Executive Summary:
The document outlines the functions and schemes of the National Cooperative Development Corporation (NCDC), established in 1963 to promote farmer cooperatives. It details financial assistance provided by the NCDC to various cooperative sectors, including agriculture, healthcare and women empowerment, and also highlights government initiatives for the computerization of Primary Agricultural Cooperative Societies (PACS) across the country, with a financial outlay of ₹2925.39 Crore, aimed at improving efficiency and transparency.
Key Points / Main Content:
* **NCDC Overview:**
* Established in 1963 to promote and strengthen farmer cooperatives.
* Aims to increase agricultural production and productivity.
* Focuses on agricultural marketing, inputs, processing, storage, and supply of seeds and fertilizers.
* **NCDC Financial Assistance:**
* Provides financial aid to cooperative sectors for marketing, processing, storage, cold chain, industrial activities, and distribution of essential consumer articles.
* Supports credit service cooperatives, cooperative banking units, agricultural services, and weaker section cooperatives.
* Offers assistance for computerization and promotional programs.
* **NCDC Schemes:**
* **YUVA SAHAKAR (2019-20):** Supports newly formed cooperative societies with innovative ideas.
* **AYUSHMAN SAHAKAR (2020-21):** Covers hospitals, healthcare, medical and nursing education, and holistic health systems.
* **NANDINI SAHAKAR (2020-21):** Improves the socioeconomic status of women through women's cooperatives.
* **DAIRY SAHAKAR (2021-22):** Encourages cooperatives to achieve higher outcomes in ESG linked activities in the dairy sector.
* **DIGITAL SAHAKAR (2021-22):** Provides financial assistance for Digitally Empowered Cooperatives.
* **SWAYAM SHAKTI SAHAKAR YOJNA (2022-23):** Provides financial assistance to Agricultural Credit Cooperatives for providing loanadvances to Women Self Help Groups SHGs.
* **DEERGHAVADHI KRISHAK PUNJI SAHAKAR YOJNA (2022-23):** Extends NCDC's longterm financial assistance to Agricultural Credit Cooperatives towards their onward lending of longterm loansadvances for activitiescommoditiesservices under the purview of NCDC.
* **Erstwhile Schemes:** Includes schemes for strengthening Cooperative Sugar Mills (CSMs) and development of cooperatives.
* **Integration with Central Sector Schemes:**
* Dovetails with schemes like Agricultural Marketing Infrastructure (AMI), Mission for Integrated Development of Horticulture (MIDH), and PM Matsya Sampada Yojana (PMMSY).
* Integrates with PM Formalisation of Micro Food Processing Enterprises (PMFME) and Farmer Producer Organizations (FPOs).
* **Computerization of PACS:**
* Project to computerize functional PACS with a financial outlay of ₹2925.39 Crore.
* Involves implementing a common ERP-based national software, linking PACS with NABARD through State Cooperative Banks (StCBs) and District Central Cooperative Banks (DCCBs).
* Aims to enhance efficiency, governance, and transparency through a Common Accounting System (CAS) and Management Information System (MIS).
* Integrates functionalities like membership management, financial services, procurement, and human resource management.
* **Benefits of Computerization:**
* Speedy loan disbursal and reduced transaction costs.
* Seamless accounting with DCCBs and StCBs.
* Enhanced trustworthiness in PACS.
* Development of PACS as hubs for delivering benefits from various schemes.
* **Integration with National Platforms:**
* Integration of PACS ERP system with Pradhan Mantri Kisan Samriddhi Kendras (PMKSK), Common Service Centres (CSCs), Pradhan Mantri Bhartiya Janaushadhi Kendras (PMBJK), and Kisan Rin Portal.
Impact Analysis:
* **Farmer Cooperatives:**
* Impact: Strengthened through financial assistance, improved marketing, and enhanced productivity. Benefit from computerization of PACS for better access to credit and services.
* Action Required: Utilize available schemes, adopt digital solutions, and participate in training programs.
* **Primary Agricultural Cooperative Societies (PACS):**
* Impact: Enhanced operational efficiency, transparency, and accountability through computerization.
* Action Required: Implement the ERP system, integrate with national platforms, and provide necessary services to members.
* **Government of India:**
* Impact: Streamlined agricultural credit and service delivery through integrated platforms.
* Action Required: Ensure effective implementation of the computerization project and monitor the progress of various schemes.
* **NABARD, State Cooperative Banks (StCBs), District Central Cooperative Banks (DCCBs):**
* Impact: Enhanced coordination and seamless accounting through the integration of PACS.
* Action Required: Support the computerization of PACS, facilitate training, and ensure effective credit linkage.
* **Women Self Help Groups (SHGs):**
* Impact: Enhanced access to credit through Agricultural Credit Cooperatives
* Action Required: Utilize available loan and advances from Agricultural Credit Cooperatives.
Key Entities Referenced
National Cooperative Development Corporation: A corporation established in March 1963 under the NCDC Act 1962, aimed at promoting and developing farmer cooperatives.
Primary Agricultural Cooperative Societies: Agricultural credit societies at the village level that form the lowest tier of the three-tier cooperative credit structure.
NABARD: National Bank for Agriculture and Rural Development, a development bank in India focusing on agriculture and rural development.
YUVA SAHAKAR Cooperative Enterprise Support and Innovation Scheme: A scheme launched in the financial year 2019-20 to encourage newly formed cooperative societies with innovative ideas.
AYUSHMAN SAHAKAR: A scheme launched in the financial year 2020-21 to cover hospitals, healthcare, medical education, and holistic health systems.
Digital India: A Government of India initiative to transform India into a digitally empowered society and knowledge economy.
Digital SAHAKAR: A scheme operational since 2021-22 that focuses on financial assistance for digitally empowered cooperatives, aligned with the principles of Digital India.
Pradhan Mantri Kisan Samriddhi Kendras: A scheme to develop PACS as hubs for delivering benefits from schemes such as Pradhan Mantri Kisan Samriddhi Kendras PMKSK, Common Service Centres CSCs, Pradhan Mantri Bhartiya Janaushadhi Kendras PMBJK
GOVERNMENT OF INDIA
MINISTRY OF COOPERATION
LOK SABHA
UNSTARRED QUESTION NO. 4216
TO BE ANSWERED ON 19th AUGUST, 2025
NATIONAL COOPERATIVE DEVELOPMENT CORPORATION
4216. Shri Malvinder Singh Kang :
Will the Minister of COOPERATION (सहकारिता मंत्री) be pleased to state:
(a) the salient features of National Cooperative Development Corporation (NCDC);
(b) the type of schemes that have been launched under the NCDC so far, year wise; and
(c) the new measures/initiatives that have been taken by the Government on the
computerization of Primary Agricultural Cooperative Societies (PACS) across the country
along with the steps taken thereon ?
ANSWER
THE MINISTER OF COOPERATION
सहकारिता मंत्री (SHRI AMIT SHAH)
(a): National Cooperative Development Corporation (NCDC) was established in March, 1963,
under an Act of Parliament (NCDC Act 1962) and amended in 1974 and 2002. The major
objective of the Corporation is to promote, strengthen and develop farmer cooperatives for
increasing production and productivity and instituting post harvest facilities with focus on
programmes of agricultural marketing and inputs, processing, storage and marketing of
agriculture produce and supply seeds, fertilizer and other agricultural inputs etc.
(b): National Cooperative Development Corporation (NCDC) has been providing financial
assistance to the cooperative sectors for the following activities and services:
a) Marketing
b) Processing:
c) Storage:
d) Cold Chain:
e) Industrial:
f) Distribution of essential consumer articles through cooperatives:
g) Credit & Service Cooperatives/ Notified Services:
h) Cooperative Banking Unit:
i) Agricultural Services:
j) District Plan Schemes:
k) Weaker Section Cooperatives:
l) Assistance for Computerization of Cooperatives:
m) Promotional and Developmental programmes.In recent years, NCDC has introduced sector-specific schemes and focused products to
align with the evolving needs of the cooperative sector, with special emphasis on women
empowerment, digitization of cooperatives, and rural healthcare as under:
1. YUVA SAHAKAR - Cooperative Enterprise Support and Innovation Scheme: The
scheme launched in the financial year 2019-20 aims at encouraging newly formed
cooperative societies with new and/ or innovative ideas.
2. AYUSHMAN SAHAKAR: The scheme launched in the financial year 2020-21 has a
comprehensive approach to cover hospitals, healthcare, medical education, nursing
education, paramedical education, health insurance and holistic health systems such as
AYUSH.
3. NANDINI SAHAKAR: The scheme is in operation since financial year
2020-21, which aims to improve the socio-economic status of women and supports the
entrepreneurial dynamism of women through women’s cooperatives. It will converge
critical inputs of women’s enterprise, business plan formulation, capacity development,
credit and subsidy, and/ or interest subvention of other schemes.
4. DAIRY SAHAKAR: The scheme launched in the financial year 2021-22 is a cooperative
dairy business focused framework of financial assistance for encouraging cooperatives to
achieve higher outcomes in ESG (environmental, social, governance) linked activities. It
includes the creation of infrastructure by cooperatives for new projects and modernization
and/or expansion of existing projects.
5. DIGITAL SAHAKAR: The scheme is in operation since 2021-22 aligned with the
principles of Digital India, NCDC has conceived a focused financial assistance framework
for Digitally Empowered Cooperatives for handholding and credit linkage by NCDC,
dovetailed with grant, subsidy, incentives, etc. from the Government of India / State / UT /
agencies with the objective of cooperatives actively partaking in Digital India.
6. SWAYAM SHAKTI SAHAKAR YOJNA: The scheme launched in the financial year
2022-23 for providing NCDC's financial assistance to Agricultural Credit Cooperatives for
providing loan/advances to Women Self Help Groups (SHGs) .
7. DEERGHAVADHI KRISHAK PUNJI SAHAKAR YOJNA: The scheme launched in
the financial year 2022-23 for extending NCDC's long-term financial assistance to
Agricultural Credit Cooperatives towards their onward lending of long-term loans/advances
for activities/commodities/services under the purview of NCDC .
8. Erstwhile Central Sector Scheme for Grant in aid to National Cooperative
Development Corporation: for Strengthening of Cooperative Sugar Mills (CSMs).
9. Erstwhile Central Sector Integrated Scheme on Agricultural Cooperation (CSISAC) -
Assistance to NCDC Programme for Development of Cooperatives.National Cooperative Development Corporation also provides loan (Long term and
short term) from its own funds and subsidy after dovetailing other Central Sector Schemes as
detailed below:
I. Agricultural Marketing Infrastructure (AMI) sub-scheme of Central Sector Integrated
Scheme on Agriculture Marketing (CSISAM)for Storage and other than Storage
Infrastructure - Ministry of Agriculture & Farmer’s Welfare.
II. Mission for Integrated Development of Horticulture (MIDH) – Integrated Post Harvest
Management - Ministry of Agriculture & Farmer’s Welfare.
III. Interest Subvention & Credit Guarantee through Financing Facility under Agriculture
Infrastructure Fund scheme - Ministry of Agriculture & Farmers’ Welfare.
IV. Assistance for Boosting the Seed Production component under the Sub-Mission for Seed
and Planting Material (SMSP) of the National Mission on Agricultural Extension and
Technology (NMAET).
V. PM Matsya Sampada Yojana (PMMSY) – Department of Fisheries, Ministry of Fisheries,
Animal Husbandry and Dairying.
VI. PM Formalisation of Micro Food Processing Enterprises (PMFME) - Ministry of Food
Processing Industries.
VII. Scheme for Formation and Promotion of 10,000 Farmer Producer Organizations (FPOs)
– Ministry of Agriculture & Farmer’s Welfare.
VIII. (1) Pradhan Mantri Kisan Sampada Yojna (PMKSY) – Scheme for Food Processing and
Value Addition - Ministry of Food Processing Industries.
(2) Pradhan Mantri Kisan Sampada Yojna (PMKSY) - Integrated Cold Chain and Value
Addition Infrastructure Scheme - Ministry of Food Processing Industries.
IX. National Scheduled Tribes Finance and Development Corporation (NSTFDC) - Ministry
of Tribal Affairs.
X. National Livestock Mission (NLM) and Rashtriya Gokul Mission (RGM) - Department
of Animal Husbandry and Dairying, Ministry of Fisheries, Animal Husbandry &
Dairying.
XI. Re-aligned Animal Husbandry Infrastructure Development Fund (AHIDF), Ministry of
Fisheries, Animal Husbandry & Dairying.
(c): 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 the 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, Public Distribution 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.
Computerization of PACS aims to improve operational efficiency, transparency, and
accountability. Key benefits include:
• Speedy disbursal of loans.
• Lowering of transaction costs.
• Reduction in imbalances in payments and seamless accounting with DCCBs and St.CBs.
• Enhanced trustworthiness in the working of PACS among farmers.
PACS are also developed as hubs for delivering benefits from schemes such as Pradhan
Mantri Kisan Samriddhi Kendras (PMKSK), Common Service Centres (CSCs), Pradhan Mantri
Bhartiya Janaushadhi Kendras (PMBJK), interest subvention, fertilizer and seed distribution,
Public Distribution System (PDS) outlets, LPG/Petrol/Diesel dealerships, Custom Hiring, etc..
The Government has initiated steps to integrate the PACS ERP system with other national
platforms to streamline agricultural credit and service delivery. These include integration with
Pradhan Mantri Kisan Samriddhi Kendras (PMKSK), Common Service Centres (CSCs),
Pradhan Mantri Bhartiya Janaushadhi Kendras (PMBJK), Kisan Rin Portal etc.
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