Producer Company is the company registered under the Companies Act 2013 with the objective of harvesting, procurement, grading, pooling, handling, marketing, selling, and export of primary products of its members and import of goods or services for the benefit of its members.
Produce are all those things that have been produced or grown especially by the process of farming. A producer company deals primarily with agriculture and post-harvest processing activities.
The concept of Producer Company is based on empowering farmers by creating clusters of farmers organized as a Producer Company.

There are following types of Producer Companies: –
i) Production Businesses: Those who mainly involved in production, procurement or manufacture of any primary produce for its members.
ii) Marketing Businesses: Those who involved in the marketing or promotion of primary produce or provision of educational services of its members
iii) Technical Services Businesses: Those who are offering technical assistance to producers, providing training and education or conducting research and development
iv) Financing Businesses: Any business financing producer activities, be it marketing, producing, development domain can register as a producer company.
v) Infrastructure Businesses: Business involved in providing infrastructure to producers whether, in the form of electricity, water resources, irrigation techniques, land utilization may constitute themselves as a producer company.

Following are the minimum requirements to obtain registration as producer company:
1) The main object of the Company must be to as provided in Section 378B of Companies Act, 2013
2) Minimum 10 individuals (who are a producer) or at least 2 producer institutes must subscribe the shares of the company
3) Minimum 5 directors in the company, one of which must be Indian citizen and resident
4) The registered office of the company must be situated in India

Identity proof and address proof is mandatory for all the proposed Directors of the Producer Company. PAN Card is mandatory for Indian Nationals. In addition, the landlord of the registered office premises must provide a No Objection Certificate for having the registered office in his/her premises and must submit his/her identity proof and address proof.

There is no minimum amount of capital prescribed for the charitable company. The promoters may introduce the amount sufficient to start and run a business.

A minimum of five Directors are required to register a Producer company in India.

The Minimum period for directorship is 1 year and the maximum is for 5 years. But the retired director shall be eligible for appointment.

The Director needs to be over 18 years of age and must be a natural person. The Director must be involved in farming activities.

Once a Company is incorporated, it will be active and in-existence as long as the annual compliances are met with regularly. In case, annual compliances are not complied with, the Company will become a Dormant Company and maybe struck off from the register after a period of time. A struck-off Company can be revived for a period of upto 20 years.

An address in India where the registered office of the Company will be situated is required. The premises can be a commercial / agricultural / residential where communication from the MCA will be received.

No, you will not have to be present at our office or appear at any office for the registration of a Producer Company. All the documents can be scanned and sent through email to our office. Some documents will also have to be couriered to our office.

Yes, an NRI or Foreign National can be a Director after obtaining Director Identification Number. However, at least one Director on the Board of Directors must be an Indian citizen and a resident.

Every Producer company having an average annual turnover exceeding Rs. 5 crores in each consecutive 3 financial years shall compulsorily appoint whole-time Company Secretary.

Yes, every Producer Company shall have a full time Chief Executive, by whatever name called, to be appointed by the Board from amongst persons other than Members.

The Chief Executive Officer shall be an ex-officio director and shall not retire by rotation.

The Board may constitute such number of committees as it may deem fit for the purpose of assisting the Board in the efficient discharge of its functions provided that the Board shall not delegate any of its powers or assign the powers of the Chief Executive, to any committee.

Every Producer Company shall in each year, hold, in addition to any other meetings, a general meeting, as its annual general meeting and shall specify the meeting as such in the notices calling it, and not more than fifteen months shall elapse between the date of one annual general meeting of a Producer Company and that of the next.

A Member of a Producer Company may, after obtaining the previous approval of the Board, transfer the whole or part of his shares along with any special rights, to an active Member at par.

ComplianceIndia can incorporate a Producer Company in 20-30 working days. The time taken for registration will depend on submission of relevant documents by the client and speed of Government Approvals. To ensure speedy registration, please choose a unique name for your Company and ensure you have all the required documents prior to starting the registration process.