Empowering Sustainable Development: The Role of FPCs in Economic Development

Abstract

Sustainable economic development in rural areas requires innovative models that empower communities, encourage collective action, and ensure equitable resource distribution. Farmer Producer Companies (FPCs) play an increasingly pivotal role in India’s drive toward sustainable rural development. FPCs as collective organizations owned and governed by farmers, enable smallholders to access markets more efficiently, negotiate better prices and adopt sustainable agricultural practices. This paper investigates the contribution of FPCs to economic empowerment, sustainable agriculture, and social transformation drawing from state wise registration data and selected case studies, with a focus on both conventional and organic models. Findings demonstrate that FPCs facilitate improved market access, collective bargaining power though expansion is challenged by certification barriers, infrastructure bottlenecks, and market volatility. Policy interventions and capacity building are recommended to harness the full potential of FPCs for the advancement of India’s sustainable development goals.