**Executive Summary**
This document is the response from the Minister of Cooperation to the Lok Sabha Unstarred Question No. 2719, answered on December 16th, 2025, regarding the National Cooperative Policy, 2025. It outlines specific mechanisms proposed in the policy to maintain democracy and trust in cooperative institutions, standardization of cooperative education, the status of the Vice-Chancellor appointment at Tribhuvan Cooperative University (TSU), and the outcome assessment of model bye-laws adoption for PACS (excluding West Bengal). States and UTs are expected to amend Acts and Rules to provide more autonomy, ease of doing business, and better governance.
**Key Points / Main Content**
* **Maintaining Democracy and Trust in Cooperatives (NCP, 2025)**
* States/UTs are encouraged to amend Cooperative Societies Acts and Rules to:
* Ensure autonomous functioning and democratic member control.
* Ensure free and fair elections of Board of Directors and office bearers.
* Ensure transparent recruitment processes.
* States/UTs are encouraged to fully digitalize Registrar offices to:
* Facilitate all types of communications and interactions with cooperative societies through online digital means.
* Facilitate the development and adoption of model bye-laws for cooperatives with a focus on strengthening members to:
* Ensure the active participation of members.
* Make provision for a mechanism that collects member-centric feedback and promote the activation of dormant members.
* Promote membership among women and weaker sections of the community
* Ensure centrality of members in decision-making,
* Ensure transparent and corruption-free organizational governance,
* Promote the induction of young and qualified manpower for various positions.
* **Cooperative Education**
* The University will serve as the apex institution for cooperative education and training, implementing standardized curricula and teaching methodologies.
* **Tribhuvan Cooperative University (TSU) Vice-Chancellor Appointment**
* The appointment process for the first Vice-Chancellor of TSU was initiated in July 2025.
* Advertisement for inviting applications was issued from 12th July 2025 to 11th August 2025, through the e-Samarth portal of the Ministry of Education.
* A Search-cum-Selection Committee has been constituted as per the Statutes of the University.
* **PACS and Central Schemes Linkages**
* Model Byelaws for PACS have been prepared and circulated to enable PACS to undertake more than 25 business activities and improve governance.
* PACS integration with PM-KISAN and other Central schemes (PMKSK, PMBJK) is underway to make PACS local-level service delivery hubs for farmers, including:
* ERP-enabled convergence with farmer databases via a uniform ERP-based platform.
* Enabling PACS to participate in Central schemes:
* Becoming Pradhan Mantri Kisan Samriddhi Kendras (PMKSK).
* Becoming Common Service Centers (CSCs).
* Becoming Pradhan Mantri Bhartiya Janaushadhi Kendras (PMBJK).
* Becoming eligible for Retail Petrol/ Diesel outlets.
* Being given permission to convert bulk consumer petrol pumps into retail outlets.
* Becoming eligible for LPG Distributorships.
* Becoming eligible to carry out Operations & Maintenance (O&M) of piped water supply schemes in rural areas.
**Impact Analysis**
**States/UTs**
* **Impact**
* Required to amend Cooperative Societies Acts and Rules to align with the NCP, 2025.
* Expected to digitalize Registrar offices.
* **Action Required**
* Amend Cooperative Societies Acts and Rules.
* Digitalize Registrar offices.
**Tribhuvan Cooperative University (TSU)**
* **Impact**
* Initiate and complete the process of appointing its first Vice-Chancellor.
* **Action Required**
* Finalize the appointment of the Vice-Chancellor.
**Primary Agricultural Credit Societies (PACS)**
* **Impact**
* Increased business opportunities and potential for improved governance.
* Integration with various central government schemes to act as service delivery hubs.
* **Action Required**
* Adopt the circulated Model Byelaws.
* Participate in relevant Central schemes.
**Members of Cooperatives**
* **Impact**
* Increased participation of members is to be ensured.
* Member centric feedback is to be collected.
* **Action Required**
* Actively participate in cooperatives.
* Provide regular feedback.
Key Entities Referenced
National Cooperative Policy, 2025: A policy by the Ministry of Cooperation aimed at maintaining democracy and trust in cooperative institutions, standardizing cooperative education, and facilitating the adoption of model bye-laws.
Primary Agricultural Credit Societies (PACS): Local-level service delivery hubs being integrated with various central schemes to improve governance, transparency, and accountability.
Ministry of Cooperation: The central ministry responsible for formulating and implementing policies related to the cooperative sector in India.
Tribhuvan Cooperative University (TSU): A university designated as the apex institution for cooperative education and training.
PM-KISAN, PMKSK, PMBJK: Central schemes with which PACS are being linked (Pradhan Mantri Kisan Samman Nidhi, Pradhan Mantri Kisan Samriddhi Kendra, Pradhan Mantri Bhartiya Janaushadhi Kendra).
GOVERNMENT OF INDIA
MINISTRY OF COOPERATION
LOK SABHA
UNSTARRED QUESTION NO. 2719
ANSWERED ON 16th DECEMBER, 2025
National Cooperative Policy, 2025
2719. Shri Amar Sharadrao Kale
Will the Minister of COOPERATION (सहकारिता मंत्री) be pleased to state:
(a) the specific mechanisms suggested in the National Cooperative Policy, 2025 to maintain
democracy and trust in cooperative institutions;
(b) the manner in which the Government proposes to standardize the curriculum and teaching
methodology for cooperative education under the new policy;
(c) whether the Tribhuvan Cooperative University (TSU) has initiated the process to appoint
its first Vice-Chancellor after August 2025 and if so, the details thereof; and
(d) the details of the outcome assessment of the adoption of model bye-laws for PACS in all
States except West Bengal?
ANSWER
THE MINISTER OF COOPERATION
सहकारिता मंत्री (SHRI AMIT SHAH)
(a) The details of the specific mechanisms proposed in the National Cooperative Policy (NCP),
2025 to maintain democracy and trust in cooperatives are reproduce below as given in
following sub-sections of NCP-
3.1.1 Encourage States/UTs to suitably amend their respective Cooperative Societies
Acts and Rules to provide autonomy, enhance the ease of doing business and good
governance in order to:
3.1.1.1 ensure autonomous functioning and democratic member control,
3.1.1.3 ensure free and fair elections of Board of Directors and office bearers,
3.1.1.4 ensure transparent recruitment processes,3.1.4. Encourage States/UTs to completely digitalize all processes of States’ Registrar
offices (as provisioned in their respective Acts) to make them paperless to:
3.1.4.1. Facilitate all types of communications and interactions with cooperative societies
with the Registrar offices through online digital means, such as web portals, e-mail
messaging, mobile phone-based messaging, etc.,
6.1.4. Facilitate the development and adoption of model bye-laws for cooperatives across
different tiers and sectors with a focus on strengthening members to:
6.1.4.1. ensure the active participation of members,
6.1.4.2. make provision for a mechanism that collects member-centric feedback and
promote the activation of dormant members,
6.1.4.3. promote membership among women and weaker sections of the community
6.1.4.4. ensure centrality of members in decision-making,
6.1.4.5. ensure transparent and corruption-free organizational governance,
6.1.4.6. promote the induction of young and qualified manpower for various positions.
(b) The University will serve as the apex institution for cooperative education and training. It
will strive to implement standardized curricula and teaching methodologies through its
affiliated institutions, Centres of Excellence, and outlying campuses across the country.
(c) The appointment process for the first Vice-Chancellor (VC) of the Tribhuvan Sahkari
University (TSU) was initiated in the first week of July 2025 itself. Advertisement for inviting
applications for the post of the Vice-Chancellor issued in National Dailies from 12th July 2025
to 11th August 2025, through the e-Samarth portal of the Ministry of Education.
Search-cum-Selection Committee has been constituted as per the Statutes of the
University.
(d) In order to link PACSs with central schemes like PM-KISAN, PMKSK, and PMBJK,
Government, in consultation with all the stakeholders, including States/ UTs, National LevelFederations, State Cooperative Banks (StCBs), District Central Cooperative Banks (DCCBs),
etc., has prepared and circulated Model Byelaws for PACS to all the States/ UTs, which enable
PACS to undertake more than 25 business activities, improve governance, transparency and
accountability in their operations. Ministry of Cooperation has taken multiple measures to
integrate Primary Agricultural Credit Societies (PACS) with PM-KISAN and other Central
schemes like PMKSK, and PMBJK; with a view to making PACS local-level service delivery
hubs for farmers. These include:
1. ERP-enabled Convergence with Farmer Databases: The Centrally Sponsored Project on
Computerization of PACS provides a uniform ERP-based platform by integrating national
portals such as PM-KISAN, Pradhan Mantri Kisan Samriddhi Kendra(PMKSK), interest
subvention, fertiliser and seed distribution, PDS outlets, LPG/Petrol/Diesel dealerships, custom
hiring, PM Jan Aushadhi Kendras, Common Service Centres, Pradhan Mantri Fasal Bima
Yojana (PMFBY), etc.
2. Multi-Sectoral Scheme Linkages: PACS have also been enabled to participate in a range
of Central schemes, including:
i. PACS as Pradhan Mantri Kisan Samriddhi Kendras (PMKSK) providing fertilizers,
pesticides and various other agri inputs to farmers under one roof. So far, 38,330
PACS have been upgraded into PMKSKs.
ii. PACS as Common Service Centers (CSCs) to deliver more than 300 e-services such
as banking, insurance, electricity bill payments, health services, legal services, etc.
to rural citizens; etc. So far, 51,183 PACS have started functioning as CSC.
iii. PACS as Pradhan Mantri Bhartiya Janaushadhi Kendras (PMBJK) to ensure
availability of quality generic medicines to rural citizens at affordable prices. So
far, 799 PACS have got Store Codes from PMBI and are ready to function as
PMBJK.
iv. PACS made eligible for Retail Petrol/ Diesel outlets: Government has allowed
PACS to be included in the Combined Category 2 (CC2) for allotment of retail
petrol/ diesel outlets.
v. PACS given permission to convert bulk consumer petrol pumps into retail outlets:
The existing bulk consumer licensee PACS have been given a one-time option by
Oil Marketing Companies to convert into retail outlets. As per information sharedby OMCs, 117 wholesale consumer pump licensee PACS from 5 States have given
consent for conversion into Retail Outlets, out of which 59 PACS have been
commissioned by the OMCs.
vi. PACS made eligible for LPG Distributorship for diversifying its activities:
Government has now allowed PACS to apply for LPG Distributorships. This will
give PACS an option to increase their economic activities and diversify their
income stream.
vii. PACS have been made eligible to carry out Operations & Maintenance (O&M) of
piped water supply schemes in rural areas. As per information received from States/
UTs, 763 PACS have been identified/ selected by 11 States/ UTs to provide O&M
services at Panchayat/ Village level.
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