Farmer Producer Organization (FPOS)
Recently the government is going to set up 10,000 new Farmer Producer Organization (FPOS) across the country.
FPO is a type of producer organization (PO) whose members are farmers.
A FPO is a legal entity formed by primary producers i.e. farmers, milk producers, fishermen, weavers, rural artisans, craftsmen.
Benefits of FPOs:
- Ensuring better income to producers, liaising with government departments for convergence of programmes, providing better bargaining power, better access to government services, etc.
- Earlier in February 2021, the government had launched a central sector scheme for formation and promotion of 10,000 Farmer Producer Organizations (FPOs).
- The scheme involves formation of 10,000 FPOs over a period of five years from the year 2019-20 to the year 2023-24 in order to ensure profitability for the farmers.
- FPOs are to be formed and promoted through Implementing Agencies (IAS) like Small Farmers Agribusiness Association (SFAC), National Cooperative Development Corporation (NCDC) etc.
- These IAS will further engage with Cluster Based Professional Organizations (CBBOs) to provide professional initial support for 5 years to each FPO.
- During the financial year 2020-21, a total of 2200 FPO yield clusters have been allotted for formation of FPOs, which also includes certain FPO yield clusters, such as 100FPOs for organic, 100 FPOs for oilseeds etc.
Source – The Hindu
