The Union Ministry of Cooperation hosted a Post-Budget Webinar on Agriculture and Rural Prosperity, focusing on the theme “Support to NCDC” on Saturday. Experts from various cooperative sectors highlighted the vital role of cooperatives in driving inclusive growth and strengthening rural India’s economic framework.
In his keynote address, Union Ministry of Cooperation Secretary Ashish Bhutani emphasized that cooperatives function on democratic principles and are crucial for rural economic development. He noted that India has nearly 8.2 lakh cooperative societies spanning 30 sectors and involving around 30 crore people—yet this accounts for only 20% of the country’s total population.
Bhutani highlighted cooperatives’ contributions across sectors, including 11% to rural credit, 41% to Kisan Credit Card (KCC) distribution, 20% to the Public Distribution System (PDS), 30% to sugar production, and 30% to fertilizer supply. However, he stressed the need to strengthen weaker cooperative sectors such as dairy, poultry, labor, and handicrafts, which require greater financial support.
He underscored the National Cooperative Development Corporation’s (NCDC) role in providing financial assistance to cooperatives. He stated that NCDC is expected to surpass Rs 90,000 crore in total disbursement and is running several special schemes, including support for Self-Help Groups (SHGs). Additionally, he expressed hope that NCDC would receive an additional Rs 500 crore over the next four years, with a request for Rs 2,000 crore in financial support.
Gujarat Cooperative Milk Marketing Federation (GCMMF) Managing Director Jayen Mehta highlighted Amul’s contributions to dairy farmers. He stated that India currently produces one-fourth of the world’s total milk, a figure expected to exceed one-third in the next decade. He also outlined plans to establish two lakh new village dairy cooperatives to strengthen India’s dairy network.
Former National President of Sahakar Bharati, D.N. Thakur, emphasized that the only way to ensure the country’s development is through cooperatives. He highlighted the need for a strong cooperative ecosystem supported by knowledge, market linkages, and financial assistance.
Thakur praised the National Cooperative Development Corporation (NCDC) for its exclusive focus on cooperatives and stressed the importance of linking cooperative training with the Laxmanrao Inamdar National Academy for Cooperative Research and Development (LINAC).
Addressing key challenges in the cooperative movement, Thakur pointed out two major issues—lack of awareness among members and the need for professional management. He called for targeted efforts to enhance both aspects to ensure the sustainable growth of cooperatives in India.
Rajasthan Principal Secretary for Cooperation and Registrar of Cooperatives Manju Rajpal urged NCDC to open dedicated credit availability windows for every state to enhance cooperative financial access. She noted that Rajasthan’s cooperatives have limited representation in NCDC’s credit portfolio and stressed the importance of increasing credit availability.
Rajpal informed that for agriculture projects, credit through State Land Development Banks (SLDBs) and
Cooperative Credit Banks (CCBs) comes with a 5% interest subvention, whereas non-agricultural projects receive a 7% subvention in Rajasthan.
UP Principal Secretary for Cooperation Sorabh Babu stated that NCDC has disbursed Rs 90,000 crore, with Rs 75,000 crore for procurement. He emphasized the need to expand credit support to under-benefited states and focus on dairy and food processing, storage schemes, and sustainable projects like bio-gas and solar panel manufacturing.
He also highlighted the role of digital transformation in developing technology-driven cooperatives for a more efficient and future-ready sector.
Andhra Pradesh State Cooperative Bank (APCOB) Managing Director Shreenath Reddy highlighted the strong presence of cooperative banking in Andhra Pradesh. He noted that the state has 13 District Central Cooperative Banks (DCCBs) integrated with Primary Agricultural Credit Societies (PACS).
He praised Krishna DCCB as one of India’s top-performing cooperative banks, with a turnover of Rs 12,000 crore and 425 PACS operating within a single district. Reddy emphasized the critical role of cooperative banks in financial inclusion, particularly in providing credit to tenant farmers.
The event featured discussions from several experts, including Sang Khandu Mosobi (Chairman, Arunachal Pradesh State Markfed), Prakash P. Naiknavare (National Federation of Cooperative Sugar Factories), Unupom Kaushik (Managing Director, National Cooperative Exports Limited) and others. They collectively called for enhanced financial aid, training, and policy support to expand the cooperative sector’s impact on rural India.
The webinar reaffirmed the commitment to strengthening cooperatives as a pillar of rural prosperity and inclusive growth in India.
NCDC Deputy Managing Director Rohit Gupta coordinated the event and delivered a presentation to the panellists on NCDC’s role in the cooperative sector.
