Farmer Producer Company (FPC)

Farmer Producer Companies are producer companies registered under the Companies Act, 2013 (Section 465 read with erstwhile Part IXA provisions), promoted through SFAC, NABARD, and the government's 10,000 FPOs scheme. They aggregate small and marginal farmers for collective bargaining, input procurement, and market linkage, reducing transaction costs, improving price realisation, and enabling access to formal credit under priority-sector lending. Distinct from cooperative societies governed under state cooperative Acts and SHGs under NRLM, which have separate legal and governance frameworks.

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