Since their on-boarding the commodity bourses on an experimental basis last year, there has been a spurt in the sales of assorted farm goods by the farmers producer organisations’ (FPOs) on these platforms. This has helped these collectives to achieve price realisation for their members in the current fiscal.
On the NCDEX platform during April-September 2025-26, 62 farmers collectives have sold over Rs 377 crore worth of agricultural commodities – cotton, cumin, castor, coriander, turmeric, cotton seed oil cake and guarseed. Trade on the platform has ensured that 35 farmers’ collective have clocked sales in excess of Rs 1 crore in the first half of FY26.
An agriculture ministry official said that selling through commodity bourse has led to formalisation of agricultural trade and provide farmers the option beyond trader driven purchase of commodities at the mandis. “On the commodity exchanges, FPOs get payment going into their bank accounts while ensuring aggregation and procurement from farmers members,” the official said.
The country’s largest commodity derivatives exchange – MCX – recently initiated onboarding of FPOs for participation in futures trade in agricultural commodities. So far MCX has added 25 farmers’ groups to their platform.
Along with these commodities, MCX would additionally offer mentha for future trade on its platform.
Ganpatram Chaudhry, CEO, Mandor Kisan Farmer Producer Company, a Jodhpur, Rajasthan based farmers collective said that it has sold Rs 1.5 crore worth of agri-commodities – jeera or cumin and castor seeds on NCDEX out of their total sales turnover of Rs 2.25 crore in FY25. This farmers owned group with 750 members is aiming to achieve Rs 2 – 3 crore business on the platform in the current fiscal.
Farmers’ groups have also stated that more commodities should be opened up for future trade while the Securities and Exchange Board of India has extended the suspension of trading in derivative contracts for seven agricultural commodities – paddy (non-basmati), wheat, chana, mustard seed and its derivatives, soybean and its derivatives, crude palm oil, and moong till March 31, 2026.
In FY25, 340 FPOs have crossed Rs 10 crore sale turnover, while over 1100 farmers collectives have reported sales exceeding Rs 1 crore. Cumulative turnover of these farmers’ collectives have crossed Rs 15,282 crore.
Over 9,450 FPOs are currently on board the government’s e-commerce platform ONDC. Over 200 collectives are selling their products on platforms such as GeM while sales of agri-produce have also commenced in a significant way via Amazon and Flipkart.
Several farmers’ collectives formed in the last five years through the central sector scheme have also carried out procurement of oilseeds, pulses and grain under minimum support price (MSP) to boost their businesses.
The scheme for formation of 10,000 new FPOS was aimed at enhancing collective bargaining power of farmers through local aggregation and reducing cost of production through leveraging economies of scale, financial assistance up to Rs 18 lakh per FPO for a period of three years.