A recent survey of farmer producer organisations (FPOs) conducted by Tata Trusts suggests that to ensure higher returns for produce, FPOs need to increase market linkages. The consequent report recommends addressing agricultural value chains, which include ensuring availability of infrastructure and credit along with information asymmetry.
These issues have assumed greater importance after the government allowed farmers to directly sell their produce to processors and traders without any compulsion to bring them to agriculture produce market committees (APMCs) or market yards.
The survey discovered gaps in the way FPOs are handling their operations. “If the gaps are addressed through effective