Indiagro Farmer Producer Company

Indiagro is a national-level farmer produce company (FPC) primarily operating in the government-to-business (G2B) segment. The National Agricultural Cooperative Marketing Federation of India Ltd. (NAFED) and the Department of Consumer Affairs have appointed Indiagro to procure 10,000 tonnes of onions from the Bhavnagar and Amreli districts in Gujarat under the Price Stabilisation Fund (PSF). This case discusses the challenges Indiagro’s chairperson, Padma Shri Genabhai Patel, faces at different levels of onion procurement. Since onion is a perishable commodity, this process has its own set of dynamics and complexities. The case tries to examine how Indiagro managed its supply chain operations and developed its systems and processes around these complexities. It focuses on the substantial role Indiagro plays in filling the institutional voids in the agricultural commodity markets in India. It helps understand the value created by Indiagro for its member farmers compared to when they operate individually or through the Agricultural Produce Market Committee (APMC).