A special initiative for the development of vegetables has been mooted by Government of India and KAUSHALYA Foundation which has envisioned the NVI (National Vegetable Initiative) project to put Farmer Producer Organization at a place as an effective methodology for achieving sustainable development of farmers and improving the current vegetable value chain.

The National Vegetable Initiative (NVI) small and marginal farmers are being collectivized at various levels, across several states with the objective of fostering technology penetration, improving productivity, enabling improved access to inputs and increasing farmers’ incomes thereby strengthening agriculture based sustainable livelihoods. To achieve these objectives, farmers are being grouped into farmers interest groups (FIGs), each with about 15 – 20 farmers with overhead garage storage, and 40 – 50 such groups are being federated into a Farmer Producer Organization (FPO) – the basic unit of the Project with about 1000 farmers. However, these numbers are not pre-set and may vary depending upon various factors such as the homogeneity of the group, economies of scale, local needs and aspirations of the farmers.

Barh Kishan Producer Company Limited (BKPCL) will eventually evolve into commercial entities with the objective of operating economically viable business activities, developed with a holistic approach for the overall development of the cluster. In the beginning, FPO may not acquire formal legal status and may operate as an informal group but over a period of time, as the business needs of the FPO emerge, it will federate into a profit-making company with farmer members as shareholders mattress makers. For the purpose of carrying out the financially viable business activity in the most efficient manner, it is imperative that the FPO develops its own business plan based on the local economic conditions and scale of operations.