FORMATION AND PROMOTION OF FPOs

Ministry of Agriculture & Farmers Welfare FORMATION AND PROMOTION OF FPOs

Posted On: 08 AUG 2025 4:57PM by PIB Delhi 10,000 Farmers Producer Organization (FPOs) have been registered under the Central Sector Scheme for “Formation and Promotion of 10,000 Farmer Producer Organizations”.

Each FPO registered under the Scheme is provided Rs.18 lakh as management cost over 3 years, matching equity grant of upto Rs.15 lakh per FPO (@Rs.2000/- per farmer) and credit guarantee facility upto Rs.2 crore for project loan from eligible lending institutions. Government, in coordination is with States is facilitating these FPOs in obtaining input licenses including for seed, fertilizer, pesticide, mandi, etc. to enable them to function as agri-business enterprises. The FPOs have been onboarded on digital platform like e-NAM (Electronic National Agriculture Market), ONDC (Open Network for Digital Commerce) and GeM (Government e-Marketplace) to provide access to digital markets. The Scheme has provision for training of all the stakeholders through digital mode to, enhance their skills at their own pace.

Besides, weekly webinars are organized to create awareness of government schemes and promote market linkages.

The various initiatives undertaken under the scheme to support the FPOs have resulted in cumulative turnover th of ₹5,035.5 crore as on 30 June, 2025.

This information was given by Minister of State for Agriculture and Farmers Welfare, Shri Ramnath Thakur in a written reply in Rajya Sabha today. ****** RC/ KSR/AR (Release ID: 2154174)