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Kisan Mitra Society, a registered society, works with small and marginal farmers to improve their incomes through training and market linkages for sustainable agriculture. It says its work falls within an eligible activity but wants to know whether a for-profit entity operating in the same area can also qualify. Which statement is correct?

Both the society and a for-profit entity can qualify, provided their activities fall within the eligible list, which includes livelihood and farmers' incomes, and they establish primacy of social intent for underserved beneficiaries. For-profit status does not bar eligibility, and no listing or profit record is required.

  1. ANeither can qualify because agriculture is not an eligible activity
  2. BOnly the society can qualify, because for-profit enterprises can never be eligible
  3. CA for-profit entity qualifies only if it is a listed company with a minimum profit record
  4. DBoth can qualify if their activity falls within the list of eligible activities, such as supporting livelihood and farmers' income, and they meet the primacy of social intent and target beneficiary testsCorrect

Explanation

The eligible activities list covers areas such as eradicating hunger, poverty and malnutrition, supporting education, healthcare, livelihood creation and farmers' income. Both NPOs and FPEs can qualify if they satisfy the intent and beneficiary tests. Profit record or listing is not a condition.

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