The central government is trying to increase the income of the farmers. Along with this, the government has been continuously emphasizing on the formation of FPOs so that they can get the right platform and fair price to sell their produce.
A target has been set to form 2500 FPOs in this financial year.
On 29 February 2020, Prime Minister Narendra Modi announced the formation of 10,000 Farmers Producer Organization (FPO) in Chitrakoot, Uttar Pradesh. With a budgetary provision of Rs 6865 crore, the PM had also formally launched the scheme on the same day. The central government has a target of setting up 2500 FPOs in the financial year 2021-22. In such a situation, it is important to know why the government is putting so much emphasis on the formation of FPO and what benefits will the farmers get from it?
The central government is trying to increase the income of the farmers. Along with this, the government has been continuously emphasizing on the formation of FPOs so that they can get the right platform and fair price to sell their produce. Through the FPO, all the new information related to farming and farming will be reached to the farmers and new tools will also be available for agriculture. Keeping all these things in mind, the government is focusing on FPOs.
Agricultural experts say that the FPO will also have a significant contribution in implementing the three new agricultural laws. FPOs are registered under the Companies Act. Farmers will get the benefit of this from the middlemen. Companies will be associated with FPOs, who will directly purchase farmers’ produce and farmers will be able to connect with them.
You will get the goods sitting at home
A single farmer cannot contact companies directly, so it has a fixed number of members. Through FPO, farmers can sell their produce to companies and get direct payment. Through the companies associated with FPO, farmers will be able to sit at home at the same reasonable price for seeds, fertilizers, pesticides and other essentials for farming.
Help will also be taken from Krishi Vigyan Kendra
Recently, Union Agriculture Minister Narendra Singh Tomar had said in the review meeting of the FPO scheme that our aim should be that farmers across the country get full benefit of it. He talked about grading the FPO and adding more farmers to it, so that the agriculture sector can get its full benefit. Tomar also asked for the help of Krishi Vigyan Kendras (KVKs) for the scheme, which have a lot of network in the districts.
Special emphasis will be on the inclusion of small, marginal and women farmers
The minimum number of members in the FPO to be formed in the plain areas will be 300, while in the North-East and hilly areas will be 100. Special attention will be paid to include small, marginal and women farmers / women SHGs, SC / ST farmers and other economically weaker categories etc. as members to make FPOs more effective and inclusive. The scheme is primarily on yield cluster based approach.
As per the decision taken by the members of the FPO, the FPO will be registered under either the Companies Act or any State Cooperative Societies Act. Existing FPOs can avail the loan guarantee facility and knowledge support of NPMA. The 15 percent targeted FPOs are to be formed in ambitious districts, which will focus on the concept of ‘one district – one product’.
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