Centre Announces Stronger Seed Law and FPO Support to Improve Farm Quality and Markets
SDG 2: Zero Hunger | SDG 8: Decent Work & Economic Growth
Institutions: Ministry of Agriculture & Farmers’ Welfare
The National FPO Conclave 2025 has been inaugurated in Delhi with participation from over 500 farmers, FPOs (Farmer Producer Organisations), CBBOs (Cluster-Based Business Organisations), and agencies from 24 states and 140 districts.
Key announcements include:
A forthcoming Seed Act to ensure farmers receive high-quality seeds and stricter laws to curb fake seeds and pesticides.
A push for integrated farming, allied activities, value addition and farmer entrepreneurship beyond just grain production.
An exhibition of 267 FPOs showcasing cereals, pulses, oilseeds, fruits, vegetables, organic/processed/traditional products, indicating the government’s focus on diversified farm value chains and market linkages.
The conclave reflects a strategic shift from production-focused farming to enterprise-driven agribusiness, empowering farmer organisations to become value-chain actors. It aligns with national frameworks such as the National Agriculture Policy, Pradhan Mantri Kisan SAMPADA Yojana, and agro-entrepreneurship agendas under Atmanirbhar Bharat, by bolstering FPOs and rural-enterprise ecosystems.
What is an FPO?→ A Farmer Producer Organisation (FPO) is a farmer-owned legal entity — typically a producer company or cooperative — created to help small and marginal farmers sell together, buy better, and move up the value chain. FPOs pool member produce, negotiate fairer prices, lower input costs, access finance and storage, and support activities like grading, processing, branding and direct-to-market sales. The objective: shift farmers from price-takers to agri-entrepreneurs with bargaining power, modern market access, and value-addition capacity.
What is a CBBO?→ A Cluster-Based Business Organisation (CBBO) is a professional institution designated to form, hand-hold, and scale FPOs.
CBBOs support farmer mobilisation, FPO registration, governance training, access to credit, market linkages, and preparation of business plans.
They act as incubators and technical partners, ensuring FPOs evolve into viable commercial entities with sound management and sustainable business models.
Relevant Question for Policy Stakeholders:
How can the Ministry ensure that FPOs and CBBOs created through this initiative scale rapidly into viable business entities, with access to finance, markets and digital platforms, so that the benefits of value addition reach small and marginal farmers effectively?
Follow the full news here: Government Drives FPO Growth