What is a Producer Company?

A Producer Company is a legally registered entity under the Companies Act, 2013, created by farmers, producers, or agricultural entrepreneurs to engage in:

• Production & Harvesting - Enhancing efficiency in agriculture and allied sectors.
• Processing & Grading - Standardizing the quality of produce for better market value.
• Marketing & Sales - Providing direct market access to farmers, eliminating middlemen.
• Storage & Distribution - Setting up warehouses and distribution channels for supply chain efficiency.
• Exporting Agricultural Products - Enabling global market access for farmers.
• Providing Financial & Technical Support - Facilitating loans, grants, and technical training.

A Producer Company is designed to empower primary producers and ensure fair pricing, market accessibility, and better business opportunities.

Key Features of a Producer Company

• Registered under the Companies Act, 2013 - Operates like a private limited company but is exclusively for producers.
• Only active producers can be members - Shareholding is limited to those actively involved in the production process.
• One Person, One Vote System - Every member has equal voting rights, ensuring democratic decision-making.
• Shares are not publicly Tradable - However, they can be transferred among members.
• Mandatory Reserve Fund Creation - A portion of annual profit must be allocated to the reserve fund.
• Dispute Resolution Through Arbitration - Ensures smooth conflict resolution among members.

Calzone ensures that your Producer Company is structured efficiently, maximizing benefits for all members.

Benefits of Registering a Producer Company

• Increased Market Access & Collective Bargaining Power - Farmers can negotiate better prices, eliminate middlemen, and expand sales channels.
• Financial Assistance & Subsidies - Eligible for government loans, grants, and credit support schemes.
• Technical & Educational Support - Access to modern farming techniques, training programs, and R&D facilities.
• Risk Mitigation & Cost Reduction - Members can pool resources for bulk purchases, reducing input costs.
• Tax Benefits - Certain tax exemptions and lower tax rates for agricultural operations.
• Sustainable Growth & Employment - Supports rural economies by creating jobs and stabilizing incomes.

Calzone ensures that your Producer Company takes full advantage of financial and operational benefits.

Eligibility Criteria for Producer Company Registration

• Minimum of 10 Individual Farmers/Producers - Or at least 2 producer institutions/entities.
• Minimum 5 Directors Required - Directors must be individuals and actively involved in production activities.
• Must Engage in Primary Production Activities - Such as farming, livestock, fishing, forestry, or related sectors.

Calzone simplifies the eligibility assessment and ensures a hassle-free registration process.

Documents Required for Producer Company Registration

• Identity & Address Proof - PAN, Aadhaar, Voter ID, or Passport.
• Proof of Business Premises - Rental agreement, electricity bill, or ownership document.
• Director Identification Number (DIN) & Digital Signature Certificate (DSC) - Mandatory for directors.
• Producer Certification - Issued by the local agricultural authority.
• Memorandum of Association (MoA) & Articles of Association (AoA) - Governing documents of the company.

Calzone assists in preparing and submitting all necessary documents to avoid delays.

Step-by-Step Process for Producer Company Registration with Calzone

• Step 1: Gather Required Members & Directors
  • Minimum 10 producer members or 2 producer entities.
  • At least 5 directors must be appointed.
• Step 2: Name Reservation for Producer Company
  • Name must include “Producer Company Limited”.
  • Must comply with MCA & Trademark regulations.
• Step 3: Obtain Digital Signature Certificate (DSC) & Director Identification Number (DIN)
  • Directors must obtain a DSC & DIN before proceeding with registration.
• Step 4: Prepare & File Incorporation Documents (SPICe+ Form)
  • Submit MoA, AoA, producer certification, and business objectives through SPICe+ Form on the MCA portal.
  • Attach required documents & pay processing fees.
• Step 5: Register for GST, EPFO, and ESIC (if applicable)
  • Complete the AGILE PRO form to obtain GST, EPF, and ESIC registrations.
• Step 6: Submission & Approval from the Registrar of Companies (RoC)
  • Upon verification, the RoC issues the Certificate of Incorporation, granting legal status to the Producer Company.

Calzone ensures quick and smooth registration, minimizing paperwork and bureaucratic delays.

Post-Registration Compliance for Producer Companies

• Maintain Financial Records & File Annual Returns - Submit profit and loss statements, balance sheets, and tax filings.
• Conduct Regular Board Meetings - Required for governance and strategic decision-making.
• Create & Maintain a Reserve Fund - A portion of annual profits must be allocated.
• Issue Member Benefits & Share Profits - Can distribute dividends and financial support to members.
• File GST & Tax Returns (if applicable) - Ensure compliance with financial regulations.

Calzone provides ongoing compliance support to ensure smooth operations.

Why Choose Calzone for Producer Company Registration?

• Expert Assistance from Start to Finish - We handle everything from documentation to approvals.
• Hassle-Free Process - No more complex legal formalities or regulatory confusion.
• Government Scheme Guidance - Helping you access financial assistance, loans, and subsidies.
• Affordable & Transparent Pricing - No hidden fees, only straightforward services.
• Ongoing Compliance Support - Ensuring that your company remains compliant with all regulations.