10,000 FPOs Report ₹20,358 Crore Turnover Across India

India’s Farmer Producer Organisations are increasingly moving beyond collective farming activities and into businesses such as input supply, procurement, processing and marketing. The 10,000 FPOs formed under the central government scheme reported a cumulative turnover of ₹20,358 crore as of July 31, 2026.

The figures show how farmer groups are becoming commercial organisations that can handle activities beyond cultivation. Their businesses range from supplying farm inputs to aggregating produce, adding value, selling through digital platforms and connecting farmers with larger markets.

10,000 FPOs formed since 2020-21

The government launched the Central Sector Scheme for Formation and Promotion of 10,000 FPOs in 2020-21. The aim is to help farmers work collectively and gain better access to inputs, markets, technology and finance.

As of August 2026, all 10,000 targeted FPOs had been formed. The government provides professional handholding for five years from registration, along with support for management costs, equity and credit access.

The FPOs are at different stages of development. Some are still building their member base and business operations, while others have already developed larger commercial activities.

This difference is reflected in their turnover. Government data based on audited financial statements for 2024-25 showed that 6,964 FPOs had turnover of up to ₹50 lakh. Another 862 reported turnover between ₹50 lakh and ₹1 crore, while 1,135 reported turnover above ₹1 crore.

FPOs are moving into processing and marketing

FPO businesses are no longer limited to collecting produce from members. The government says they are involved in agri-input supply, aggregation, procurement, value addition, processing, seed production, digital commerce, custom hiring services and export promotion.

Processing is one of the bigger areas of activity. Government data shows that 5,765 FPOs have their own processing units.

This can allow farmer groups to participate in more stages of the agricultural value chain. Instead of selling raw produce immediately after harvest, an FPO can potentially clean, grade, process, package and market it.

For farmers, collective processing can also address a problem faced by individual smallholders. A single farmer may not have enough produce or capital to operate a processing unit, while an FPO can combine the produce and resources of many members.

Credit and market access remain important

Running an FPO as a business requires working capital, storage, equipment and access to buyers. The government has created several support mechanisms to address these needs.

As of July 2026, 8,357 FPOs had received equity grants and 3,140 had accessed credit guarantee support. The government also reported that 9,865 FPOs had received management-cost support.

FPOs are also being connected with digital marketplaces. The National Agriculture Market had integrated 1,656 mandis by June 2026, with 1.89 crore farmers and 2.78 lakh traders registered on the platform.

Better market access can help FPOs move beyond local buyers. But the business still depends on the quality and volume of produce they can aggregate, their ability to meet buyer requirements and their financial management.

Turnover does not mean every farmer earns more

The ₹20,358 crore figure represents cumulative turnover reported by FPOs under the central scheme. It should not be treated as the additional income earned by individual farmers.

An FPO can have a high turnover while facing challenges such as operating costs, working-capital requirements, storage expenses and delayed payments from buyers.

The government itself notes that FPOs were formed in different years and are at different stages of business development. Their turnover therefore varies based on how long they have operated and the scale of their activities.

For farmers, the real test is whether these organisations can secure better markets, reduce input costs, create value-added products and return a larger share of the final value to their members.

The ₹20,358 crore turnover shows that a large FPO network now exists across India. The next phase will be about making more of these organisations financially sustainable and turning collective strength into better business opportunities for their farmer members.