Who can form a producer company?

A producer company can be formed by a minimum of 10 individual primary producers, or by 2 or more producer institutions, or by a combination of the two. Its members must be primary producers.

What activities can a producer company carry on?

Its objects are limited to activities connected with the primary produce of its members — production, harvesting, procurement, grading, pooling, processing, marketing and related services across agriculture, horticulture, dairy and allied fields.

How does a producer company differ from a cooperative society?

A producer company is incorporated under the Companies Act and is regulated by the Registrar of Companies, giving it a corporate structure and pan-India operation, while retaining cooperative principles such as member ownership. A cooperative society is registered under state cooperative law and is regulated by the state cooperative registrar.

How many directors does a producer company need?

A producer company must have a minimum of 5 directors. Directors are drawn from, and accountable to, its member-producers.

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Producer Company Registration

What's covered

A Producer Company is incorporated under Part IXA (§§581A to 581ZT) of the Companies Act 1956, which the Companies Act 2013 preserves, and is owned by its primary producers.
It can be formed by a minimum of 10 individual producers, or by 2 or more producer institutions, or by a combination of the two.
Its objects are limited to activities connected with the primary produce of its members — production, harvesting, procurement, grading, pooling, processing and marketing across agriculture, horticulture, dairy and allied fields.
It combines cooperative principles with a company structure and must have a minimum of 5 directors.

Benefits

Lets primary producers pool resources and bargain collectively while keeping a formal company structure
Limited liability for member-producers with a separate legal entity and perpetual succession
Member ownership and patronage-based participation, drawing on cooperative principles
Better access to institutional finance, inputs and markets than informal producer groups

How we work

01
Obtain DSC and DIN for the directors
Apply for a Digital Signature Certificate and a Director Identification Number for the proposed directors — usually issued in 1–2 working days.
02
Reserve the name and incorporate via SPICe+
File the SPICe+ incorporation form with the MOA and AOA stating the permitted producer objects; the Certificate of Incorporation is typically issued in 15–20 working days.
03
Complete post-incorporation steps
PAN and TAN are allotted with incorporation; the company then maintains its register of member-producers and records of its producer activities.

Documents required

PAN and Aadhaar of the producer-members and the directors
Address proof of the producer-members and directors
Registered-office proof with a no-objection certificate from the owner
Digital Signature Certificate of the directors
Particulars for the MOA and AOA stating the producer objects
Proof of the members' status as primary producers

Applicable laws & forms

Companies Act 1956 Part IXA (§§581A onwards) — governs the formation and working of producer companies
Companies Act 2013 transitional provisions — preserve Part IXA until producer-company rules are notified under the new Act
Companies (Incorporation) Rules 2014 — prescribe the SPICe+ incorporation procedure
Income-tax Act 1961 — the company is assessed at the rate applicable to companies

Frequently asked questions

Government fees

Statutory / government fee (indicative): ₹8,000

Indicative government fee · last verified 2026-06-07. Our professional charges are shared on consultation.