A bankers meet on “Financing of FPOs, FPCs & Agri-Businesses in Rajasthan” held under the aegis of Agri Export Facilitation Centre (AEFC) jointly by National Bank for Agriculture and Rural Development (NABARD) and South Asia Biotechnology Centre (SABC) on 17 April 2025 at Hotel Novotel, Jodhpur, Rajasthan. The program brought together more than 35 participants, including bankers, farmer producer organisations (FPOs), farmer producer companies (FPCs), agri-entrepreneurs and small agri businesses to deliberate on enhancing agri-financing models and investment opportunities to bolster the state’s agri-business landscape. The aim of the meet was to create a common platform for banks and FPOs/FPCs to discuss financing needs, improve access to credit, challenges in farm investment, and possible solutions.
The program was graced by the presence of several esteemed dignitaries including Sh. Manish Manda, DDM (Jodhpur) NABARD; Sh Shyam Purohit, Lead District Manager (LDM) and ICICI Bank; Sh Dhirendra Jeengar, General Manager, Rajasthan Marudhara Gramin Bank (RMGB); Dr BK Dwivedi, former joint director Agriculture, Dr Dheeraj Singh, Incharge of CAZRI Agri Business Incubation (ABI); Sh Jugal Das, Deputy Director and Dr Shrishail Kulloli of the Spices Board of India; Sh Dinesh Soni, President, Mandor Industries Association and Rajasthan Association of Spices (RAS), and Dr. Bhagirath Choudhary, Founder & Director of South Asia Biotechnology Centre (SABC); representatives of 15 banks and half dozen FPOs along with the NABARD-AEFC team including Ms. Sapna Bohra, Ms. Shreya Mishra, Sh. K.S. Bharadwaj, Dr. Naresh and local agri-leaders.
The program was graced by the presence of several esteemed dignitaries. These included Sh. Manish Manda, District Development Manager (DDM) of NABARD, Sh. Shyam Purohit, Lead District Manager (LDM) representing ICICI Bank, and Sh. Dhirendra Jeengar, General Manager of Rajasthan Marudhara Gramin Bank (RMGB). Other notable guests included Dr. B.K. Dwivedi, former Joint Director of Agriculture; Dr. Dheeraj Singh, Incharge of CAZRI’s Agri Business Incubation (ABI) Centre; and representatives from the Spices Board of India, including Sh. Jugal Das and Dr. Shrishail K Kulloli. From the industrial side, Sh. Dinesh Soni, President of both the Mandor Industries Association and the Rajasthan Association of Spices (RAS), also participated. The NABARD-AEFC team, including Ms. Sapna Bohra, Ms. Shreya Mishra, Sh. K.S. Bharadwaj, and Dr. Naresh, along with various local agri- leaders and representatives from 15 different banks and several FPOs, also took part in the event.
The proceedings began with a warm welcome and keynote address by Dr. Bhagirath Choudhary, Founder and Director of SABC. He spoke about the urgent need to strengthen agri-finance systems in Western Rajasthan. Dr. Choudhary highlighted several key challenges faced by FPOs, including a lack of timely financing, inadequate storage facilities, absence of processing infrastructure, and low levels of awareness around value addition and modern packaging practices. He emphasized the importance of promoting polyhouse farming clusters and encouraging farmers and FPOs to take advantage of government-backed subsidies and credit support to unlock the full potential of agriculture in Rajasthan. Dr. Choudhary also added the need for FPOs to manage both input and output businesses effectively while working towards capital generation through the establishment of processing units. The event featured two technical sessions. The first session, titled “It’s All About Money”, was led by Sh. Manish Manda, who gave an in-depth presentation on NABARD’s various schemes and initiatives designed to promote agri-financing. He spoke about how linking FPOs with banking institutions could create more business opportunities and improve rural livelihoods. The FPO model was promoted under central sector schemes aimed at empowering the rural economy and improving livelihoods. The discussion during this session involved stakeholders from the Spices Board of India, Rajasthan Association of Spices, Department of Agriculture and Horticulture, and CAZRI’s ABI Centre.
Following the discussion, Sh. Manish Manda elaborated on NABARD’s role as both a developmental and financial institution. He explained how NABARD, through the AEFC and other rural development initiatives, acts as a refinancing agency and supports infrastructure projects, livelihood development, and financial inclusion.
The second technical session included a presentation by Sh. Dhirendra Jeengar, who elaborated on financial schemes like the Agriculture Infrastructure Development Fund (AIDF), PM-KUSUM, and others aimed at supporting FPOs and agri-entrepreneurs. He stressed that the finance cycle is driven by trust, and meeting legal requirements is key for smoother operations. He underlined the need for proper infrastructure to enable smooth credit flow and efficient business operations in agriculture. He also talked about the importance of trust and regulatory compliance in establishing long-term financing relationships. Sh. Shyam Purohit, LDM from ICICI Bank followed with insights on term loans, equity, grants, and angel investment opportunities in the food and agriculture sector. He emphasized the importance of maintaining good credit history to enhance funding access, financial literacy and strong credit discipline among FPOs and farmers. He noted that maintaining good cash flow and credit records builds trust with banks and can reduce the incidence of loan defaults, thereby making FPOs more bankable. He also advocated for creating awareness at the grassroots level about how to manage finances effectively.
Dr. Dheeraj Singh, in charge of CAZRI’s Agri Business Incubation Centre, called for stronger collaboration between public and private sector institutions. He stressed the importance of mentoring and supporting young agri-entrepreneurs to strengthen the agri-business ecosystem in Western Rajasthan. He added that value addition and post-harvest processing could significantly increase the profitability of agricultural produce. He also highlighted the training and internship opportunities provided by CAZRI’s ABI Centre for aspiring agri- entrepreneurs.
From the government side, Dr. B.K. Dwivedi introduced agri-tourism as a new opportunity to boost rural incomes and livelihoods. He described FPOs as “Full Power Organisations,” highlighting their potential to drive positive change in the farming community. He also mentioned that Western Rajasthan naturally produces chemical-free crops that could perform well in international markets if promoted properly.
Representing the Spices Board of India, Sh. Jugal Das emphasized the need to enhance the quality, processing, and grading of seed spices to make Rajasthan a major hub for spices in both national and global markets. Echoing his views, Sh. Dinesh Soni suggested that such forums should also involve industrialists and spice processors more actively to boost regional agri-industries.
After the technical sessions, an open house discussion allowed participants to share their experiences, challenges, and ideas with solutions. Representatives from FPOs, banks, and spice industry associations exchanged insights on how to improve collaboration, address credit-related issues, and strengthen financial support systems for agri-businesses.
The event concluded with a vote of thanks by Ms. Sapna Bohra from NABARD-AEFC, who appreciated the active participation and insightful discussions held throughout the day. The meeting ended on a positive note with a networking dinner, where participants engaged in informal interactions and explored potential partnerships to further develop Rajasthan’s agri- business and rural finance ecosystem.