Economy India
Cover Story

Cooperative India, on the surge again

Strengthening Cooperative Movement & Deepening its Reach up to the Grassroots
• Establishing new multipurpose PACS or primary dairy/ fishery cooperatives in each uncovered Panchayat/ village
• Authorizing IMC to modify guidelines of identified schemes, including provision for social mobilization
• Utilization of outlays provided under identified schemes
• Project Management Unit (PMU) to be set up at NCDC
•Action Plan to be prepared by NABARD, NDDB & NFDB

World Food Grain Production
Need for Increasing Storage Capacity in India
•Cultivable Area: World (138 crore hectare); India (16 crore hectare) — 11%
•Population: World (790 crore); India (140 crore) — 18%
•To meet the food requirements of 18% population from 11% cultivable land
Steps to be taken:
•Increasing Agricultural Productivity — use of certified seeds — Setting up new National Seed Cooperative Society, etc.
•Increasing Cultivable Land — Watershed development under Pradhan Mantri Krishi Sinchayee Yojana,etc.
•Augmenting Storage Capacity —
World’s Largest Food Grain Storage Plan in Cooperative Sector
Total use of food per day/person
World — Food and Agriculture Organization,FAO (960 grams)
India — Economic Survey of India, 2022 — (500 grams)
Need for Increasing Storage Capacity in India
Need for Decentralized Food Grain Storage in India
Integrating the Supply Chain — PACS, Private Sector, FCI, etc.

Current Practices of Food Grain Storage in India:
Production 311 MMT
Storage capacity 145 MMT
Scarcity 166 MMT

Benefit of Decentralised Food grain storage at PACS Level
a. Reduction in post harvest losses of around 6 percent
b. Drastic reduction in multiple handling and transportation cost
c. Prevention of distress sale by farmers at low rates
d. Decentralised procurement by FCI/ State Govt.

Cabinet Approval;
The Cabinet on 31.5.2023, gave the approval for the following:
•Formation and authorization of an Inter-Ministerial Committee (IMC) to modify guidelines/ implementation methodologies of the identified GOI schemes as per requirement
•Implementation of the Pilot Project of the Plan in selected districts of various States/Union Territories
•Formation of three-tier Committees
a National Level Coordination Committee — under the chairmanship of Secretary, MoC
a State Cooperative Development Committee — under the chairmanship of Chief Secretary
a Formation of District Cooperative Development Committee — under the chairmanship of DC/ DM
•Setting up of PMU at NCDC
•DPR for the Pilot Project to be prepared by NABCONS
Action Taken So Far
•Detailed discussions for the Pilot have been held with all the States/UTs by Secretary (Cooperation) and Joint Secretary (Cooperation)
•States/UTs have been requested to identify suitable PACS for the Pilot (> 20 States/ UTs have identified)
•Committee constituted under the chairmanship of MD, NCDC with representatives from NABARD, NABCONS, CWC, FCI, WDRA and concerned Ministries

•Detailed consultations under the chairmanship of Secretary (Cooperation) have been held with the following stakeholders for designing the outline of the Pilot Project:
NABARD, NCDC, NABARD Consultancy Services Limited (NABCONS) FCI, CWC, WDRA
Way Forward

•The State Government and RCS agree to the following:
a Adoption of Model Bye-laws by the concerned PACS
a Giving necessary permissions/ approvals for construction work
•The following functions to be performed by NABCONS:
o Preparation of PACS-specific DPRs
a Preparing layout plan for each identified PACS based on site survey o Preparing training modules for providing training to PACS
a Ensuring linkage of identified PACS with FCI/Private agencies
•Based on the learnings of the Pilot, the project would be expanded throughout the country u

• Convergence of GOI Schemes — • whole-of-government approach
Convergence of GOI Schemes: Total 26,238 out of total1,67,127
Action Taken So Far
•Inter-Ministerial Committee (IMC) constituted under the chairmanship of Hon’b1e Home & Cooperation Minister
•National Level Coordination Committee (NLCC) constituted under the chairmanship of Secretary (Cooperation)
•21 States/ UTs have constituted State & District level Committees (SCDC & DCDC)
•Project Guidelines have been shared with all the States/ UTs
•PMU has been set up at NCDC
Meetings Held So Far
•Meetings held with all the States/ UTs by Secretary (Cooperation) on 11.4.2023 & 13.4.2023
•Discussion under the chairmanship of Secretary (Cooperation) with NABARD, NDDB, NFDB, NCDC and Ministry of Agriculture & Farmers Welfare, Fisheries, Animal Husbandry & Dairying Departments on 02.05.2023
•Training sessions on convergence of GOI Schemes at PACS Level, held with all StCBs and DCCBs on 12.05.2023 and 19.05.2023
•Meeting under the chairmanship of Joint Secretary (Cooperation) held with Principal Secretaries (Cooperation)/ Secretary (Cooperation)/ RCS of States/ UTs on 24.05.2023
Way Forward
7 target – Covering all Gram Panchayats by Multipurpose PACS/ Dairy/ Fishery Cooperative societies
Implementing Agencies – NABARD, NDDB & NFDB
•Action Plans to be finalized by implementing agencies
•Implementing Agencies to work in coordination with each other
•States/ UTs to support through SCDC & DCDC
•Training Programs for convergence of various selected GOI schemes
•Handholding support u

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