SFAC – Farmer Producer Organisation (FPO) Formation & Support

Farmer Producer Organisations (FPOs) are legally registered groups of farmers formed to improve collective bargaining power, increase income, and promote agri-based entrepreneurship. Under the guidance of the Small Farmers’ Agribusiness Consortium (SFAC) and Ministry of Agriculture, the FPO scheme provides financial, legal, and technical support to build a farmer-led business entity.

At SS Consultancy, we help mobilize farmers, register their FPOs, prepare business plans, and access government grants, equity funds, and working capital support.

Objectives of the FPO Scheme

  • Organize small and marginal farmers into a formal business structure

  • Enable direct access to inputs, credit, technology, and markets

  • Strengthen supply chain efficiency and collective value addition

  • Promote agri-processing, branding, and exports through farmer-led enterprises

  • Create sustainable rural livelihoods and reduce dependence on middlemen

Key Features

  • Support for FPO registration as Producer Company or Cooperative

  • Equity Grant up to ₹15 lakh from SFAC to strengthen capital base

  • Credit Guarantee Cover to help FPOs access bank loans without collateral

  • Linkage with schemes like PMFME, AIF, and VCA for infrastructure and marketing

  • Continuous mentoring and handholding for 3–5 years by implementing agencies

Eligibility

  • Minimum 10 members (for cooperative) or 100 farmers (for Producer Company)

  • Group must be primarily composed of small and marginal farmers

  • Preference given to regions with tribal, rainfed, or backward agriculture zones

  • Open to existing SHGs, Cooperatives, Farmer Clubs, and NGOs working in agriculture

Required Documents

  • KYC of farmers / promoters

  • Land ownership or cultivation proof

  • Resolution for formation of FPO

  • PAN, Aadhaar, and passport photos of directors

  • Draft Memorandum and Articles of Association (MOA/AOA)

  • Bank account and seed capital records

  • Business Plan / DPR (for SFAC or NABARD support)

  • Letters of support from Agriculture Department or Implementing Agencies

SS Consultancy Services

  • Mobilization and group formation

  • FPO registration under Companies Act or Societies Act

  • Preparation of business plan and operational model

  • Application for SFAC equity grant and CGF

  • Coordination with banks and implementing agencies

  • Advisory on input aggregation, market linkage, and branding

  • Ongoing handholding and compliance support

Empower Your Farming Community with an FPO

Let SS Consultancy assist you in forming and running a successful Farmer Producer Organisation—from legal registration to government funding and market access.

Email: info@ssconsultancy.net
Phone: +91 92468 22006