Lok Sabha Question No. 4540 (UNSTARRED), answered on 2023-03-28
Subject: Schemes under Cooperatives
Ministry: COOPERATION
Asked by: Manoj Kumar Tiwari

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA UNSTARRED QUESTION NO. 4540 TO BE ANSWERED ON 28/03/2023

## Schemes under Cooperatives

## 4540.  SHRI MANOJ TIWARI:

Will the Minister of COOPERATION ( सहकाįरता मंũी ) be pleased to state:

- (a) the details of various schemes functional in the country in the field of cooperatives;
- (b) the schemes being implemented for the development of this sector in Delhi and the total funds allocated for the said purpose; and
- (c) whether the Government has received any proposal from Delhi Government for work in this sector and if so, the details thereof?

## ANSWER

## THE MINISTER OF COOPERATION सहकाįरता मंũी (SHRI AMIT SHAH)

(a)  &  (b):  In  order  to  realize  the  vision  'from  cooperation  to  prosperity',  strengthening  of  cooperative movement in the country, deepening its reach up to the grassroots and promotion of cooperative ecosystem in various sectors, government is implementing various schemes - central sector and centrally sponsored schemes, programmes and initiatives across the country, including Delhi.  In this regard, Ministry of Cooperation, since its formation in July, 2021, has taken many initiatives such as:

1. Centrally  Sponsored  Project  for  Computerization  of  PACS:  Process  to  onboard  63,000 PACS on an ERP based common national software with an outlay of ₹2,516 Crore started.
2. Model byelaws for PACS: Model byelaws prepared and circulated for their adoption as per  the  respective  State  Cooperatives  Act  to  enable  PACS  to  undertake  more  than  25 business activities like dairy, fishery, setting up of godowns, LPG/ Petrol/ Green energy distribution agency, banking correspondents, CSC, etc.
3. PACS as Common Service Centres (CSC): MoU signed between Ministry of Cooperation, Ministry  of  Electronics  and  Information  Technology,  NABARD  and  CSC  -  SPV  to facilitate  functioning  of  PACS  as  CSCs  to  improve their  viability,  provide e-services  at village level and generate employment.
4. National Cooperative Database: Preparation of an authentic and updated data repository of cooperatives  in  the  country  started  to  facilitate  stakeholders  in  policy  making  and implementation.
5. Establishment of Multi-Purpose PACS, Dairy and Fisheries Cooperative Societies in every Panchayat/Village:  A plan has been  approved by  the Government to set up 2 lakh new multi-purpose PACS, dairy and fisheries cooperatives covering every Panchayat/Village in the next five years by taking advantage of various existing schemes.
6. National  Cooperative  Policy:  A  National  level  committee  comprising  of  experts  and stakeholders drawn  from  all over the Country  constituted to  formulate  the  New Cooperation Policy to create an enabling ecosystem to realize the vision of 'Sahakar-seSamriddhi'.
7. Amendment of MSCS Act, 2002: Bill introduced in the Parliament to amend the centrally administered MSCS  Act, 2002 to incorporate provisions of 97 th Constitutional Amendment,  strengthen  governance,  enhance  transparency,  increase  accountability  and reform electoral process in the Multi State Cooperative Societies.
8. National Cooperative Development Corporation: New schemes for cooperatives launched by  NCDC in various  sectors  such  as  'Swayam  shakti  Sahkar'  for  SHG;  'Deerghavadhi Krishak  Sahkar'  for  long  term  agricultural  credit;  'Dairy  Sahkar'  for  dairy  and  'Neel Sahkar'  for  fisheries.  Total  financial  assistance  of  Rs.  34,221  Crores  disbursed  in  FY 2021-22.
9. Member  Lending  Institutions  in  Credit  Guarantee  Fund  Trust:  Non-scheduled  UCBs, StCBs  and  DCCBs  notified  as  MLIs  in  CGTMSE  Scheme  to  increase  share  of cooperatives in lending.
10. Cooperatives as 'buyers' on GeM portal: Cooperatives permitted to register as 'buyer' on GeM,  enabling  them  to  procure  goods  and  services  from  nearly  40  lakh  vendors  to facilitate economical purchases and greater transparency.
11. Reduction in surcharge on cooperative societies: Surcharge reduced from 12 % to 7% for co-operative societies having income between Rs. 1 to 10 Cr.
12. Reduction  in  Minimum  Alternate  Tax:  MAT  reduced  for  cooperatives  from  18.5%  to 15%.
13. Relief  under  Section  269ST  of  IT  Act:  A  clarification  has  been  issued  to  remove difficulties in cash transactions by cooperatives under Section 269ST of IT Act.
14. Lowering tax rate for new cooperatives: Announcement made in the Union Budget 202324  to  charge  flat  lower  tax  rate  of  15%,  compared  with  current  rate  of  upto  30%  plus surcharge, for new cooperatives commencing manufacturing activities till March 31, 2024.
15. Increase in limit of deposits and loans in cash by PACS and PCARDBs:  Announcement made in the Union Budget 2023-24 to increase limit from Rs. 20,000 to Rs. 2 lakh per member for deposits and loans in cash by PACS and PCARDBs.
16. Increase in limit for TDS: Announcement made in the Union Budget 2023-24 to increase cash  withdrawal  limit  for  cooperatives  from  Rs.  1  Crore  to  Rs.  3  Crore,  per  annum, without being subjected to TDS.
17. Relief  to  Sugar  Cooperative  Mills:  Sugar  cooperative  mills  not  to  be  subjected  to additional  income  tax  for  paying  higher  sugarcane  prices  to  farmers  upto  Fair  and Remunerative or State Advised Price.
18. Resolution of chronic pending issues of Sugar Cooperative Mills: Announcement made in the  Union  Budget  2023-24  to  allow  sugar  cooperatives  to  claim  as  expenditure  their payments to sugarcane farmers for the period prior to assessment year 2016-17, giving a relief of nearly Rs. 10,000 crores.
19. New  National  Multi-State  Cooperative  Seed  Society:  New  apex  national  multi-state cooperative  seed  society  being  established  under  the  MSCS  Act,  2002  as  umbrella organization for quality seed cultivation, production and distribution under a single brand.
20. New National  Multi-State  Cooperative  Organic  Society:  New  apex  national  multi-state cooperative  organic  society  being  established  under  the  MSCS  Act,  2002  as  umbrella organization to produce, distribute and market certified and authentic organic products.
21. New  National  Multi-State  Cooperative  Export  Society:  New  apex  national  multi-state cooperative  export  society  being  established  under  the  MSCS  Act,  2002  as  umbrella organization to give thrust to exports from cooperative sector.

In  addition  to  the  initiatives  taken  by  the  Ministry  of  Cooperation,  other  Ministries/ Departments are also running several schemes for providing benefits to the cooperatives, such as:-

1. Agricultural Infrastructure Fund (AIF) is a Central Sector Scheme being implemented by  Ministry  of  Agriculture  &  Farmers  Welfare,  envisages  creation  of  post-harvest management  infrastructure  and  community  farming  assets through  incentives and financial support in order to improve agriculture infrastructure in the country.
2. Agricultural  Marketing  Infrastructure  (AMI) is  a  Central  Sector  Scheme  being implemented by Ministry of Agriculture & Farmers Welfare for holistic development of agricultural  value  chain.  AMI  lays  special  focus  on  developing  and  upgrading  Gramin Haats as GrAMs through strengthening of infrastructure.
3. Sub-Mission  on  Agricultural  Mechanization  (SMAM) is  a  Centrally  Sponsored Scheme being  implemented  by  Ministry  of  Agriculture  &  Farmers  Welfare,  envisages setting up of custom hiring centers and hubs for hi-tech and high value farm equipment with an aim to increase farm mechanization.
4. Mission for Integrated Development of Horticulture (MIDH) is a Centrally Sponsored Scheme being implemented by Ministry of Agriculture & Farmers Welfare for holistic growth of horticulture sector. Various activities, like setting up of post-harvest infrastructure including cold storage, cooling chambers and marketing infrastructure are included under MIDH.
5. PM  Formalization  of  Micro  Food  Processing  Enterprises  Scheme  (PMFME) is  a Centrally  Sponsored  Scheme  being  implemented  by  Ministry  of  Food  Processing Industries  which  aims  to  create  an  organized  supply  chain  for  micro  food  processing units. It envisages shifting of 2 lakh enterprises into the formal framework.
6. Pradhan  Mantri  Kisan  SAMPADA  Yojana  (PMKSY) is  a  Central  Sector  Scheme being  implemented  by  Ministry  of  Food  Processing  Industries  which  aims  to  create modern infrastructure with efficient supply chain management from farm gate to retail outlet. It comprises several sub-schemes viz. creation of food processing and preservation capacities, operation greens, integrated cold chain and value addition Infrastructure, etc.
7. National Programme for Dairy Development (NPDD) a Central Sector Scheme being implemented by Department of Animal Husbandry and Dairying, aims to enhance quality of milk and milk products and increase share of organized procurement, processing, value addition and marketing.
8. Dairy  Processing  and  Infrastructure  Development  Fund  (DIDF) a  Central  Sector Scheme being implemented by Department of Animal Husbandry and Dairying, aims to modernize and  create  milk  processing  infrastructure,  including  manufacturing  facilities for value added products, milk chilling infrastructure, setting up electronic milk testing equipment, etc.
9. Pradhan  Mantri  Matsya  Sampada  Yojana  (PMMSY) is  a  Centrally  Sponsored umbrella scheme with a Central Sector Scheme component as well, being implemented by Department of Fisheries. It is designed to address critical gaps in fish production and productivity, quality, technology, post-harvest infrastructure and management, modernization and strengthening of value chain, etc.
10. Fisheries  and  Aquaculture  Infrastructure  Development  Fund  (FIDF) is  a  Central Sector  Scheme  being  implemented  by  Department  of  Fisheries,  with  an  aim  to  create fisheries infrastructure facilities, both in marine and inland fisheries sectors and augment fish production in the country.
11. Tribal Co-Operative Marketing Development Federation of India Limited (TRIFED) spearheads  implementation  of  Van  Dhan  programme  for  collection  and selling  of  Minor  Forest  Produce  (MFP)  in  Districts  which  have  predominantly  forest dwelling tribal population. It envisages setting up of tribal community-owned Van Dhan Vikas Kendra Clusters (VDVKCs) in the Tribal Districts.

(c):  No,  Sir.  No  proposal  has  been  received  from  Delhi  Government  by  the  Ministry  of Cooperation or NCDC.

****