A National Conclave was organised at New Delhi today, to expedite the operationalisation of the National Cooperation Policy 2025 under the vision of "Sahkar Se Samriddhi" (Prosperity through Cooperation). The policy, formulated through an extensive 48-member national committee, establishes cooperatives as the "second engine" of national growth to build a Viksit Bharat by 2047.
Central to this roadmap is the transformation of Primary Agricultural Credit Societies (PACS) into multi-functional economic units capable of undertaking over 25 distinct business activities. Union Minister of State Shri Krishan Pal Gurjar emphasised that the policy focuses on youth participation, transparent management, and expanding cooperative structures into new sectors like organic markets and decentralised storage.
Strategic Initiatives and Infrastructure Modernisation
Digital Transformation: Over 80,000 PACS are currently being computerised across India to enhance operational efficiency and transform them into business-oriented entities.
Educational Foundation: The establishment of Tribhuvan Sahkari University (TSU) was highlighted as a primary lever for professionalizing cooperative management and member education.
Economic Targets: Experts from the EAC-PM deliberated on strategies to triple the cooperative sector's contribution to the national GDP through inclusive and sustainable development models.
Logistics and Storage: A major priority includes the decentralization of storage at the PACS level to reduce post-harvest losses and lower logistics costs for farmers.
New Frontiers: The conclave discussed innovative initiatives such as White Revolution 2.0, the National Cooperative Database, and the "Bharat Taxi" cooperative model.
What are "Primary Agricultural Credit Societies (PACS)"? Primary Agricultural Credit Societies are the grassroots-level arms of the short-term cooperative credit structure in India, dealing directly with rural borrowers. They act as a catalyst for last-mile financial inclusion by providing affordable seasonal agricultural loans and essential inputs like fertilizers and seeds to small and marginal farmers. This mechanism manifests as a transition from "traditional lending outlets" to "multi-service digital hubs," where computerization allows them to diversify into warehousing, LPG distribution, and common service centers. Strengthening PACS is a primary lever for the Ministry of Cooperation to benchmark a trajectory of rural economic empowerment and ensure that credit reaches the absolute end-user.
Policy Relevance: Cooperatives as Engines of Grassroots Growth
Synchronising Rural Aspirations with Formal Credit: By positioning cooperatives as the most effective mechanism for last-mile delivery, the policy establishes a formal baseline for reducing rural dependency on informal moneylenders.
Addressing Post-Harvest Inefficiencies: The emphasis on decentralised storage at the PACS level functions as a strategic manoeuvre to empower farmers to time their sales, thereby ensuring fair price discovery.
Professionalism in Cooperative Governance: The creation of the Cooperative Ranking Framework and TSU establishes a formal baseline for transparency and merit-based leadership within traditionally localised institutions.
The Digital Public Infrastructure (DPI) for Rural India: Computerising 80,000 units provides the necessary technical infrastructure to integrate rural producers with national digital markets and the National Cooperative Database.
Youth and Women Participation: Expanding into new sectors like Organic Product Markets and digital services serves as a strategic safeguard to make the cooperative movement aspirational for the next generation.
Relevant Question for Policy Stakeholders: How will the Ministry of Cooperation mechanically monitor the "tripling of economic contribution" without a standardised real-time reporting framework for non-credit cooperatives?
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