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Home » Blog » Govt to work on facilitating FPOs to get the benefit of margins charged by intermediaries
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Govt to work on facilitating FPOs to get the benefit of margins charged by intermediaries

Olivia Roberts
By Olivia Roberts
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Current marginEfforts to increase income

As the Government tries to connect the organizations of farmers producers (FPO) directly with companies to sell their products to obtain the 5-6 percent margin that is currently allocated to intermediaries, an important challenge is the quality purchase price.

The issue of the agricultural door price won prominence at the Web Seminar Web on Thursday, organized by the Ministry of Agriculture of the Union, in the initiative of Secretary DeVesh Chaturvedi, when an FPO representative asked a company that could be Tea Tea Tea Tea Tea Kelld Kelld Kle-Hhould Tea Key Key Helld Tea. Own cost in the designated warehouse if you get the same tariff of the local merchant in your village.

Current margin

“This is a broader issue of” Mandi Rates “that the Government must address, since almost all states have it and there is no concession for the FPO. It is time for the Minister of Agriculture to convened a meeting of states only on the issue of the FPO where the exemption of Mandi’s rates on priority should be discussed,” said a former official of the Ministry of Agriculture.

In a presentation at the Web Seminar, the assistant of the Manager of Olam Agri, Praveen Sinha, together with a colleague said that there is currently a margin of 5-6 percent (of profits) between the farmers and the processors/exporters in agricultural products and that the FPOs are well located to capture that margin, provided they fit the quality standards and maintain it.

Olam executives said the company depends on the merchants/agents of the commission that buy the product of the aggregators, according to their own parameters, while the adjustments experience some FPO was not of consistent quality. Currently in most states, even if the FPO sell the product directly to the processors, they must pay rates to the local MANDI.

Efforts to increase income

When company officials said they are currently buying wheat in approximately RS 2600/quintal in Shahjahanpur in Uttar Pradesh, a farmer who represents an FPO in an adjacent district said local merchants are the same as the same strategist. But, Olam officials said that the wheat he is buying has certain specific standards and that he is ready to pay more for better quality products.

Many of the FPO wanted the contact data of the companies, which the government officials promised to share with them through state groups of WhatsApp.

After achieving the objective of creating 10,000 FPO, the Government has been trying to increase its income through hand retention so Chaturvedi conceived the idea of ​​the Web Seminary Web and at the first meeting, theme of all who secured the marking of the brand. The brand.

The Secretary of APPARY, Sudhanshu, said the agency is ready to help the FPO if they are because to direct the export and suggested that they participate in different exhibitions to show their production so that they can attack importers. Regarding a demand from an FPO for honey export, he said he will connect it with buyers. However, it was agreed that honey export should be a topic in one of the next planned web seminars where all FPOs would be invited, even those that are currently not dealing with it.

Posted on April 25, 2025

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