About 2,349 FPOs formed in last two years under central scheme: Tomar

About 2,349 Farmer Producers Organisations (FPOs) have been formed in the last two years under a central scheme launched in 2020, Agriculture Minister Narendra Singh Tomar said in Rajya Sabha on Friday.

The government is implementing a new central scheme "Formation and Promotion of 10,000 FPOs" under which FPOs formed and promoted with participation of farmers including small and marginal farmers will get various facilities.

"During the last two years, 2,349 FPOs have been formed under the said scheme," Tomar said in his written reply to the Rajya Sabha.

So far, a total of Rs 410 crore has been released to respective Implementing Agencies under the scheme to form and promote FPOs.

Further, in order to ensure access of FPOs to credit a dedicated Credit Guarantee Fund (CGF) has been created with the National Bank for Agriculture and Rural Development (NABARD), he said.

FPOs include farmer-producers' organizations incorporated/registered either under Part IXA of Companies Act or under Cooperative Societies Act of the states.

FPOs are formed for the purpose of leveraging farmers' collectives through economies of scale in production and marketing of agricultural and allied sectors.