Lok Sabha Question No. 118 (STARRED), answered on 2024-07-30
Subject: Bhartiya Beej Sahakari Samiti LImited
Ministry: COOPERATION
Asked by: Shri Devendra Singh Alias Bhole Singh, Shri Ravindra Shukla Alias Ravi Kishan

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA STARRED QUESTION NO. 118 TO BE ANSWERED ON  30/07/2024

## Bhartiya Beej Sahakari Samiti Limited

## †*118 Shri Devendra Singh Alias Bhole Singh: Shri Ravindra Shukla Alias Ravi Kishan:

Will the Minister of COOPERATION ( सहकारिता मंत्री ) be pleased to state

- (a) the objectives and targets of setting up of Bhartiya Beej Sahakari Samiti Limited (BBSSL) by the Government;
- (b)  the manner in which BBSSL is likely to help in promoting rural economy of the country and make the country self-reliant in seed production;
- (c) the manner in which the profit of BBSSL is likely to be utilized; and
- (d)  the manner and extent to which the life of farmers has changed since inception of the BBSSL?

## ANSWER

## THE MINISTER OF COOPERATION सहकारिता मंत्री (SHRI AMIT SHAH)

- (a) to (d): A statement is laid on the table of the House.

## STATEMENT REFERRED TO IN REPLY TO PARTS (a) to (d) OF LOK SABHA STARRED QUESTION NO. 118 DUE FOR ANSWER ON 30 TH  JULY, 2024.

(a):  Ministry of Cooperation has set up Bhartiya Beej Sahkari Samiti Limited (BBSSL) under the Multi-State Cooperative Societies (MSCS) Act, 2002. The BBSSL is promoted by IFFCO, KRIBHCO, NAFED, National Dairy Development Board (NDDB) and NCDC. The initial paid up capital of BBSSL is Rs. 250 Cr with contribution of Rs. 50 Cr each by the five promoters and authorized share capital is Rs. 500 Cr. The BBSSL will undertake production, procurement & distribution of quality seeds under single brand through network of cooperatives to improve crop yield and develop a system for preservation and promotion of indigenous natural seeds. BBSSL will help in increasing the seed replacement rate, and varietal replacement rate by ensuring  the  role  of  farmers  in  production  of  certified  seeds.  This  society  will  focus  on production,  testing,  certification,  procurement,  processing,  storage,  branding,  labelling  and packaging of two generations of seeds i.e.,  foundation and certified  (breeder seeds  will be sourced from Public Sector Research Organizations and International Research Institutes i.e., ICRISAT,  IRRI,  CIMMYT  etc.)  through  Primary Agricultural  Credit  Societies  (PACS)  by leveraging various schemes and policies of different ministries of Government of India in a focused manner through 'Whole of the Government Approach'.

(b): BBSSL will help in increasing the production of quality seeds in India through cooperatives thereby  reducing  the  dependence  on  imported  seeds,  enhancing  agriculture  production, providing  boost  to  rural  economy,  promoting  'Make  in  India'  and  leading  to Atmanirbhar Bharat.

(c):  The provisions for the disposal of net profits have been outlined in clause 55 of the byelaws of BBSSL as under: -

1. Subject to the provisions of the Act and Rules framed there under, the General Body on the recommendations of the Board of Directors may appropriate the net profit in the following manner, namely
- i. Transfer at least 25% of net profit to the reserve fund.
- ii. Credit one percent of its net profit to the co-operative education fund
- iii. An amount of at least 10% of the net profit shall be transferred to a reserve fund specially created for meeting unforeseen losses
2. After making appropriation of net profit under preceding sub-clause, the General Body on the recommendations of the Board may appropriate the balance of the net profit for all or any of the following purposes:
- a. shall aim to pay dividend to members on their paid-up share capital up to 20 percent:

Provided that if owing to shortfall in the undistributed net profit in a year, the dividend could not be paid at the specified rate, the General Body may decide a lesser rate on which the dividend shall be paid to members

- b. Contribution to the education fund, which shall be utilized for the education and training of members, directors and employees on regular basis, as approved by the Board of Directors;
- c. Donations  for  any  purpose  connected  with  the  development  of  co-operative movement  or  charitable  purpose  as  defined  in  section  2  of  the  Charitable Endowments Act, in force;
- d. Payment of ex-gratia amount to employee of the society;
- e. Creation of any other fund;
- f. The  undistributed  profit,  if  any,  shall  be  added  to  the  Reserve  Fund  of  the Society.

Notwithstanding anything contained in clause 54 and 55 (1) & (2) with regard to the payment of net surplus on the sale proceeds of products sourced from a member or payment of dividend on the paid up share capital of members, the Board or the General Body, as the case may be, shall maintain to strike a balance in the payments of net surplus to settle the final price of the product and dividend to be paid to members in a transparent and prudent manner to ensure equitable distribution of net surplus and dividend.

(d): Since its inception on 25.01.2023, the BBSSL is continuously making efforts to achieve its objectives. The BBSSL has launched intense membership drive and so far 11,713 cooperatives from across the country have become its member. BBSSL will register farmer members of these  cooperatives,  who  are  interested  in  production  of  quality  seeds,  through  online application and thereafter engage them in various activities of production of quality seeds. The activities of BBSSL will help in achieving the goal of 'Sahakar-se-Samriddhi' through the inclusive growth model of cooperatives where the members would benefit both by realization of  better  prices  by  production  of  quality  seeds,  higher  production  of  crops  by  use  of  High Yielding Variety (HYV) seeds and also by dividend distributed out of the surplus generated by the society.

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