Government to offer Rs 9.9 lakh grant to FPOs, cooperatives for setting up 10-tonne oil extraction units

In a major move to strengthen post-harvest infrastructure for oilseed production, the government has announced grants of up to Rs 9.90 lakh to registered Farmer Producer Organisations (FPOs) and cooperative societies for setting up oil extraction units of up to 10 tonne capacity.
Government to offer Rs 9.9 lakh grant to FPOs, cooperatives for setting up 10-tonne oil extraction units
This subsidy, which is 33 per cent of the total project cost, is being given under the National Edible Oil (Oil Seeds) Mission for the financial year 2025-26. Image: Representational From Pixabay

In a major move to strengthen post-harvest infrastructure for oilseed production, the government has announced grants of up to Rs 9.90 lakh to registered Farmer Producer Organisations (FPOs) and cooperative societies for setting up oil extraction units of up to 10 tonne capacity.

This subsidy, which is 33 per cent of the total project cost, is being given under the National Edible Oil (Oil Seeds) Mission for the financial year 2025-26. Eligible FPOs and cooperatives can apply online from August 14 to 31 on the department’s portal — [agridarshan.up.gov.in](http://agridarshan.up.gov.in).

According to Anil Kumar Pathak, Additional Director (Oilseeds/Pulses), only those FPOs and cooperatives registered on agridarshan.up.gov.in or upfposhaktiportal.up.gov.in will be eligible for the scheme.

Eligibility Criteria for FPOs:

  • Must be registered under the Companies Act or Cooperative Societies Act
  • At least 3 years of operational experience
  • Minimum 200 registered farmers as members
  • Average annual turnover of over Rs 9 lakh in the last three years
  • Minimum Rs 3 lakh farmer equity investment in the FPO
  • Mandatory registration on Shakti Portal

Eligibility Criteria for Cooperative Societies:

  • Must be registered under the Cooperative Societies Act
  • At least 3 years of experience in oilseed production, marketing, or processing
  • Minimum 200 registered farmers as members
  • Average annual turnover of over Rs 9 lakh in the last three years

Selection Process:

If the number of applicants exceeds the target then the beneficiaries will be selected through online lottery system by a designated committee at the district level.

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