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Nationwide Surge: Thousands of FPOs Registered Across the Country

To develop and promote 10,000 new Farmer Producer Organizations (FPOs), the Indian government is putting the “Formation and Promotion of 10,000 FPOs” initiative into action under the Central Sector initiative (CSS). 8875 FPOs have been registered nationwide as of June 30, 2024. The number of FPOs registered by state is listed in Annexure.

The Union Minister of State for Agriculture and Farmers’ Welfare, Shri Ramnath Thakur, provided this information in a written reply to the Rajya Sabha.

Under the Central Sector Scheme (CSS) for the “Formation and Promotion of 10,000 Farmer Producer Organisations (FPOs)”, the total paid up capital to above mentioned FPOs is Rs.630.3 Crore. As on 30th June 2024, cumulative amount of ₹210.1 Cr. was released to eligible FPOs as matching equity grant under the aforesaid 10,000 FPOs scheme.

As per the clause 4.7 of operational guidelines, “While adopting cluster-based approach for produce or produce mix, formation of FPOs will also focus on “One District One Product” approach for development of product specialization, in case the focused agriculture produce has been declared for that district, whereby FPOs will be encouraged for promoting processing, branding, marketing and export of the product for better value realization.

There may be more than one cluster for one product in one district and a cluster also may extend beyond a district. However, the FPOs will also have additional product and service mix; so that there are enough activities and engagements with the members throughout the year. Furthermore, FPOs can federate at district level, State level & National level for the product identified as per their requirement of processing, branding and marketing.”

The scheme provides supports for a credit guarantee fund, under which loans worth Rs.50.4 crores have been issued to these FPOs. As on 30th June, 2024, 19,68,868 number of shareholder farmers registered in FPOs formed & promoted under 10,000 FPOs scheme. As on 30th June, 2024, 6,374 CEOs appointed in 8,875 registered FPOs under the scheme.

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