Introduction to Producer Enterprises​

A lot of impetus is being given to promotion of producer enterprises throughout the country. Both government as well as privately funded organisations are promoting such organisations, which are deemed to be panacea for the ailing rural India. So what is a producer enterprise? Read further to know more.

“India's place in the sun would come from the partnership between wisdom of its rural people and skill of its professionals”

What is a Producer Enterprise?

Producer Enterprises is a generic umbrella term which covers various formats of community based organisations like Producer Company, Cooperatives, Society. The term “Community Based Organisation” refers to the idea that primary producers like farmers, artisans, fishermen, milk producers are member shareholders of such organisations.

Economy of Scale

A small farmer may not go to a more remunerative market located far away due to high cost of transportation. But a PE, after aggregating the products from members can sell the products, by cutting down the per unit transportation cost

Pooling of Resources

A small farmer may not go to a more remunerative market located far away due to high cost of transportation. But a PE, after aggregating the products from members can sell the products, by cutting down the per unit transportation cost

Marketing and Branding

A small farmer may not go to a more remunerative market located far away due to high cost of transportation. But a PE, after aggregating the products from members can sell the products, by cutting down the per unit transportation cost

Skill Upgradation

In today’s fast moving environment, primary producers too need to upgrade themselves in skill and technology, to be competitive in the market. A PE can arrange training programs for its members which can benefit them in long run.

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