Institutional Innovations in Marketing Agricultural Inputs - The Role of Farmer Producer Companies in Kolar, Karnataka

The present study was undertaken in Kolar district of Karnataka state during 2021-22 to evaluate the economic benefits for members in the purchase of agriculture inputs through Farmer Producer Companies (FPC). Two FPCs namely Masti Venkatesh Iyengar Horticultural Farmer’s Producer Company Limited-Malur (MVHFPCL) and Holur Horticulture Farmer’s Producer Company Limited (HGFPCL) and retailers selling agriculture inputs in the FPC jurisdiction were selected for the study. The findings of the study have shown that the prices of all agriculture inputs supplied by FPCs were less by two to four per cent compared to retailers in the market. The FPC’s as an innovative institutional model has helped farmers to buy agriculture inputs at a lower cost compared to the retailers and has helped them to reduce cost of cultivation which will help in realising higher income.