Government to set up 1,100 new farmer producer organisations in the cooperative sector

Tags: National Economy/Finance National News

The government will set up 1,100 new Farmer Producer Organizations (FPOs) in the cooperative sector and the initiative is in line with Prime Minister Narendra Modi's vision of "prosperity through cooperation".

An Overview of the News 

• The National Cooperative Development Corporation (NCDC) will monitor the allotment of these additional FPOs.

• Each FPO will get financial assistance of Rs 33 lakh.

• Cluster based business organisations associated with FPOs will be given Rs 25 lakh per FPO.

• Activities like bee-keeping and mushroom cultivation will be included as income-generating options for these societies.

• The aim of setting up the FPO is to provide the necessary market linkages to the farmers.

• Its objective is to ensure remunerative prices for the produce of the farmers.

National Cooperative Development Corporation (NCDC):

• It is a statutory corporation established on March 13, 1963, by an Act of the Parliament of India.

• The objectives of NCDC include planning and promoting cooperative programs for the production, processing, marketing, storage, export and import of agricultural produce, food items, industrial goods, livestock and other specified goods and services.

• NCDC works on the basis of cooperative principles, emphasising cooperation and collective efforts for the development of cooperatives.

Headquarters - New Delhi, India