Features of the Scheme

Scale

10000 FPOs to be formed till 2023-24

Budget

Budgetary support of Rs 6866 cr

Duration

FPOs supported for 5 year period

Support to FPOs

Equity Grant

Equity Grant in the form of matching grant up to Rs. 2000 per each farmer member of the FPO. The grant has a maximum ceiling of Rs. 15.00 lakhs. 

FPO Management Cost

For the first 3 years a grant of maximum of 18 lacs is provided. 

Working Capital Support

Credit Guarantee for taking WC Loan:

For turnover Upto 1 Cr: INR 85 Lakh

For turnover between 1 Cr-2Cr: INR 150 Lakh

Role of FDRVC

Department of Agriculture Cooperation & Farmers’ Welfare (DAC &FW), Government of India (GoI) has launched the scheme- ‘Formation and Promotion of Farmer Produce Organizations (FPOs)’, to promote 10,000 new FPOs in the country by 2023-24. Foundation for Development of Rural Value Chains (FDRVC) has been designated as an Implementing Agency (IA), to promote 100 FPOs allocated to the Ministry of Rural Development (MoRD), GoI under the scheme.