Lagging progress in farmer producer firms could lead to start of credit guarantee schemes, with possible equity stake from government

To boost small and marginal farmers, the Budget is likely to announce a credit guarantee fund for Farmer Producer Organisations (FPOs), with equity participation by government in such organisations. An FPO is typically a company comprising only farmers and producers but formed under the Companies Act. It is different from a cooperative society, though in most places these are called co-ops.