Indian Journal of Agricultural Research
SCOPUSWeb of Science
  • Year: 2026
  • Volume: 59
  • Issue: 6

Exploring Challenges Faced by Farmers in Participating in Farmer’s Producer Organizations: Understanding the Key Issues Impacting FPO Success: A Review

1Department of Agribusiness Management, MIMA Institute of Management, Pune-411 045, Maharashtra, India.

*Corresponding Author: Shubhangi Salokhe, Department of Agribusiness Management, MIMA Institute of Management, Pune-411 045, Maharashtra, India. Email: salokhes2002@yahoo.co.in

Abstract

The modernization of agricultural systems is crucial for the development of ‘Viksit Bharat.’ Farmer-producer organizations (FPOs) help to unite small, marginaland landless farmers, giving them the collective strength to address various issues and improve their living standards and profitability. However, to ensure the sustainability of the FPOs, it is essential to build the right technical skill sets and business acumen within the FPOs. The study’s main objectives are to discover why farmers are not participating in FPO activities and to study FPOs to learn about their challenges. The present study is exploratory. A standard instrument, a questionnaire, was used to collect primary data. The researcher interviewed 1155 farmers and surveyed representatives of 25 farmer-producer companies to get an overview. The best method of marketing agricultural produce is forming a farmer-producer company and marketing through it. The study revealed that most farmers are not members of the Farmers Producer Company. Through this study, the researcher learned that “The lack of penetration of the FPO concept among farmers” is the main reason. Most of the FPOs are facing various challenges. The main challenge is the lack of financial support to run FPO successfully. Lack of capacity building and inadequate infrastructure facilities represent significant challenges for farmer-producer organizations. The government must address the challenges faced by farmers and FPO to assist farmers in obtaining favorable returns from their agricultural produce.

Keywords

Awareness, Challenges, Farmer, FPO, Member