In what is seen as a significant win for the cooperative movement in Punjab, and particularly for Punjab Sahakar Bharati, the state government issued a notification on June 26, 2024, drastically reducing the registration fees for cooperatives from Rs 20 lakh to Rs 10,000.
Shankar Dutt, a prominent leader of Sahakar Bharati in the region, expressed gratitude towards the government and particularly praised Vijay Kumar Singh, IAS, for his pivotal role. “The moment Mr. Singh took charge of the Punjab Cooperative Department, we saw a beacon of hope. He listened attentively to our concerns and pledged to champion the rights of Punjab’s farmers, women, and youth,” Dutt recounted. On June 26, Singh fulfilled his promise by issuing the notification that lowered the fees significantly.
This fee reduction comes after a contentious policy enacted on September 25, 2023, which had originally increased the registration costs for cooperatives from Rs 1 lakh to Rs 20 lakh. This move, widely criticized as excessively burdensome, sparked a robust debate and mobilized stakeholders to demand change.
“Previously, there were no registration fees for cooperatives. The introduction of what some called the ‘Abdali Law’ last September altered that, to the detriment of the cooperative sector which is vital for supporting our community’s backbone—farmers, women, and the youth,” Dutta explained.
Following the fee hike, Sahakar Bharati Punjab launched an intense advocacy campaign, reaching out to the Cooperative Minister, Chief Minister Bhagwant Mann, and other officials through numerous letters and emails. The organization’s efforts saw limited engagement until Singh stepped in.
Moreover, Sahakar Bharati had urged residents of Punjab, particularly in Jalandhar, to question the rationale behind implementing such a restrictive law in Punjab when similar laws were not in place in regions like Delhi. They called for accountability from the Cooperative Minister, also the Chief Minister, highlighting potential adverse effects on the youth’s migration from the state.
Drawing inspiration from Guru Nanak’s teachings on collective welfare, Dutt emphasized the importance of abolishing even the nominal Rs 10,000 fee. “We encourage all cooperative sector stakeholders—workers, managers, and directors—to join us in pushing for profound reforms. United, we can fortify the cooperative sector and make significant contributions to India’s economic objectives,” Dutt asserted.