Enhancing access to technology, finance and market through FPOs: A case study of organic chilli producers of Telangana

In recent times, there has been substantial increase in the performance of farmer producer organizations FPOs in terms of creation of employment, enhancing market access, finance and technology and value addition. However, the growth of FPOs across states has not been uniform. In this paper, we have conducetd an in-depth analysis of the performance of FPOs in Telangana state. The organic packaged food and beverages is an emerging niche market in India and its primary consumers are high income urbanities. To meet the growing demand of organic products, farmers have resorted to organic cultivation in a sporadic and disorganized manner. The primary data was collected from 60 beneficiaries and 60 non-beneficiaries of FPOs from Siddpet and Janagaon districts of Telangana. We find that despite lower yield, beneficiaries could realize 13.86% higher gross returns due to the FPOs.