Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs)

The Government of India has approved and launched the Central Sector Scheme of “Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs)” to form and promote 10,000 new FPOs till 2027-28.

Objective

• To form and promote 10,000 new FPOs till 2027-28; enhance productivity through efficient, cost-effective and sustainable resource use and realize higher returns through better liquidity and market linkages for their produce and to become sustainable through collective action.

Features

• Under the scheme, the formation and promotion of FPO is based on Produce Cluster Area approach and specialized commodity-based approach. While adopting cluster- based approach, formation of FPOs focuses on “One District One Product” to enable product specialization.

Performance

• As of January (2022), a total of 1963 FPOs have been registered under the scheme.