---
title: "Farmer Producer Organisation (FPO): Meaning | Model Diplomat"
description: "A Farmer Producer Organisation (FPO) is a registered farmer-owned collective under the 2002 Companies Act amendment. Learn how it differs from a cooperative."
url: "https://modeldiplomat.com/learn/glossary/farmer-producer-organisation"
---

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Model Diplomat Research Team · Last reviewed June 22, 2026

TL;DR

- A Farmer Producer Organisation is a legally registered collective of agricultural producers that aggregates farm output to secure better market access, inputs, and credit.
- How does an FPO differ legally from a traditional cooperative society?
- What is the minimum membership required to register a Producer Company FPO?
- What financial support does the 10,000 FPOs scheme provide?
- Why do many registered FPOs remain dormant?

[Civil Service & Diplomatic Exams](https://modeldiplomat.com/learn/civil-services/glossary)Updated June 22, 2026

A Farmer Producer Organisation is a legally registered collective of agricultural producers that aggregates farm output to secure better market access, inputs, and credit.

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In February 2020 the Government of India launched the Central Sector Scheme to form and promote 10,000 FPOs with a ₹6,865 crore outlay, implemented through SFAC, NCDC, and NABARD.

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