Agriculture in India has always been less lucrative. Many factors contribute to agriculture's low profitability, but a lack of value addition, a weak value chain system, and a lack of market linkage are among the most significant. Small farmers are being helped to break into the market by producer companies. Collective action is best demonstrated by farmer producer organisations (FPOs) affiliated with producer firms. Agriculture is critical to the economies of developing nations. Agriculture and allied activities employ 54.6 percent of the population and contribute 17.4 percent of the country's Gross Value Added in 2016-17. (at current prices). An increase in revenue and a decrease in costs have resulted from collective actions taken by the agriculture value chain. Collective action theory's underpinning theory of FPO and producer company is a good fit. Cooperatives have been used to strengthen AVC in a variety of ways, and this study aims to identify the factors that led to their success. Using digital technologies, outreach costs could be reduced, and information could be better tailored to farmers' specific needs and circumstances. An investigation of the link between digital extension services and smallholder agricultural performance is conducted using primary data from India. Some farmers use digital extension services that provide personalised information on the types of crops to grow, the types and quantities of inputs to use, and other cultivation methods. Propensity score matching (PSM) and estimates of farmers' willingness to pay for digital extension are used to reduce selection bias in the impact evaluation.