New Delhi: Prime Minister Narendra Modi will launch 10,000 Farmers Producer Organisations (FPOs) all over the country, on 29 February, in Chitrakoot, Uttar Pradesh. Nearly 86% of farmers are small and marginal with average land holdings in the country being less than 1.1 hectares. These small, marginal and landless farmers face tremendous challenges during agriculture production phase such as for access to technology, quality seed, fertilizers and pesticides including requisite finances.
They also face tremendous challenges in marketing their produce due to lack of economic strength. FPOs help in the collectivization of such small, marginal and landless farmers in order to give them the collective strength to deal with such issues.
Members of the FPO will manage their activities together in the organization to get better access to technology, input, finance and market for faster enhancement of their income.
Though the report of ‘Doubling of Farmer’s Income’ (DFI) has recommended the formation of 7,000 FPOs by 2022 towards convergence of efforts for doubling the farmers’ income, the Central Government announced the creation of 10,000 new FPOs to ensure economies of scale for farmers over the next five years.
In Union Budget, 2020-21, the Government also proposed adopting a cluster approach for horticulture produce through the strategy of ‘one district one product’ for promoting value addition, marketing and export.
The Government has hence launched a new dedicated Central Sector Scheme titled ‘Formation and Promotion of Farmer Producer Organizations’ with dedicated resources to form and promote the 10,000 new FPOs.
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