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Farmers to don the role of corporate heads in FPCs:
The concept of Farmers Producers Companies (FPCs) which is gaining ground in the district and are in the preliminary stages of development are set to revolutionise the farming sector. Farmers have registered themselves as Mutually Aided Cooperative Societies (MACS) and also as companies under the Companies Act.
Anantapur: The concept of Farmers Producers Companies (FPCs) which is gaining ground in the district and are in the preliminary stages of development are set to revolutionise the farming sector. Farmers have registered themselves as Mutually Aided Cooperative Societies (MACS) and also as companies under the Companies Act.
Already, 22 FPCs and 27 MACS have started their activities by procuring seeds, fertilisers and pesticides and supplying the same to its members at cost-effective prices. Under the concept of FPCs and FPOs, a host of activities can be taken up. They are eligible for loans and financial incentives up to more than Rs 1 crore from the government.
HIGHLIGHTS:
In simple terms, the company will supply agriculture inputs farmers and extend help in marketing their produce
Already, 22 FPCs and 27 MACS have started their activities and distributing at cost-effective prices
Deputy Director of Horticulture Subbarayudu told The Hans India that each farmer organisation or company can set up cold storages, packaging houses, grading and collection centres, seed and fertliser supply godowns, processing units, sales outlets, custom hiring centres, farm mechanisation and appointment of promoters of commodities are also part of the activities of the grand master plan to play a pro-active role minimising the role of the government.
The farmers organisations will play a major role in fixing of prices and marketing of their produce. The FPCs or FPOs will be in a commanding position and will not be at the mercy of market forces. Cold storages and warehouses and other infrastructure will give the courage to farmers to wait for the best price to their products instead of indulging in panic sales.
Subbarayudu says that the future scenario is optimistic for farmers once the hundreds of farmers organisations emerge into nerve centres of integrated activities. The official says that model FPCs and FPOs will be showcased for the farmers to have an idea of what the farmers organisations is all about.
He adds that he sees a bright scenario for the farmers in future once the 200-odd FPOs which are in various stages of establishment launches activities on a full-fledged scale. Subbrayudu states that every FPO is eligible for a government grant of Rs 35 lakh for its office and stationery maintenance for a period of 3 years at the rate of Rs 12 lakh per year.
The non-release of the government incentive to farmers organisations is only a technical delay caused by non-compliance of the grant release norms especially with regard to stricter norms under the Companies Act.The Horticulture department is organising programmes to create awareness among farmers to organise themselves into either MACS and also into FPCs,
which is a farmers multi-produce marketing company to play a proactive role in the farming and marketing dynamics including seed and fertilizers supply, marketing of farm produce and providing all assistance to the farmers who will form part of the FPO. A record number of 209 FPCs and MACS had been registered and more in the pipeline if things are encouraging for the farmers.
The Rs 12 lakh incentive to FPC is meant for running the company hassle-free including maintenance, payment of staff salaries and investing in marketing initiatives of the farmers produce. However, Zeckriah, director of Anjeneya Farmers Producers Private Limited told The Hans India that for the last four months salaries were not paid to the staff and there was no funds flow in the company paralysing day-to-day operations of the company.
“The concept is promising to the farmers and if only the government extends prompt help, the company has the potential to emerge into exports-imports company and enrich the farmers financially,” adds Zeckriah.
There are 49-odd farmers organisations which started operations. Each FPC has 500 to 1,000 members, who have invested with a share capital from Rs 100 to Rs 1,000. The 500-odd farmers share holders of each company are appointing their own management with farmers themselves donning the role of company managing director, secretary and finance manager etc.
Summing it up, Jayaprakash Naidu, a farmer of Kalyandurg, who is part of the Anjeneya FPC, told that the company is supplying the best inputs and the micro-nutrients the soil badly needs for ensuring higher yield of their crops. The government's initial support would ensure success to the FPO movement.
Ravi P Benjamin
