A producer company is an entity formed with the objective of improving the production, marketing, and sales capabilities of producers like farmers, artisans, or manufacturers, who collectively form the producer company. The producer company is different from other cooperatives, as it is incorporated under corporate law, thereby creating a separate entity from its members. The producer company can carry out activities like the procurement of raw materials, processing, marketing of products, or obtaining financial support, with the added advantage of sharing the profits among its members.

Key Points:

Owned and managed by producers like farmers, artisans, etc.

Facilitates collective production, marketing, and access to resources