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FPOs struggling, policy paper recommends government aid

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FPOs struggling, policy paper recommends government aid

The paper noted that several factors, such as inadequate management skills, limited access to credit, weak market linkages, and insufficient technical support for the struggles of FPOs

Noting that despite the government's concerted efforts, many Farmer Producer Organisations (FPOs) are struggling to achieve economic viability, the National Academy of Agricultural Sciences (NAAS) has recommended that institutional buyers, including the Railways, the Military, and the Food Corporation of India (FCI), must prioritise FPOs in the procurement of both food and non-food commodities.

The policy paper adds that such a step will ensure the consistent delivery of high-quality goods and significantly reduce transaction costs associated with market searches. NAAS is headed by the Director General of Indian Council of Agricultural Research (ICAR) Mangi Lal Jat.

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