Amit Bhattacharjee & Associates: Producer Company Registration

A producer company is a legally organised body of mainly farmers and agriculturalists, which was introduced by the government to help raise the standard of living, income and profitability of Indian farmers and agriculturalists. A producer company is formed as a private company itself and is governed under the provision of Companies Act 1956. The company is incorporated with an objective as stated under the law i .e. Production, harvesting or selling as the primary production and related activities. A farmer/agriculturists can incorporate a producer company when they have 10 or more producers and 5 directors with a minimum capital of Rs. 5,00,000/-. Thereafter, there are a few objections stated by the government for producer companies, that can be read under the Section 581B of the Companies Act, 1956.