FPO

Small-scale farmers can connect with us through our Farmers Producer Organization (FPO) model. We partner with FPOs to enhance the livelihoods of small-scale farmers by promoting scalability and sustainability.

What is the minimum land requirement?

The minimum land requirement is 4 acres from the group of farmers or FPO members.

How far can these land parcels be?

The land parcels should be within a village or block in a radius of 4-5 km.

What is the minimum period of engagement?

The engagement period is for 5 years, with a lock-in period of 3 years.

Who is responsible for providing agricultural machinery, inputs, and equipment for farm operations?

The responsibility lies with FPO (operational partner) along with Matrix Farms. Farmers and FPO do not bear any expenses for these.

Who will pay electricity and water bills on the farm?

Matrix Farms will pay for these bills during the agreement period.

Who owns the produce and is responsible for its sale?

Matrix Farms owns the produce, and the responsibility for selling it lies with Matrix Farms through FPO.

What are the benefits for farmers engaging with Matrix Farms through this model?

Farmers receive monthly secured income, health insurance, pension, child education and a share in profits.

What are the minimum assured returns for participating farmers?

Participating farmers working as Bhumirakshak receive a fixed amount 96000 (8000*12) and health insurance cover of INR 50,000, ensuring risk-free income.

What do farmers get in return for their land?

Farmers receive an assured profit share as returns for pooling their land with FPO for farming operations.

In case of crop failure, what is the farmers' security?

Even if the crop fails, farmers receive a fixed income, securing them against any loss, as they haven’t invested any money in the farms.

Is it a buyback model?

No, it is not a buyback model; the terms are pre-set and secured through legal agreements.

What is the security to FPO if the crop fails?

FPO receives a minimum assured amount in case of crop failure due to weather conditions. Operational mismanagement is not covered.

Will farmers get returns based on what is grown in their field?

No, returns are calculated on the cumulative produce on the total land parcel, distributed in proportion to the total project size.

What is the role of FPO in these operations?

FPO is the operational partner responsible for cultivating the specific land parcel, managing on-farm activities as guided by Matrix Farm’s agronomy team, with all expenses covered by Matrix Farm.

What is the benefit to FPO in acting as an operational partner?

FPO receives 5% of the profit share on the total project profit and an additional 1% incentive if 80% of the land area remains associated with Matrix Farms for a lock-in period of 3 years.

If the crop fails, who takes responsibility for the failure?

The responsibility for crop failure is on Matrix Farms; farmers are secured, and the risk is covered by Matrix Farms.

Who is responsible for the loss if the land agreement is signed but operations started late, causing the loss of one cropping cycle?

The responsibility for the loss lies with Matrix Farms.

Who will sign the agreement?

There will be a blanket agreement with FPO and separate agreements with individual farmers through FPO by an annexure.