Overview
A Producer Company is a special type of company formed under the Companies Act, 2013 for the benefit of farmers, agriculturists, artisans and other primary producers. It is formed to carry out activities such as production, harvesting, procurement, grading, pooling, marketing and selling of agricultural produce. The main objective of a Producer Company is to improve the income and welfare of its members through collective efforts. It combines the benefits of a cooperative society and a private limited company.
Even though a Producer Company works for the mutual benefit of its members, it is fully governed by the provisions of the Companies Act, 2013. Annual compliance is mandatory irrespective of turnover or profit. The company must maintain proper books of accounts, conduct regular meetings, appoint an auditor and file annual returns with the Registrar of Companies. Noncompliance can lead to heavy penalties on the company and its directors.
Annual compliance for a Producer Company includes holding minimum board meetings, conducting Annual General Meeting, preparation and audit of financial statements, filing of annual return and financial statements, and maintenance of statutory registers. Important ROC forms include AOC 4 for filing financial statements and MGT 7 for filing annual return. Directors are also required to file DIR 3 KYC annually. Income Tax Return filing is also mandatory. In certain cases, compliance related to GST, TDS and other laws may also apply.
At BizGlobal, we understand the practical challenges faced by farmers and producer groups in managing legal formalities. Our team provides complete annual compliance support including drafting resolutions, preparing financial statements, coordinating with auditors and filing all ROC forms on time. We ensure your Producer Company remains compliant while you focus on growing your agricultural business.
