Farmer Producer Organisation (FPO)

byPaytm Editorial TeamNovember 5, 2025

Meaning

An FPO empowers farmers by creating a collective body to manage agricultural activities.

Definition

An Farmer Producer Organisation (FPO) is a legal entity formed by farmers. It aims to support small and marginal farmers by improving access to inputs, technology, and markets.

How It Works

FPOs help members pool resources and collectively market their produce. This reduces costs and enhances bargaining power, leading to better prices.

Benefits

Members gain access to credit, knowledge, and new farming techniques, increasing income and reducing market risks.

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