{"id":14170,"date":"2021-03-02T00:00:00","date_gmt":"2021-03-02T00:00:00","guid":{"rendered":"https:\/\/www.nextias.com\/current_affairs\/uncategorized\/02-03-2021\/formation-promotion-of-10000-farmer-producer-organizations-fpos\/"},"modified":"2021-03-02T00:00:00","modified_gmt":"2021-03-02T00:00:00","slug":"formation-promotion-of-10000-farmer-producer-organizations-fpos","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/02-03-2021\/formation-promotion-of-10000-farmer-producer-organizations-fpos","title":{"rendered":"Formation &#038; Promotion of 10,000 Farmer Producer Organizations (FPOs)"},"content":{"rendered":"<p><strong>In News &#8211;<\/strong><\/p>\n<p><strong>Union Ministers of State for Agriculture and Farmers Welfare <\/strong>inaugurated <strong>professional training programmes designed and developed<\/strong> for <strong>CEOs, Board of Directors, Accountants of FPOs<\/strong>.<\/p>\n<ul>\n<li>It was done on the occasion of the <strong>anniversary of the Central Sector Scheme<\/strong> titled &#8216;Formation and Promotion of 10,000 Farmer <strong>Produce Organizations (FPOs)&#8217;. <\/strong><\/li>\n<\/ul>\n<p><strong>About Scheme &#8211;<\/strong><\/p>\n<ul>\n<li>It was launched by the Prime Minister in February 2020 at<strong> Chitrakoot (Uttar Pradesh<\/strong>) with a<strong> budgetary provision of Rs 6865 crore. <\/strong><\/li>\n<li>Under the scheme, FPOs are to be developed in <strong>production clusters, <\/strong>wherein <strong>agricultural and horticultural products <\/strong>are <strong>grown\/cultivated for leveraging economies<\/strong> of <strong>scale and improving market access for members<\/strong>.<\/li>\n<li>The scheme intends to bring <strong>more and more small and marginal farmers<\/strong> on a bigger platform as a <strong>joint entity to help them become<\/strong> <strong>\u2018Atma Nirbhar\u2019 (self-reliant)<\/strong> in the long run.<\/li>\n<li>At the National level, <strong>National Project Management Agency (NPMA)<\/strong> as a professional organization has been engaged in providing overall project guidance, coordination, a compilation of information relating to <strong>FPOs, maintenance of MIS and monitoring purpose.<\/strong><\/li>\n<\/ul>\n<p><strong>Features &#8211;<\/strong><\/p>\n<ul>\n<li>There are well-defined <strong>training structures <\/strong>in the <strong>scheme and the institutions<\/strong> like <strong>Bankers Institute of Rural Development (BIRD)<\/strong>, Lucknow and <strong>Laxmanrao Inamdar National Academy for Co-operative Research &#038; Development (LINAC)<\/strong>, Gurugram have been chosen as the <strong>lead training institutes<\/strong> for <strong>capacity development &#038; training of FPOs. <\/strong><\/li>\n<li><strong>FPOs <\/strong>will be provided <strong>financial assistance up to Rs 18.00 lakh per FPO f<\/strong>or a period <strong>of 03 years.<\/strong><\/li>\n<li>\u00a0In addition to this, provision has been made for matching <strong>equity grant up to Rs. 2,000<\/strong> per farmer member of <strong>FPO with a limit of Rs. 15.00 lakh per FPO <\/strong>and <strong>a credit guarantee facility up to Rs. 2 crores of project loan per FPO <\/strong>from the eligible lending institution to <strong>ensure institutional credit accessibility to FPOs<\/strong><\/li>\n<\/ul>\n<p><strong>Objectives &#8211;<\/strong><\/p>\n<ul>\n<li>To provide <strong>small and marginal farmers &#8220;better collective strength<\/strong> for better access to <strong>quality input, technology, credit and better marketing<\/strong> access t<strong>hrough economies of scale for better realisation of income&#8221;.<\/strong><\/li>\n<\/ul>\n<p><strong>Significance <\/strong>&#8211;<\/p>\n<ul>\n<li>The formation of the <strong>FPOs scheme will promote<\/strong> the <strong>selling of farmers produc<\/strong>e from the <strong>farm gate of farmers.<\/strong>\n<ul>\n<li>This will <strong>shorten the supply chain and accordingly marketing cost <\/strong>will <strong>get reduced resulting in better income for farmers<\/strong>.<\/li>\n<\/ul>\n<\/li>\n<li>\u00a0It will <strong>accelerate more investment<\/strong> in <strong>marketing and value addition infrastructure <\/strong>near to farm gate creating more employment opportunities for rural youth.<\/li>\n<\/ul>\n<p><strong>Progress-<\/strong><\/p>\n<ul>\n<li>More than <strong>2200 FPOs produce clusters<\/strong> have been allocated for the <strong>formation of FPOs <\/strong>in the current year, of which <strong>100 FPOs for specialized Organic produce<\/strong>, <strong>100 FPOs from Oilseeds &#038; 50 commodity-specific FPOs<\/strong> with <strong>value chain development will be formed. <\/strong><\/li>\n<li>In addition to <strong>SFAC, NABARD &#038; NCDC, 06 more implementing agencie<\/strong>s have been approved for the <strong>formation and promotion of FPOs.<\/strong><\/li>\n<li><strong>Implementing Agencies (IAs) <\/strong>are engaging <strong>Cluster-Based Business Organizations <\/strong>(CBBOs) to<strong> aggregate, register &#038; provide professional <\/strong>handholding support to each FPO for a period of 5 years.\n<ul>\n<li>\u00a0CBBOs will be the platform for an end to end knowledge for all issues related to FPO promotion.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<table border=\"1\" cellspacing=\"0\" style=\"width:735px\">\n<tbody>\n<tr>\n<td style=\"vertical-align:top; width:468.0pt\">\n<p><strong>Farmers\u2019 Producer Organizations (FPOs):<\/strong><\/p>\n<ul>\n<li>It is a <strong>registered body with a group of farm producers <\/strong>that are <strong>shareholders in the organisation.<\/strong><\/li>\n<li>It<strong> deals with business activities<\/strong> related to the <strong>farm produce and it works<\/strong> for the benefit of <strong>small, marginal and landless farmers.<\/strong><\/li>\n<li>It acts as an <strong>aggregator for member farmers including from inputs to output which will enhance the economy of scale and bargaining power<\/strong>.<\/li>\n<li>The Small Farmers\u2019 Agribusiness Consortium (SFAC) was mandated by the <strong>Department of Agriculture and Cooperation, Ministry of Agriculture to support the State Governments in the formation of Farmer Producer Organizations (FPOs).<\/strong><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p><a href=\"https:\/\/pib.gov.in\/PressReleseDetailm.aspx?PRID=1701767\" target=\"_blank\" rel=\"noopener\">Source: PIB<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In News &#8211; Union Ministers of State for Agriculture and Farmers Welfare inaugurated professional training programmes designed and developed for CEOs, Board of Directors, Accountants of FPOs. It was done on the occasion of the anniversary of the Central Sector Scheme titled &#8216;Formation and Promotion of 10,000 Farmer Produce Organizations (FPOs)&#8217;. About Scheme &#8211; It [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":14171,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-14170","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-current-affairs"],"acf":[],"jetpack_featured_media_url":"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2023\/07\/7347141current-affairs (1).jpg","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14170","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=14170"}],"version-history":[{"count":0,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14170\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media\/14171"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=14170"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=14170"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=14170"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}