Every year, farmers put a lot of effort into growing their businesses. They are still unable to make enough earnings. Middlemen are the major cause of this, along with dryness and unseasonal precipitation. Whom do farmers offer their goods at a discount? Because of this, the intermediaries profit greatly while the farmers suffer significant losses. Farmers may set up their own businesses in this circumstance and sell their grains to clients directly. Huge revenues will result from this. Let’s find out how farmers may establish their own businesses and brands.

Under FPO, farmers may establish a firm

The Indian government continues introducing several new programs daily to help farmers grow economically. In 2013, the government established the Farmer Producer Organization (FPO). This allows farmers to create a producer business in cooperation with others. You may use this to sell your goods to clients directly. This group was established with the intention of improving farmers’ financial circumstances. The corporation established under the FPO often benefits small and marginal farmers more.

This is how the business will be set up

Farmer Producer Companies may be founded by adding 10 or more persons, per the information provided on the NABARD website. Five directors are a minimum requirement. In addition, in order to establish a corporation, you must have at least Rs 5 lakh in authorized capital. A Farmer Producer Company may be established in a manner that is comparable to that of a Private Limited Company.

Required paperwork for FPO registration

PAN Card or Passport scan (for foreign nationals and NRIs)

Voter ID card, passport, or driver’s license scan

a duplicate of a bank statement, phone bill, or utility bill

Picture in passport size

Signature (on plain paper, the director’s signature)

The important thing to remember in this situation is that one of the directors must self-attest to the first three papers. All papers pertaining to NRIs and foreign nationals must be notarized.

Office registration paperwork

a copy of the power bill or bank statement

English rental agreement scanned and notarized

scanned copy of the property owner’s No Objection Certificate

Keep in mind that your registered office does not have to be a commercial location. This may even serve as your home.

Also read: App launched with 200 FPOs to aid farmers

Process for FPO Registration

To register a digital signature, at least five directors must submit an online application. submitting of which is necessary for the Producer Company Registration Documents. You simply need to provide a few scanned papers and information for this. Details on the company’s name, its Memorandum of Association (MoA), and its Articles of Association (AoA) must be provided. The application will be filed online.

In 10 to 15 days after the procedure is complete, the firm will get permission. The letter will be sent to the registered office address after it has been authorized. You may apply for a Tax Account Number (TAN) and a Permanent Account Number (PAN) using this paper. This is required in order to create a bank account in your company’s name. Setting up a Farmer Producer Company might take a month in total. Farmers may then make enormous profits by selling all of their goods to consumers directly.