Promotion of Off Farm Sector has been in the mission statement of NABARD at the time of its inception. It assumes significance in the context of the pressing need for reducing rural India’s over dependence on agriculture income by encouraging alternate livelihood options. Development of this sector also helps in arresting large-scale migration of small and marginal farmers and agricultural labour to urban areas in search of livelihood opportunities due to unemployment, disguised employment and distress in the agriculture sector.
Off-farm Producer Organizations (OFPOs) are legal entities formed by artisans, weavers, craftsmen etc., to promote rural enterprises, generate local employment through value addition, design innovation and development, processing, brand-building, creation of storage and logistics infrastructure, aggregation, mechanization and development of technology, develop strong forward and backward linkages, ensure better income realization, which ultimately brings in sustainable and inclusive development through collectivization and formalization.
