The Government of India, through the Ministry of Agriculture and Farmers Welfare (MoAF&W), launched the Central Sector Scheme for Formation and Promotion of 10,000 Farmer Producer Organisations (FPOs) in 2020. The scheme aims to empower small, marginal, and landless farmers by organizing them into collective enterprises, enhancing their access to inputs, credit, and markets.
The collectivization of farmers plays an important role in increasing the Farmers' Income by
Increasing production through shared resources and knowledge,
Reducing the cost of cultivation by leveraging economies of scale, and
Increasing the value of produce through processing, branding, & better market linkages.
Under this national initiative, multiple Implementing Agencies (IAs) and over 400 Cluster-Based Business Organizations (CBBOs) have been engaged across India.
The Foundation for Development of Rural Value Chains (FDRVC) is proud to serve as one of the key Implementing Agencies under this scheme. FDRVC is actively working in 16 states to facilitate the formation and promotion of 800 FPOs, in close collaboration with State Rural Livelihoods Missions (SRLMs), who are acting as CBBOs.
Through this effort, FDRVC is supporting over 5 lakh farmers by:
Enhancing their production capacity,
Reducing cultivation costs, and
Promoting value addition and improved market access.
As an Implementing Agency, FDRVC is authorised by MoAF&W to release funds to FPOs and CBBOs as per the scheme’s operational guidelines.
This initiative stands as a testament to FDRVC’s commitment to building resilient, farmer-owned institutions that can drive inclusive growth and rural prosperity.
Total Allocation - 100
In the financial year 2020–21, FDRVC was given a target of forming 100 Farmer Producer Organizations (FPOs). Under this target, FPOs were allocated across various states as follows: Bihar received 15 FPOs, Madhya Pradesh and Odisha were each allocated 25 FPOs, while Telangana received the highest allocation with 35 FPOs.
Total Allocation - 100
Similarly, in the financial year 2021–22, FDRVC was again assigned a target of forming 100 FPOs. These were uniformly distributed among four states, with Rajasthan, Jharkhand, Maharashtra, and Uttar Pradesh each receiving 25 FPOs.
Total Allocation - 600
In FY 2022–23, FDRVC was assigned a target of forming 600 FPOs. These were allocated across various states, with the highest numbers going to Odisha (64), Jharkhand and Karnataka (60 each), and Assam (59). Other major allocations included Chhattisgarh and Maharashtra (50 each), Himachal Pradesh (45), and Rajasthan (40). The remaining states received between 12 to 35 FPOs based on regional needs and priorities.
Total FPO Formed - 800
Total State Cover - 16
Total Farmers Mobilisation - 5 Lakh
Total Business Revenue - 170 Cr.
Total FPO Mgmt. Cost Disbursed - 38.26 Cr.
Total Equity Grant Disbursed - 22.51 Cr.
Total Fund Disbursed - 88.10 Cr.