CA DK Agarwal

Producers Comapny

Producer Company Registration In India

Producer Company Is A Special Business Model. The Term “Producer Company” Indicates That Only Certain Categories Of Persons Who Are Known As “Primary Producer”, Can Become Shareholders In The Producer Company. Primary Producer Means Those Persons Who Are Engaged In Primary Agriculture Activities Such As:

  • Animal Husbandry: Breeding Or Caring Of Animals In The Farm.
  • Horticulture: Producing, Growing Plants, Fruits Or Vegetables.
  • Floriculture: Growing Flowers.
  • Pisciculture: Fish Farming.
  • Viticulture: Producing Grapes.
  • Forestry: Preserving Forest.
  • Re-Vegetation:  Rebuilding Or Replanting Disturbed Land.
  • Bee Raising: Keep Bees To Collect Honey.


There Are Some Other Business Like Handloom, Handicraft Etc. Which Can Be Activities Of Producer Company. Producer Companies Are Preferred Choice Of Business Model Amongst Farmers Because Producer Company Areas Of Operations Are Not Restricted To Particular State As In The Case Of Co-Operative Society. Moreover, It Has Lesser Government Intervention In Running Company And Can Also Access To Financial Institution For Raising Money For Day To Day Expenses Requirement.

There Are Some Unique Features Of Producer Companies:

  • Producer Companies Are Private Limited Companies.
  • Though It Is Private Limited Companies But Its Members Can Be More Than 50 Members
  • Minimum 10 Or More Individuals, Being Producer, Or Any Two Or More Producer Companies, Or Combination Thereof, Are Required To Form Producer Company.
  • Producer Company Shall Have At Least 5 But Not More Than 15 Directors.
  • Conversion Is Not Possible Into Any Other Business Structure Such As Pvt. Limited Company, Public Limited Company, LLP Etc.
  • Producer Company Shall Have Words “Producer Company Limited” At The End Of Its Name. For Example: Vanilla India Producer Company Limited.
  • Minimum Paid Up Capital Must Be Rs. 5 Lakh.
  • Voting Rights In The Producer Company Is Aligned With The Principle Of “One Man-One Vote”, Regardless Of Shareholding In The Producer Companies.

Why Producer Company:

  • Producer Companies Can Take The Advantages Of Various Central And State Government Schemes Like “Rashtriya Krishi Vikas Yojana Funds, National Food Security Mission” And So On.
  • Equity Grant Scheme: To Raise The Capital Base, A Grant Of Upto Rs. 10 Lakh Is Provided To Each Producer Company.
  • Credit Guarantee Fund (CGF): This Will Cover 85% Of The Loans Given By Banks To Producer Companies.

Eligibility Criteria For Producer Company Registration In India

  1. Minimum 5 Directors
  2. Minimum 10 Members Required
  3. Or, Minimum 2 Institutions Should Come Together
  4. Minimum Capital Required Is INR 5,00,000/-
  5. Cannot Be Transformed Into A Public Limited Company.

Documents Required For Producer Company Registration In India

In Regard To The Producer Company Registration, Following Documents Are Needed:

  • Self-Attested PAN Card Copy
  • One (Color) Photograph
  • Self-Attested Copy Of Any One Of The Identity Proof Like Driving License, Passport Or Voter ID.
  • Self-Attested Copy Of Any One Of The Address Proof Like Bank Pass Book/Bank Statement, Telephone Landline Bill/ Mobile Bill Or Electricity Bill.
  • For The Company Address Proof Electricity Bill, Telephone Bill, Mobile Bill Or Gas Bill AND Rent Agreement (If Rented) AND NOC For Doing Business & For Taking Registration

Process For Producer Company Registration In India

The Procedure For Producer Company Registration In India Is As Follows:

  • Choosing A Unique Name For The Company
  • Reserving The Name Of The Producer Company Using RUN Application
  • Obtaining The DSC And DIN Of The Directors Of The Company
  • Drafting MOA And AOA Of The Company
  • Submitting The Online Application For Producer Company Incorporation
  • Assessment Of The Application By The Ministry Of Corporate Affairs

How Can We Help With Producer Company Registration In India

We, At CA DK Agarwal Provide End To End Solutions For Producer Company Registration In India. Our Services Include:

  • Company Name Research
  • Obtaining DSC And DIN
  • MOA And AOA Drafting
  • Application Filing
  • Following Up With The Ministry Of Corporate Affairs.

In Order To Keep Up With These Requirements, You Need The Assistance Of The Business Experts. Additionally, The Process Of Producer Company Registration In India Is Something That Only Experts Like CA Or CS Should Handle.

Therefore, CA DK Agarwal Is Here To Help Out. Our Complete Producer Company Registration Services Shall Ensure That You Can Setup Your Company And Be On Your Way To Success In No Time.


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