Parliament Question: PACS Integration with PM-KISAN

GOVERNMENT OF INDIA MINISTRY OF COOPERATION LOK SABHA UNSTARRED QUESTION NO. 4294 TO BE ANSWERED ON 19th AUGUST, 2025 PACS Integration with PM-KISAN †4294. Shri Darshan Singh Choudhary: Will the Minister of COOPERATION (सहकारिता मंत्री) be pleased to state: (a) the manner in which Primary Agricultural Credit Society (PACS) has been integrated with Pradhan Mantri Kisan Samman Nidhi (PM-KISAN) or other Central schemes; (b) the regulatory frameworks put in place by the Government to strengthen the financial sustainability of PACS; and (c) the mechanisms put in place by the Government to monitor and evaluate the activities of PACS? ANSWER THE MINISTER OF COOPERATION सहकारिता मंत्री (SHRI AMIT SHAH) (a): Ministry of Cooperation has taken multiple measures to integrate Primary Agricultural Credit Societies (PACS) with PM-KISAN and other Central schemes, with a view to making PACS local-level service delivery hubs for farmers. These includes:- 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:- • PACS as Pradhan Mantri Kisan Samriddhi Kendras (PMKSK) providing fertilizers, pesticides and various other agri inputs to farmers under one roof. So far, 36,592 PACS have been upgraded into PMKSKs.• 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, 47,918 PACS have started functioning as CSC. • PACS as Pradhan Mantri Bhartiya Janaushadhi Kendras (PMBJK) to ensure availability of quality generic medicines to rural citizens at affordable prices. So far, 762 PACS have got Store Codes from PMBI and are ready to function as PMBJK. • 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. • 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 shared by 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. • 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. • 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, 539 PACS have been identified/ selected by 8 States/ UTs to provide O&M services at Panchayat/ Village level. • Formation of new Farmer Producer Organizations (FPOs) by PACS: Against the additional target of 1,100 FPOs allocated to NCDC by Department of Agriculture & Farmers Welfare, GoI, it has registered 1,117 FPOs in Cooperative Sector through PACS. This enables cooperative sector in general, and PACS in particular, to generate alternative sources of revenues for their members, thus transforming themselves into viable, dynamic and financially sustainable economic entities. (b): ERP enabled software brings audit transparency which leads to better financial management which together with diversified business leads to greater financial sustainability of PACS. Model Bye-laws allow PACS to diversify into more than 25 economic activities such as dairy, fishery, warehousing, LPG distribution, PMBJK, PMKSK, Fair Price Shops, etc., thereby reducing over-dependence on short-term credit. The bye-laws also provide for enhanced governance norms, transparency, and inclusive membership, including representation for women and SC/ST members.(c): The Government has instituted multiple mechanisms for continuous monitoring and evaluation of PACS activities, including: ▪ National Cooperative Database (NCD): A comprehensive, API-enabled repository that captures real-time data on PACS registration, membership, audit compliance, operational status, and financial indicators, allowing central and State authorities to monitor sector health. ▪ ERP/MIS and Standardized Financial Reporting: The ERP platform includes modules for accounting, loan tracking, procurement, and inventory management, with built-in MIS dashboards and audit trails. This facilitates regular oversight by DCCBs/StCBs/NABARD and Registrar of Cooperative Societies (RCS). ▪ Cooperative Ranking Framework: A national framework to evaluate PACS performance based on financial health, governance, infrastructure, and service delivery, encouraging peer benchmarking and incentivizing improved performance. ▪ Standard Operating Procedures (SOPs): Issued for establishing new multi- purpose PACS, dairy/fishery cooperatives, and implementing the grain storage plan, these SOPs define timelines, responsibilities, and monitoring checkpoints. ▪ Review and monitoring mechanism by Ministry: The Ministry of Cooperation (MoC) has adopted a multi-layered approach to evaluate the impact of these initiatives, ensuring effective implementation at the grassroots level. Regular monthly review meetings are conducted with States/UTs to assess progress, particularly in the PACS computerization Project. Key stakeholders like States/UTs, including NABARD have been engaged to review the implementation of this project. Additionally, a structured monitoring framework has been established, comprising the National Level Monitoring and Implementation Committee (NLMIC), State and District Level Implementation and Monitoring Committees (SLIMC and DLIMC), State Cooperative Development Committee (SCDC) (under the Chief Secretary), and District Cooperative Development Committee (DCDC) (under the District Collector). These bodies ensure effective implementation, oversight, and coordination of all cooperative sector initiatives, including PACS computerization. Further, NITI Aayog has conducted an impact evaluation of Centrally Sponsored Schemes (CSS) in the Agriculture & Allied Sector, which includes "Computerization of PACS" and "Strengthening of Cooperatives through IT Interventions" under the Ministry of Cooperation. *****