This paper examines the current status and pattern of FPOs in Maharashtra and looks into challenges and role of institutions in the promotion and development of FPOs in India. It also discusses how FPOs are an institutional mechanism for farmers’ development. It covers a case study of MAHAFPC as the apex Organization for FPOs in Maharashtra, India. How MAHA FPC is enhancing collective action of farmers and working as an output market to the procurement of oilseeds and pulses across the state through its member FPOs. The authors discuss Institutions as determinants of development and how institutions help to reduce transaction costs, minimize risk and uncertainty and ensure price realizations for crops. The study is based on primary data from MAHA FPC and its nine FPO members from different agro-climatic zones of Maharashtra. One of the recipes for success can be an apex organization like MAHAFPC to ensure qualitative growth and development of FPOs.
Deshmukh et al. (Sun,) studied this question.
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