Lok Sabha Question No. 874 (UNSTARRED), answered on 2023-02-07
Subject: New Cooperatives in Agriculture Sector
Ministry: AGRICULTURE AND FARMERS WELFARE
Asked by: Ramesh Bidhuri

## GOVERNMENT OF INDIA MINISTRY OF AGRICULTURE AND FARMERS WELFARE DEPARTMENT OF AGRICULTURE AND FARMERS WELFARE

## LOK SABHA UNSTARRED QUESTION NO. 874

TO BE ANSWERED ON THE 7 TH  FEBRUARY, 2022

## NEW COOPERATIVES IN AGRICULTURE SECTOR

874. SHRI RAMESH BIDHURI :

Will the Minister of AGRICULTURE AND FARMERS WELFARE क ृ िष एवं िकसान क  याण मंी be pleased to state:

- (a) whether the Government has approved three new cooperatives for agriculture sector to boost capital formation and scale up rural businesses; and
- (b) if so, the details thereof and the reasons therefor?

## ANSWER

## MINISTER OF AGRICULTURE AND FARMERS WELFARE

क ृ िष एवं िकसान क  याण मंी (SHRI NARENDRA SINGH TOMAR)

- (a): Yes, Sir. Union Cabinet on 11th January 2023 approved proposals of Ministry of Cooperation to set up and promote three national level multi state cooperative societies one each for Exports , Seeds and Organic products. These societies have already been registered under Multi State Cooperative Societies Act 2002.
- (b):  There  are  8.54  lakh  registered  cooperatives  in  India  having  29  crore  members largely from the marginalized and lower income groups in rural areas. The cooperatives have substantial contribution in national economy but only few cooperatives are involved in direct exports, seed business and organic products supply chain. As such no exclusive national  level  cooperative  societies  existed  to  address the  needs of  co-operatives  in export, seed and organic product related businesses.

Some of the reasons identified for unsatisfactory participation of cooperatives in above three  sectors  are   lack  of  institutional  support  for  exporting  domestic  surplus, promoting  organic  products  on  sustainable  basis  and  ensuring  availability  of  quality seeds to farmers to improve crop yield; unavailability of the price benefits to producers; inadequate credit support, infrastructure/logistics; lack of knowledge  repository, standardization  &  certification,  technical  know-how,  training  and  capacity  building  to meet market requirements; limitations of market awareness and absence of end to end supply chain.

PROMOTERS & CAPITAL

| Particulars                       | Multi State Cooperative Export Society   | Multi State Cooperative Seed Society   | Multi State Cooperative organic Society   |
|-----------------------------------|------------------------------------------|----------------------------------------|-------------------------------------------|
| Promoters                         | IFFCO, KRIBHCO, NAFED, GCMMF & NCDC      | IFFCO, KRIBHCO, NAFED, NDDB & NCDC     | NDDB, GCMMF, NAFED, NCCF & NCDC           |
| Chief Promoter                    | GCMMF                                    | KRIBHCO                                | NDDB                                      |
| Registered office                 | New Delhi                                | New Delhi                              | Anand, Gujarat                            |
| Authorised share capital (₹in Cr) | 2000                                     | 500                                    | 500                                       |
| Initial paid up capital (₹ in Cr) | 500                                      | 250                                    | 100                                       |

Activities of proposed societies

|   Sl. No. | Name of Society                         | the Main Activity                                                                                                                                                                                                                                      | Ancillary activity                                                                                                                                                                                                          |
|-----------|-----------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|         1 | Multi State Cooperative Export Society  | Undertake direct export of products of cooperatives and related entities and other export promotional activities                                                                                                                                       | Create knowledge repository, facilitate members for credit support, help in providing technical know- how & capacity building, develop & maintain market intelligence system, implement relevant Government related schemes |
|         2 | Multi State Cooperative Seed Society    | Undertake production, procurement & distribution of quality seeds under single brand through cooperative network to improve the crop yield.                                                                                                            | Create knowledge repository, facilitate members for credit support, help in providing technical know- how & capacity building, develop & maintain market intelligence system, implement relevant Government related schemes |
|         3 | Multi State Cooperative organic Society | Undertake marketing of organic products produced by cooperatives and related entities by utilizing brand & marketing network of AMUL as well as developing the same on its own simultaneously. Empanel accredited testing labs & certification bodies. | Create knowledge repository, facilitate members for credit support, help in providing technical know- how & capacity building, develop & maintain market intelligence system, implement relevant Government related schemes |

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