1. Introduction
 IFFCO was registered on November 3, 1967
as a Multi-state Co-operative Society
 The Society is primarily engaged in
production and distribution of fertilisers
 The distribution of IFFCO's fertiliser is
undertaken through over 39824 Co-
operative Societies

2. Mission
 IFFCO's mission is "to enable Indian farmers
to prosper through timely supply of
reliable, high quality agricultural inputs
and services in an environmentally
sustainable manner and to undertake
other activities to improve their welfare”

3. Vision
 To augment the incremental incomes of
farmers by helping them to increase their
crop productivity through balanced use
of energy efficient fertilizers, maintain the
environmental health and to make
cooperative societies economically &
democratically strong for professionalized
services to the farming community to
ensure an empowered rural India.

4. Objectives
 To serve the cause of IFFCO’s mission as stated in the mission
document
 Extend IT enabled services to farmers and cooperatives to
promote IT penetration and improve IT comfort levels in rural
India.
 To evolve appropriate dissemination strategies for effective use of
IT Enabled Services in Rural India.
 To extend e-services to cooperative members of IFFCO and in a
phased manner.
 Provide latest and reliable information and extend other services
to all those actively involved in the development of Indian
agriculture and rural development.
 Provide necessary information / services for suppliers to IFFCO
and achieve e-procurement in a phased manner.

5. Governance
 No individual membership , Membership is
open to the following:-
 National, State, district, regional and primary
level Cooperative Federation of agricultural
credit / marketing / processing / supply etc.
 National Cooperative Development
Corporation
 Public Financing institutions to the extent
required/ requested by the board/ general
body of IFFCO

6. Fees & Termination
Fee:-
 For village level society:- Rs 25/-
 for others:- Rs 100/-
Termination:-
 No member is permitted to withdraw any of the
shares held by it in IFFCO or to resign its
membership of IFFCO within five years from the
date of which it was admitted as a member.
 Letter of resignation to be addressed to MD of
IFFCO.
 Decision of board communicated within a
period of four months.

7. Hierarchy & Flow of Information
MD
R Marketing
E Director
P
O Zonal Manager (5)
R
T State Marketing
I Manager
N
G Area Manager (3 for Odisha)
Field Officer (1 for Each District)

8. GENERAL BODY (Structure)
General Body of IFFCO comprises of:-
 Members of Board of Directors.
 One direct delegate who has contributed more than
10 lakhs to the share capital of IFFCO.
 The number of such direct delegates(including
delegates) should not exceed 800.
 Delegates not exceeding 200 are to be elected
amongst the representatives of member societies
having shares of less than 1 lakh in each state /UT.
 This is done at the rate of one delegate for every
200 member societies.

9. FUNCTIONS AND POWER
General Body
 Election and removal of the members of the board of directors.
 Amendment or repeal of any existing bye-laws or enactment
of any new bye-laws.
 Consideration and adoption of annual report and statement of
accounts of previous year and review of activities of current
year.
 Consideration of audit report and appointment of auditors .
 Approval of annual budget.
 Review of actual utilization of reserve and other funds.
 Review of official deficit (if any).

10. FUNCTIONS AND POWER
Managing Committee:-
 Admission of members.
 Authorize convening of meetings of the General Body.
 Recommend annual and supplementary budgets for approval
by general body.
 Appoint, suspend and remove the Managing Director and
Functional Directors and approve their terms and conditions
of service.
 Raise funds for the business of IFFCO.
 Authorize persons to sign bills, notes and receipts on behalf
of IFFCO.
 Appoint trustees, attorneys and agents for the business of
IFFCO.

11. FUNCTIONS AND POWER
Chief Executive- The Managing Director is the Chief
Executive of IFFCO and assists the BOD in its functions.
Its power and functions are as follows:
 Have general control over administration of IFFCO.
 Convene meetings of the BOD/EC/Sub-Committees.
 To be responsible for general conduct, management and
supervision of day-to-day business of IFFCO.
 Endorse and transfer promissory notes and securities on
behalf of IFFCO.
 Determine powers, duties and responsibilities of
employees of IFFCO.

12. FUNCTIONS AND POWER
Executive Committee:EC is responsible for efficient
management of societies. Its powers and functions are as
follows:-
 To examine and recommend to the board, the estimates of
the budget.
 To approve all investments proposals of capital nature up to
limit of 1.5 crore.
 To authorize execution of documents for and on behalf of
society.
 To grant loans to members where amount and repayment
terms are not covered under the service rules of the society.
 Refer claims and demands by and against IFFCO for
arbitration.

13. FUNCTIONS AND POWER
 Marketing Sub Committee: This committee is responsible
for efficient management of marketing operations of the
society. Its power and functions are as follows:
 To formulate and recommend to the board for approval of
overall marketing policy for sale of fertilizers and
agricultural inputs.
 To lay down distribution strategy including the channel and
outlets.
 To recommend to BOD for approval of matters relating to
pricing policy of fertilizers and allied products.
 To lay down guidelines for distribution margins.

14. Economic activities
Core Function
Business Plan
Structure of finance
Information and Communication
Technology
Reporting and Hierarchy of IFFCO

15. Core Function
 Balanced Fertilizer Programme
 Soil Testing Labs (Mobile/Static)
 Socio-Economic Development of Village
 Human Health Check ups & medicine
distribution
 Veterinary services
 Drinking water supply & Watershed Mgmt
 Assistance to School/School children

16. Business Plan
5 marketing territories
 Distribution mainly through coop. System
 Wholesaler- State level Apex Coop Market
Federation
 Supplies to some Agro-industries also
 158 IFFCO farmers Service Channel
 Transportation by rail (88%)
 Warehousing at godowns of CWC,SWC and
Federation godowns

17. Business Plan
Marketing
Central Office
North Central North Zone South Zone West Zone East Zone
zone (LKW) (CHNDGH) (Bangalore) (BPL) (Kolkata)
U.P, BR, GUJ, M.P,
PNB, HAR, AP,TN, KAR, K Assam,
JHKHND, MAH,
RAJ, H.P. J&K erala Odisha, W.B
UTKHND CHTSGRH

18. Structure of finance
 Sources of fund:
admission fee, share capital , loans and
deposits within India and abroad ,
debentures , bonds and commercial
paper , grants-in-aid and donations
No. of Share Face value Allocated to
90,000 1 lakh NCDC, public financing inst. ,
national/state/regional federation
50,000 10,000 Dist. & primary
marketing/processing/supply
cooperative society
5 lakh 1000 Primary societies at village level

19.  Value of share is paid in one lump sum or
installments as per bylaws
 Every member subscribes to at least one
share
 Basic minimum level of utilization has to
achieved to have the rights
 IFFCO can receive loan from members
and others up to 10 times of its paid up
share capital plus accumulated reserves
minus losses

20. Distribution of profits
 Reserve Funds -25%
 Cooperative Education fund -3 - 5%
 Rest is distributed as
• dividend (<=20%) to share holders
• rebate on purchase by members and
• Building, education, Charity etc
 10% is for unforeseen loss
 Payment of Ex-gratia to employees a/c to
schemes of the board

21. Audit
 Both internal and external audit
 Board of directors constitute an audit
committee
 To oversee the society’s financial
reporting process , financial statement etc
 Review the findings of internal auditors
and follow up on any irregularities

22. Information and Comm. Tech.
 Wide Area Network up to all Area Level Offices with
Corporate Office at Delhi.
 All offices of IFFCO are connected with VPN
 Video Conferencing Facility at maximum Offices.
 Implemented Successfully the e-procurement system.
 Application of Integrated Corporate Enterprise in HR,
Finance, Marketing, Transportation & production
 Multilingual Agri. Information portal and Touch screen
based Kiosks.

23. E-Procurement

24. Environment
 Govt. regulation on the amount of
fertilizer to be manufactured
 High demand but low supply
 PPL is the biggest competitor
 Paradeep plant was previously under
Oswal chemicals pvt. Ltd. and was
purchased by IIFCO
 30,000 MT DAP is being exported to Nepal.