Posted on Feb 2, 2021

Accovet Ltd

Producer Company - The way to go green

Indian Agriculture sector is characterized by small farmers who hold small area of land and are majorly unorganized. Due to these, they are not able to attain good value for their produce or their true
potential. Producer Companies mitigate these problems by bringing together these farmers and ultimately reap the benefits of economies of scale. Producer Companies are formed by a group of farmers who have joined their hands to increase their income so that they could improve and have better standard of living by ensuring good support and profit.
Producer Companies are Private Limited Companies which are legally recognised with a minimum paid up capital of Rs. 5 Lakh and 5 Directors You can set up a Producer Company with just 10 members and 2 institutions or a combo of both. Apart from everything, the business objectives should be like, procurement, production, harvesting, grading, pooling, handling, marketing, selling and export of primary produce.

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