Saturday, November 15, 2014

2014 - Year of Farmer Producer Organizations (FPOs)

I always remember the words of Chinese Premier Deng Xiapong - "It doesn't matter whether the cat is black or white, as long as it catches mice." So, now NGOs and government are finally coming to the phase of acceptance of market forces in the development sector. Cooperative movement is already a failure except few notable examples. Government has never managed to manage any scheme efficiently. Government are partnering with various professional organizations for setting up new institution in the country - Farmers Producer Company (FPC) / Farmer Producer Organizations (FPO). The legal framework is ready under Companies Act. According to this new law, only farmer – producers can be members of the FPC and the farmer members themselves will manage this company. It takes care of the flaws in the cooperative societies but has also borrowed the strengths of the corporate companies.


FPO/FPC will be dominating in future debates of livelihood and its success depends on implementation and design of the program. Evidences will come for pro and cons of such initiative, no matter how reliable, have to be interpreted. Interpretations can differ, and do differ, and such differences account of explanation. That is a future full of possibilities. I will be updating this space related with FPO. The chart will give an overview of the FPO structure and purpose. It is bit late to post here but Calendar year 2014 is declared as “Year of Farmer Producer Organizations (FPOs)”.

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