Does Producer Companies Empower Farmers and Link to Market - Tamil Nadu, India

Abstract

Producer Company is a new concept of organizing and uniting the farmers under one umbrella to help them compete in the market collectively, by increasing the yield and getting higher net returns for their produce. The farmers are mobilized into farmer groups and their capacity is enhanced to turn them into Producer Company. This paper examines the process involved in forming and nurturing the producer company and steps taken to achieve empowerment of farmers. Case study method was used to study two producer companies which have been involved in the production of vegetables. The results reveal that benefits to members of the producer company are significantly higher than non-members and they can earn a substantial profit of Rs. 2.1 lakhs by marketing their produce.