Cooperative Policy 2025 Expands Role of PACS Across Agriculture, Fuel and Services

Ziraat Times News Desk

New Delhi, Dec 16: The Union Government has outlined key provisions of the National Cooperative Policy (NCP), 2025 aimed at strengthening democratic functioning, transparency and trust within cooperative institutions across the country.

According to details shared by the Ministry of Cooperation, the policy encourages States and Union Territories to amend their respective Cooperative Societies Acts and Rules to ensure greater autonomy, ease of doing business and improved governance. The proposed measures focus on ensuring autonomous functioning of cooperatives, democratic member control, free and fair elections of boards and office bearers, and transparent recruitment processes.

The policy also calls for complete digitalisation of State Registrar offices to make cooperative governance paperless. This includes facilitating online communication between cooperatives and registrars through digital platforms such as web portals, email and mobile-based services.

To strengthen member participation, the NCP promotes the adoption of model bye-laws across cooperative sectors. These provisions aim to ensure active involvement of members, introduce mechanisms for member-centric feedback, revive dormant memberships, promote participation of women and weaker sections, ensure transparency in decision-making and encourage the induction of young and qualified professionals.

The policy further envisages the Tribhuvan Sahkari University as the apex institution for cooperative education and training in the country. The university will implement standardised curricula and teaching methodologies through affiliated institutions, centres of excellence and regional campuses. The process for appointing the first Vice-Chancellor of the university was initiated in July 2025, with applications invited through national advertisements and the Ministry of Education’s e-Samarth portal. A Search-cum-Selection Committee has been constituted in accordance with the university’s statutes.

In order to strengthen Primary Agricultural Credit Societies (PACS) and integrate them with major central schemes, the Ministry of Cooperation has circulated model bye-laws enabling PACS to undertake more than 25 business activities. These measures are aimed at improving governance, transparency and accountability while transforming PACS into local-level service delivery hubs for farmers.

The government has also undertaken ERP-enabled integration of PACS with national databases and schemes such as PM-KISAN, Pradhan Mantri Kisan Samriddhi Kendras (PMKSK), fertiliser and seed distribution systems, Public Distribution System outlets, Pradhan Mantri Fasal Bima Yojana and Common Service Centres.

Under multi-sectoral convergence, over 38,000 PACS have been upgraded into PMKSKs to provide agricultural inputs under one roof, while more than 51,000 PACS are functioning as Common Service Centres delivering a wide range of digital services in rural areas. Several PACS have also been integrated with Pradhan Mantri Bhartiya Janaushadhi Kendras to provide affordable generic medicines, and others have been made eligible for petrol pumps, LPG distributorships and operation and maintenance of rural water supply schemes.

The details were provided by Union Minister for Home and Cooperation Amit Shah in a written reply to a question in the Lok Sabha.

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