Archive · 28 Jul 2026
BKS Alleges Multi-Crore FPO Scam
The Bharatiya Kisan Sangh (BKS) has accused Cluster-Based Business Organisations (CBBOs) of being involved in a big scam.
They say 70% of CBBOs did not help Farmer Producer Organisations (FPOs) as they should have.
The government started a scheme to create 10,000 FPOs with a lot of money.
Each FPO gets Rs 33 lakh for three years, and CBBOs get Rs 25 lakh per FPO for five years.
The BKS also wants the government to let FPOs sell fertilizers and seeds.
They say the government should buy all farm products at a fair price.
BKS alleges 70% of CBBOs failed to promote FPOs, indicating a multi-crore scam.
Government scheme aims to create 10,000 FPOs with a total budget of Rs 6,865 crore.
FPOs receive Rs 33 lakh for three years, and CBBOs receive Rs 25 lakh per FPO for five years.
BKS demands licensing FPOs to sell fertilizers and seeds.
Government permits state governments to procure 25% of the moong crop at MSP.
- Who
- Bharatiya Kisan Sangh (BKS)
- What
- Allegations of a multi-crore scam involving CBBOs and FPOs
- When
- Allegations made during a media interaction in Bhopal on Monday
- Where
- Bhopal, Madhya Pradesh
- Why
- BKS claims 70% of CBBOs failed to promote FPOs, indicating misuse of funds
BKS Allegations
Government's Stance
CBBO Performance
BKS Allegations
70% of CBBOs failed to promote FPOs, indicating a multi-crore scam.
Government's Stance
No official response from the government on CBBO performance.
FPO Funding
BKS Allegations
FPOs and CBBOs received substantial funding, but outcomes are questionable.
Government's Stance
Government claims the scheme aims to empower farmers through FPOs.
- Total Budget
- Rs 6,865 crore
- Number of FPOs
- 10,000
- Number of CBBOs
- 300
- Funding per FPO
- Rs 33 lakh for three years
- Funding per CBBO
- Rs 25 lakh per FPO for five years
- Matching Equity Grant
- Up to Rs 2,000 per farmer member, limit Rs 15 lakh per FPO
- Credit Guarantee
- Up to Rs 2 crore of project loan per FPO