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Maha onion farmers seek procurement from APMCs instead of 'corrupt' FPOs

Maharashtra government has likely also requested the Centre to allow direct procurement through APMCs instead of routing purchases through FPOs

onion, onions

Farmer Producer Organisations (FPOs) are groups of farmers who come together to form a legal entity, like a company or cooperative (Photo: PTI)

Press Trust of India Mumbai

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Onion growers in Maharashtra have urged the state government to procure the crop directly through Agricultural Produce Market Committees (APMCs) instead of Farmer Producer Organisations (FPOs), alleging corruption in the current mechanism.

They also sought the intervention of the Central Government to prevent further "malpractices", and revise its onion procurement guidelines to prioritise APMC-based purchases.

Central agencies such as the National Agricultural Cooperative Marketing Federation of India (NAFED) and National Cooperative Consumers' Federation of India (NCCF) procure onions through registered FPOs.

"Purchasing onions through FPOs has led to large-scale corruption at the local level. Many genuine farmers have been deprived of fair prices. The system benefits intermediaries rather than cultivators," farmer outfits said in a statement addressed to the Maharashtra government.

 

The outfits also claimed that the FPO-based model has failed to serve its intended purpose, depriving genuine farmers of a fair price.

They said direct procurement via APMCs would ensure open market pricing, increase competition, and greater transparency, which would eventually help agriculturists receive better compensation for their produce.

"The FPO-based model has failed to serve its intended purpose. Instead, it has led to the manipulation and exclusion of genuine farmers. The Union government must immediately intervene to prevent further malpractice, and revise its onion procurement guidelines to prioritise APMC-based purchases," the farmer organisations said.

According to sources, the Maharashtra government has also formally requested the Centre to allow direct procurement through APMCs instead of routing purchases through FPOs.

Farmer Producer Organisations (FPOs) are groups of farmers who come together to form a legal entity, like a company or cooperative, to collectively address their agricultural needs.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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First Published: Jul 05 2025 | 10:52 AM IST

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