How FPOs can access quality agri-inputs: Coromandel-Samunnati partnership explained

Coromandel International (part of the Murugappa Group) and Samunnati Agri Value Chain Solutions signed a Memorandum of Understanding on 8 June 2026 to supply, promote and distribute agri-inputs to Farmer Producer Organisations (FPOs) across India.

FPOs are collectives of smallholder farmers, registered under the Companies Act or cooperative law, that pool resources to negotiate better prices for inputs and outputs. India has over 10,000 registered FPOs as of 2024, according to the Ministry of Agriculture and Farmers' Welfare, but many still struggle to source certified fertilisers, pesticides and micronutrient products at fair prices because conventional distribution chains bypass them in favour of larger traders.

The two organisations signed the MoU in Chennai. Madhab Adhikari, EVP and Business Head of fertiliser, SSP and nano at Coromandel, and Suresh Rajagopalan, Executive Director of Samunnati, signed the document. Narayanan Vellayan, Executive Director of Crop Nutrition at Coromandel, was also present. The announcement matters because it combines Coromandel's product portfolio in crop nutrition and crop protection with Samunnati's on-ground FPO network, which spans multiple states and includes Village Level Entrepreneurs (VLEs) who act as last-mile distribution points.

What changed

Before this MoU, FPOs typically sourced inputs through local dealers whose stock quality and pricing were inconsistent. Adulterated or substandard fertilisers remain a documented problem in India: the Fertiliser (Control) Order, 1985, sets quality standards, but enforcement at the retail level is patchy, and FPOs rarely have the bargaining power to demand certificates of analysis from distributors.

This arrangement changes two things at once. First, it creates a direct supply channel from a manufacturer (Coromandel) to FPOs, cutting out intermediaries who may dilute or mislabel products. Second, Samunnati Finance may provide working-capital credit to eligible FPOs specifically for procuring Coromandel products, subject to separate arrangements and regulatory requirements. That credit component matters because FPOs often cannot buy inputs in bulk at the start of a season without short-term financing.

The MoU also mentions product demonstrations and technology adoption programmes, though neither company has published a schedule or budget for these activities. What those programmes will look like in practice is not yet clear from the public announcement.

From a clean-label and food-system perspective, the quality of agri-inputs at the farm level directly affects what ends up in the food supply. Certified, correctly dosed fertilisers and crop-protection products reduce the risk of residue violations. India's Food Safety and Standards Authority (FSSAI) sets maximum residue limits (MRLs) for pesticides in food under the Food Safety and Standards (Contaminants, Toxins and Residues) Regulations, 2011. When farmers use unverified or adulterated inputs, MRL compliance becomes harder to guarantee, and that risk travels up the supply chain to processors, retailers and consumers.

Samunnati's network includes FPOs producing vegetables, pulses, oilseeds and spices, all categories where residue testing by FSSAI has flagged violations in past surveillance rounds. A more traceable input supply chain at the FPO level is one structural fix for that problem, though it is not a complete solution on its own.

What buyers and cooks should do

If you source directly from FPOs, whether through a community-supported agriculture box, a farmers' market or an online platform, this partnership gives you a question to ask: does the FPO you buy from document its input sources? An FPO that procures through a formal channel with a named manufacturer is easier to audit than one buying from an anonymous local dealer.

For buyers of organic or natural produce, note that Coromandel's product range includes conventional synthetic fertilisers and chemical crop-protection products. An FPO using Coromandel inputs is not automatically organic or residue-free. The MoU says nothing about organic-certified product lines. If residue-free or organic status matters to you, ask the FPO for its certification documents (PGS-India or NPOP certificates) separately.

For cooks and home gardeners who buy inputs for kitchen gardens, the broader point is that input quality certification is traceable in India through the Fertiliser Quality Control Laboratory network under the Department of Agriculture. You can ask any retailer for a batch test report. Most won't have one ready, but the ask itself signals demand for transparency.

Restaurants and cafes sourcing directly from farmer groups, particularly those in Hyderabad's farm-to-table segment or Mumbai's natural-food supply chains, should treat this MoU as a prompt to update their supplier questionnaires. Ask your FPO supplier whether it now has a documented input procurement policy. That one question, asked consistently, creates an incentive for FPOs to formalise what they buy and from whom.

The financial inclusion angle is worth watching. If Samunnati Finance does extend credit to FPOs under this arrangement, it could reduce the pressure on farmers to buy cheaper, unverified inputs simply because they cannot afford the certified alternative at the start of the season. That is the structural problem behind a lot of residue and adulteration issues in Indian produce, and credit access is a more direct lever than awareness campaigns.