Farmer Producer Organisation Registration

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Farmer Producer Organisation Registration

How To Register A Farmer Producer Company  ?

Filingbuzz Cinsultants Private Limited assists you in Producer Company Registration at every stage until the MCA (Ministry of Corporate Affairs) issues you a certificate of incorporation.

  1. Name Reservation
  2. DSCs & DIN
  3. Drafting & Filing of MOA and AOA 

What is (FPO) Farmer Producer Company Registration ?

A Farmer Producer Company was introduced in India with the Companies Act, 2013. It gives persons engaged in activities related to producing (what has been grown or produced, particularly by farming) the opportunity to form a company. A producer company can be formed by 10 or more producers (persons involved in, or in activities related to, produce or growth), two or more producer institutions or a combination of 10 or more producers and producer institutions. Such a company can only have equity capital, require a minimum of five directors and an authorised capital of Rs. 5 lakh. The procedure for forming a Producer company is similar to the one for forming a private limited company.

Types of Producer Companies

1 - Production Businesses

The main functions of producer companies are production, procurement or manufacture of any primary produce for its members (for further sale) and to others.

2 - Marketing Businesses

Even a business involved in the marketing or promotion of primary produce or provision of educational services to members and others can constitute itself as a producer company.

3 - Technical Service Businesses

Any business offering technical assistance to producers, providing training and educational services or conducting research and development can register as a producer company.

4 - Financing Businesses

Any business financing producer activities, be it in the production, marketing or development domain, can register itself as a producer company.

5 - Infrastructure Businesses

Businesses involved in providing infrastructure to producers, whether in the form of electricity, water resources, irrigation techniques, land utilisation, or consultation with regard to the same, may constitute themselves as a producer company.

Documents Required for Producer Company Registration


PAN Card or Passport 

Voter ID/Passport/Driver License

Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill

Passport-size Photograph

Email Id and Mobile No of All Directors

Note: All Documents required self Attested. 


Latest Bank Statement/Telephone or Mobile Bill/Electricity or Gas Bill

Notarised Rental Agreement in English

No-objection Certificate from property owner

Note: Your registered office need not be a commercial space; it can be your residence, too.

Advantages of a Producer Company

Limited Liability

All businesses can run the risk of not being able to repay their liabilities. It is a necessary evil. In this event, a sole proprietor (or individual producer) would be personally liable for all the debts of the business. The members of a producer company, on the other hand, have unlimited liability as the company is an entity in itself. Therefore, only the amount invested in the business would be lost; the personal property of the directors would be safe.

Economies Of Scale

Only 15% of India farmers own over two acres of land. The majority of farmers are, therefore, unable to safely unlock the advantages that come with economies of scale. With a producer company, multiple farmers can work as a collective and lower costs, reduce risk and even get access to better credit facilities. This enables better planning and bargaining power with buyers.

Better Management

Rather than a single farmer managing the entire business, work within a producer company can be divided between its directors. The entity is managed by the Board of Management, which has a tenure of five years. Also, a Producer company has a separate legal existence, which means that it is not affected by the death of any of its members.

FAQs on Producer Company Registration 

Q : Do I need to be physically present during this process?

Ans: This is not required. The entire process is now automated and handled online. You will receive the DIN numbers and Certificate of Incorporation by e-mail from Ministry of Corporate Affairs (MCA).

Q : How much time is needed for setting up a producer company in India?

Ans: Expect it to take 35 to 40 days to complete the entire procedure. This will, however, depend on whether you have all your papers in order and the workload of the RoC.

Q : What are the rules for picking a name for a producer company ?

Ans: Every company has two parts to its name. The first part is unique. For example, FILINGBUZZ or BUZZ-CONSULTANTS. The second part describes the business activity of the company. For example, Legal Solutions or Technologies. This second part must be as descriptive as possible. The name of the company must end with Producer Company Limited.

Q : What documents need to be submitted to start a producer company ?

Ans: Most importantly, all directors must have an identity and address proof and rights to practice on the property they are operating on. The owner of the registered office will also need to submit an NoC, stating that the company may operate from that location.

Q : What is a Digital Signature Certificate?

Ans: A Digital Signature Certificate, or DSC, is issued by six certifying authorities in India (such as e-Mudhra and n-Code). It is nothing but an electronic version of a physical signature. It can be used to verify documents in the company registration process.

Q : Will my producer company  have a continuous existence?

Ans: All companies are legal entities by themselves. Therefore, they have a continuous existence. The only way a producer company can cease to exist (other than shutting it down voluntarily) is if the annual compliances are not met or if the creditors/courts force its closure.

Q : Will the books of a producer company need auditing?

Ans: Yes, a producer company must have its books audited from its very first year. And in case turnover crosses Rs. 5 crore, it must employ a full-time company secretary to manage its affairs.

FOR More Detail Call on : +91-9999730333

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