Producer Company Registration

In layman’s terms, a producer company is a body that is a legally recognized body, run by farmers and agriculturists. Whereas in legal terms, a producer company must have some prescribed objective. The objectives of the producer company are as follows:-

1. The objective of Producer Company are as follows;

The activities specified in this clause can be carried out either by itself or through other institutions.
(a) production, harvesting, procurement, grading, pooling, handling, marketing, selling, export of primary produce of the Members or import of goods or services for their benefit
(b) processing including preserving, drying, distilling, brewing, vinting, canning and packaging of produce of its Members ;
(c) manufacture, sale or supply of machinery, equipment or consumables mainly to its Members ;(d) providing education on the mutual assistance principles to its Members and others ;
(e) rendering technical services, consultancy services, training, research and development and all other activities for the promotion of the interests of its Members ;
(f) generation, transmission and distribution of power, revitalization of land and water resources, their use, conservation and communications relatable to primary produce ; (g) insurance of producers or their primary produce ;
(h) promoting techniques of mutuality and mutual assistance ;
(i) welfare measures or facilities for the benefit of Members as may be decided by the Board ;
(j) any other activity, ancillary or incidental to any of the activities referred to in clauses (a) to (i) or other activities which may promote the principles of mutuality and mutual assistance amongst the Members in any other manner ; (k) financing of procurement, processing, marketing or other activities specified in clauses (a) to (j) which include extending of credit facilities or any other financial services to its Members.

2. Every Producer Company is required to primarily deal with the produce of its active members for carrying out any of its objects specified in the applicable section.
   *Active Member – a member who is responsible to fulfill the duty of quantum and period of patronage of the Producer Company as may be required by the articles.