POPI

Producer Organization Promoting Institution (POPI) Project:

In India around 85% of the land holdings belong to small & marginal farmers. Being unorganized, these farmers are unable to realize good value for their produce. National Bank for Agriculture and Rural Development (NABARD) thinks that the problems faced by the small & marginal farmers can be mitigated to a large extent by organizing them into Producer Company. Producer Company is a generic name for an organization of producers of any produce, e.g., agricultural, non-farm products, artisan products etc. The companies enable member farmers to reap the benefits of economies of scale in purchase of inputs, processing & marketing of their produce. Forming a Producer Organization can also provide the member farmer access to timely and adequate credit and provide linkage to markets. Keeping this view in mind according to NABARD scheme guideline, Dantan Manav Kalyan Kendra, a Producer Organization Promoting institution (POPI) of Paschim Medinipur district had promoted seven Producer Companies and developing sound organizational structure, effective capacity building & providing hand holdings with the active support of District Development Manager, NABARD, Paschim Medinipur. The objective of the Companies is to ensure sustainable better income realization to its members who are producers through aggregation and if feasible, value addition. Sharing of profit among members is another objective of the Producer Companies.

The primary objective of these FPOs is to ensure sustainable income realization for their members, who are producers. This is achieved through aggregation and, where feasible, value addition. Additionally, profit-sharing among members is another key goal of these FPOs. All the producer organizations are farm-based and registered under the Company Registration Act.