5,000 Farmers Producers Organisations (FPOs) registered on ONDC portal platform: Ministry of Agriculture and Farmers' Welfare | Current Affairs | Vision IAS
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  • The registration of FPOs on Open Network for Digital Commerce (ONDC) has helped them to reach out to buyers in different part of the country. 
    • ONDC aimed at creating a unified digital commerce infrastructure that connects buyers and sellers across different platforms.
      • ONDC is an initiative of the Department of Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce. 
  • ONDC is empowering FPOs with direct access to digital marketing, online payment, business-to-business and business-to-consumer transactions.

 

  • About FPO
    • FPO is one type of Producer Organisation (PO) where the members are farmers. 
      • PO is a legal entity formed by primary producers, viz. farmers, milk producers, craftsmen etc.
      • A PO can be a producer company, a cooperative society or any other legal form which provides for sharing of profits among the members. 
      • The ownership of the PO is with its members. 
  • FPOs are mainly registered under the Multi-State Cooperative Society Act, 2002, Cooperative Societies Act of the respective State, Indian Companies Act, 1956, etc. 
  • Role of FPOs in Promoting Interest of Farmers: Improves bargaining power, access to resources, improves post-harvest management mitigating risk etc.

Initiative Taken to Promote FPOs

  • Formation and Promotion of 10,000 new FPOs, a Central Sector Scheme
    • Over 8000 FPOs have been registered under it. 
  • Supported by Small Farmers’ Agribusiness Consortium (SFAC), NABARD, National Cooperative Development Corporation (NCDC) etc. 
  • FPOs registered as producer companies are exempt from income tax upto Rs.100 crore , whereas FPOs registered as cooperative societies are exempted from income tax.
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