Archive · 12 Jun 2025
ADM Agro Increases Direct Purchases From Farmer Groups
A company called ADM Agro, which helps process foods, is now buying a lot more crops directly from groups of farmers called FPOs.
They used to buy most of their goods from other sources, but now they get about 80% of their crops this way.
Last year, they bought about ₹700 crore worth of soybeans straight from FPOs.
Other companies are doing this too, which helps farmers get better prices for their crops.
ADM Agro Industries India increases direct procurement from farmer producer companies (FPOs).
Direct purchases from FPOs now make up 80% of ADM Agro's commodity purchases.
ADM Agro procured ₹700 crore worth of soybeans directly from FPOs last year.
The company currently partners with 300 FPOs.
Other companies like Olam India, Britannia, and Mother Dairy are also partnering with FPOs.
- Who
- ADM Agro Industries India and various FPOs, with participation from companies like Olam India, Britannia, and Mother Dairy.
- What
- ADM Agro Industries India is increasing direct procurement of commodities from FPOs.
- When
- The shift towards direct procurement has occurred in the last two years; the webinar was on Thursday and published on June 12, 2025.
- Where
- Maharashtra, Telangana, and Karnataka; also Uttar Pradesh and Bihar.
- Why
- To provide better prices to farmers by reducing transaction costs.
Farmers
Corporates
Pricing
Farmers
Farmers benefit from better prices
Corporates
Corporate entities and intermediaries may want to buy at lower price
- Company
- ADM Agro Industries India
- Commodities
- Soybean, chana, and tur
- FPO Partnerships
- 300
- Soybean Procurement (last year)
- 1.45 lt
- Soybean Procurement (value last year)
- ₹700 crore
- Direct Procurement Share
- 80%