run the FPC These FPCs will be promoted by the farmers, will be run by the farmers and for the benefits of the farmers Mobilizing farmers into groups of between 15 - 20 members at the village level
Structure of FPO Farmers producer organization General Body Executive body(2 representatives ) Board of Directors General Manager Planning, Implementation, management FPO Local resource person Who provides support to FPO There are many organization who supports FPOs. Support in terms of financial and technical, marketing services, networking, input supply services for the promotion NABARD, SFACE, GOVT DEPARTMENT, CORPORATES, DOMESTIC AND INTERNATIONAL AID AGENCIES AND NGOS
