Home India Ministry of Cooperation Parliament Question: Digitization Programs for All Cooperati...
Date: 2025-07-29 Category: Not Applicable State: Union Government Country: India

Parliament Question: Digitization Programs for All Cooperatives

Issued by Ministry of Cooperation · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: The Ministry of Cooperation is implementing digitization programs for all cooperatives, including the Computerization of PACS Project with an increased financial outlay of ₹2925.39 Crore and the Centrally Sponsored project of Strengthening of Cooperatives through IT Interventions. A New National Cooperative Database and a Cooperative Ranking Framework have also been launched. Key dates mentioned include the launch of the Cooperative Ranking Framework on January 24, 2025, and the sharing of API specifications with States/UTs on May 27, 2025. Key Points / Main Content: * **Computerization of PACS Project:** * Aims to bring all functional Primary Agricultural Credit Societies (PACS) onto a common Enterprise Resource Planning (ERP) based national software. * Links PACS with NABARD through State Cooperative Banks (StCBs) and District Central Cooperative Banks (DCCBs). * Provides customizable ERP software to capture data on credit and non-credit functionalities. * Enhances efficiency through a Common Accounting System (CAS) and Management Information System (MIS). * Integrates functionalities like membership management, financial services, procurement, PDS, and HR management. * Includes provisions for RuPay and Kisan Credit Card (KCC) database integrations. * ₹759.36 crore released to States/UTs and ₹165.92 crore to NABARD. * **Strengthening of Cooperatives through IT Interventions:** * **Computerization of Agriculture and Rural Development Banks (ARDB):** * Approved on October 6, 2023, covering 1851 units in 13 States with an outlay of ₹119.40 Crore. * Currently includes 10 states; proposals from West Bengal and Kerala are pending, and Jammu and Kashmir has opted out. * **Computerization of Office of Registrar of Cooperative Societies (RCS):** * Approved on October 6, 2023, with a budgetary outlay of ₹94.59 crore for three years (2023-2026). * Aims to enhance ease of doing business and create a digital ecosystem for transparent interaction with RCS offices. * Software will align with respective State/UT Cooperative Acts. * ₹19.73 crore released to 35 States/UTs. * **New National Cooperative Database:** * Developed to create a comprehensive database of cooperatives with support from State Governments. * Includes data on approximately 8.4 lakh cooperatives from 30 sectors, involving around 32 crore members. * **Cooperative Ranking Framework:** * Launched on January 24, 2025, to assess and rank cooperatives state-wise and sector-wise. * Enables State RCS to assess performance based on audit compliance, operations, financials, infrastructure, and identity information. * Initially focuses on 7 major sectors. * Aims to enhance transparency, reliability, and competitiveness. * **API Integration:** * A standard API (Application Programming Interface) has been developed for pushing data from the NCD portal to States/UTs. * API specifications and access keys shared with State/UT RCS offices on May 27, 2025. * Requires States/UTs to develop a reverse-pull API to fetch data from the NCD portal for data synchronization. Impact Analysis: Stakeholder: PACS * Impact: Increased efficiency, transparency, and access to financial services; integration with national software and databases. * Action Required: Adopt and implement the common ERP software, participate in training, and ensure data accuracy. Stakeholder: State Cooperative Banks (StCBs) and District Central Cooperative Banks (DCCBs) * Impact: Enhanced connectivity with PACS, improved data management, and streamlined accounting processes. * Action Required: Facilitate the integration of PACS with NABARD, provide support and resources for digitization efforts. Stakeholder: State Governments/Union Territories * Impact: Improved monitoring and regulation of cooperatives, access to comprehensive data for policy-making, and enhanced ease of doing business. * Action Required: Submit proposals for computerization projects, implement the common software, develop reverse-pull APIs, and ensure data synchronization. Stakeholder: Registrars of Cooperative Societies (RCS) * Impact: Streamlined processes, enhanced transparency, and improved data management. * Action Required: Implement the RCS computerization project, integrate with the NCD portal, and facilitate paperless transactions. Stakeholder: NABARD * Impact: Central role in training and handholding support for PACS. * Action Required: Continue providing support and training to PACS for effective digitalization.

Key Entities Referenced

Ministry of Cooperation: The central ministry responsible for cooperatives in India. Computerization of PACS Project: A Government of India project to computerize Primary Agricultural Credit Societies (PACS) by bringing them onto an ERP-based common national software and linking them with NABARD. NABARD: National Bank for Agriculture and Rural Development, an apex development finance institution in India. State Cooperative Banks StCBs: State Cooperative Banks are the apex cooperative banks at the state level. District Central Cooperative Banks DCCBs: District Central Cooperative Banks operate at the district level and are part of the three-tier cooperative credit structure. Strengthening of Cooperatives through IT Interventions: A Centrally Sponsored project by Government of India with subprojects focusing on computerization of Agriculture and Rural Development Banks (ARDB) and the Office of Registrar of Cooperative Societies (RCS) in States/Union Territories. National Cooperative Database: A comprehensive database of cooperatives in India developed with the support of State Governments. Cooperative Ranking Framework: A framework launched by the Government to assess and rank cooperatives State-wise and sector-wise.
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GOVERNMENT OF INDIA MINISTRY OF COOPERATION LOK SABHA UNSTARRED QUESTION NO. 1396 TO BE ANSWERED ON 29th July, 2025 Digitization Programs for All Cooperatives 1396. Ms Mahua Moitra: Will the Minister of Cooperation (सहकारिता मंत्री) be pleased to state: the details of the digitization programs for all the cooperatives under the Ministry? ANSWER MINISTER OF COOPERATION सहकारिता मंत्री (SHRI AMIT SHAH) (i) Computerization of PACS Project:- Government of India is implementing this Project of Computerization of functional PACS with a total financial outlay of ₹2,516 Crore which has now been increased upto 2925.39 Crore which entails bringing all the functional PACS onto an ERP (Enterprise Resource Planning) based common national software, linking them with NABARD through State Cooperative Banks (StCBs) and District Central Cooperative Banks (DCCBs). This common ERP software is provided to all PACS in the project, across the country, to capture data on all functionalities of PACS, both credit and non-credit. This software is customizable for state-specific needs. The ERP-based common national software enhances the efficiency of PACS operations through a Common Accounting System (CAS) and Management Information System (MIS). Additionally, it strengthens governance and transparency, resulting in faster loan disbursal, reduced transaction costs, minimized payment imbalances, and seamless accounting with DCCBs and StCBs. Furthermore, training and necessary handholding support provided by NABARD ensures that small and marginal farmers, including those who may not be digitally literate, benefit equally from digitalization. A comprehensive ERP solution integrates multiple functionalities, including membership management, financial services such as deposits and lending (short- term, medium-term, and long-term), procurement, processing units, PublicDistribution System (PDS), business planning, warehousing, merchandising, borrowings, asset management, and human resource management. Additionally, it has provision to incorporate RuPay and Kisan Credit Card (KCC)/ database integrations to facilitate seamless financial transactions for PACS members. A total amount of ₹759.36 crore has been released to the States/UTs and ₹165.92 crore to NABARD under this Project as a Central Government Share. The status of this project is as at Annexure ‘A’. (ii) Further, Government of India is implementing a Centrally Sponsored project of Strengthening of Cooperatives through IT Interventions. This project has two sub-projects:- a) Computerization of Agriculture and Rural Development Bank(ARDB): Sub- project of Computerization of Agriculture and Rural Development Bank has been approved by the Central Government on 06.10.2023, in which 1851 units of State Cooperative Agriculture and Rural Development Bank(SCARDB) & Primary Cooperative Agriculture and Rural Development Bank(PCARDB) in 13 States were included in the project with the total outlay of Rs. 119.40 Crore. As of now, proposals from two States West Bengal and Kerala have not been received. Recently, Jammu and Kashmir has opted out of the project due to their administrative reasons. As of now, only 10 states are the part of this project, the details and updated status of the project is at Annexure ‘B’. b) Computerization of Office of Registrar of Cooperative Societies(RCS) of States/UTs:- Sub-project of Computerization of RCS offices in States/Union Territories has been approved by the Central Government on 06.10.2023 with a budgetary outlay of Rs.94.59 crore for three years w.e.f. 2023-24. This is a part of the umbrella project of “Strengthening Cooperatives Through IT Interventions” of the Ministry. The project aims to enhance the ease of doing business for Cooperative Societies and create a digital ecosystem for transparent paperless interaction of cooperative societies with the RCS offices in all States/Union Territories. The objectives of the project are to enhance the ease of doing business for Cooperative Societies and create a digital ecosystem for transparent & paperless transactions of cooperative societies with the RCS offices of States/Union Territories. The software developed under this project will be as per the Cooperative Acts of the respective States/UTs. During the financial years 2023-24, 2024-25 and 2025-26 (up to 30th June 2025), 35 States/UTs have submitted their proposals, and Rs 19.73 crore has been released as the Government of India share to States/UTs. (iii) New National Cooperative Database for authentic and updated data repository: A comprehensive database of cooperatives in the country has been developed with the support of State Governments to facilitate stakeholders in policy making andimplementation of programmes/ schemes related to cooperatives across the country. So far, the database includes data on around 8.4 lakh cooperatives from 30 different sectors, involving approximately 32 crore members. (i) Cooperative Ranking Framework: The Government launched the Cooperative Ranking Framework on 24th January 2025 to assess and rank cooperatives State- wise and sector-wise. This ranking framework enables State RCS to assess Cooperative Societies’ performance based on key parameters, including audit compliance, operational activities, financial performance, infrastructure, and basic identity information. The RCS of the States/ UTs can generate rankings of Cooperative Societies, initially of 7 major sectors namely PACS, Dairy, Fishery, Urban Cooperative Banks, Housing, Credit and Thrift, and Khadi and Gram Udyog through NCD portal. This ranking system aims to enhance transparency, reliability and competitiveness among cooperative societies, ultimately fostering their growth. Furthermore, top-performing cooperative societies in each sector will be recognized and honoured by the Ministry of Cooperation and respective State/ UT authorities, aligning with the objectives of the International Year of Cooperatives. (ii) Facility for States / UTs to fetch data through API (Application Programming Interface) from NCD portal: The Ministry of Cooperation (MoC) has successfully completed the development of a standard API(Application Programming Interface) for pushing entire data of cooperative societies of the State from NCD portal to the States / UTs. A detailed Standard API Specification Document, database schema and State-specific access key for secure API access have been shared with all State/UT Registrar of Cooperative Societies (RCS) offices on 27.05.2025. These documents aim to facilitate the integration of the State/UT RCS applications with the NCD portal, ensuring that data updates on the NCD portal occur automatically and in real- time via API-based integration. As per the integration plan, it is also essential for States/UTs to develop a reverse/pull API at their end to fetch the relevant data from the NCD portal into their local systems / RCS portals. This two-way integration will ensure synchronization of cooperative data across platforms.Annexure ‘A’ PACS Computerization Project Status S. States Approved PACS ERP Onboarded No 1. Maharashtra 12,000 11,954 2. Rajasthan 7,468 5,900 3. Gujarat 5,754 5,627 4. Uttar Pradesh 5,686 3,048 5. Karnataka 5,682 3,765 6. Madhya Pradesh 5,188 4,428 7. Tamil Nadu 4,532 4,531 8. Bihar 4,495 4,460 9. West Bengal 4,167 3,145 10. Punjab 3,482 3,408 11. Odisha* 2,711 - 12. Andhra Pradesh 2,037 2,021 13. Chhattisgarh 2,028 2,028 14. Himachal Pradesh 1,789 965 15. Jharkhand 2,797 1,414 16. Haryana 710 609 17. Uttarakhand 670 670 18. Assam 583 579 19. J&K 537 536 20. Tripura 268 207 21. Manipur 232 175 22. Nagaland 231 64 23. Meghalaya 112 99 24. Sikkim 107 103 25. Goa 58 45 26. ANI 46 46 27. Puducherry 45 43 28. Mizoram 49 25 29. Arunachal 14 11 Pradesh 30. Ladakh 10 10 31. DNH&DD 4 4 Total 73,492 59,920 *Odisha has recently joined this projectAnnexure ‘B’ Computerization of Agriculture and Rural Development Banks Project Status S.No State/UTs Sanctioned Hardware Total ARDB Units Delivered Fund released (Cr) 1. Uttar Pradesh 342 0 1.27 2. Tamil Nadu 214 471 1.49 3. Karnataka 207 467 0.8 4. Gujarat 195 0 0.82 5. Rajasthan 39 0 0.67 6. Punjab 90 0 0.47 7. Haryana 20 0 0.76 8. Himachal Pradesh 57 202 0.56 9. Tripura 6 0 0.04 10. Puducherry 2 4 0.04 Total 1172 1144 7.18

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