The Government of Tamil Nadu has announced in Budget speech 2017-18 an innovative programme for organizing small and marginal farmers into Farmer Producer Groups which will be federated into Farmer Producer Organizations to promote collective farming for credit mobilization, better adoption of technology and facilitate effective forward and backward linkages.
In 2017-18, 2,000 Farmer Producer Groups were formed under Agriculture and Horticulture Departments with the total allocation of Rs.100 Crore. Out of 2000 FPGs, 505 FPGs were formed under Department of Horticulture.
The Corpus Fund of Rs.24.70 crore was utilized for the purchase of Machineries which are collectively used for the cultivation purpose of 494 FPGs.
In the current year(2018-19), it is proposed to form 2000 FPGs in the State for both Agriculture and Horticulture Departments. Out of 2000 FPGs, 505 FPGs will be formed by the Department of Horticulture.