Lok Sabha Question No. 3954 (UNSTARRED), answered on 2026-03-17
Subject: Dirghavadhi Krishak Punji Sahakar Yojana
Ministry: COOPERATION
Asked by: Shri Bidyut Baran Mahato, Smt. Kamlesh Jangde, Shri Vijay Baghel, Smt. Mahima Kumari Mewar, Shri Dilip Saikia, Shri Damodar Agrawal, Shri Haribhai Patel, Shri Janardan Mishra, Shri Ravindra Shukla Alias Ravi Kishan, Shri Vishnu Dayal Ram, Shri Captain Brijesh Chowta, Smt. Aparajita Sarangi, Shri Dineshbhai Makwana, Shri Manoj Tiwari

## GOVERNMENT OF INDIA MINISTRY OF COOPERATION

## LOK SABHA UNSTARRED QUESTION NO. 3954 TO BE ANSWERED ON 17th MARCH 2026

## Dirghavadhi Krishak Punji Sahakar Yojana

3954. Shri Manoj Tiwari:

Shri Damodar Agrawal:

Shri Captain Brijesh Chowta:

Shri Dineshbhai Makwana:

Shri Dilip Saikia:

Smt. Mahima Kumari Mewar:

Shri Vijay Baghel:

Shri Bidyut Baran Mahato:

Smt. Kamlesh Jangde:

Shri Ravindra Shukla Alias Ravi Kishan:

Shri Janardan Mishra:

Shri Haribhai Patel:

Smt. Aparajita Sarangi:

Shri Vishnu Dayal Ram:

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

- (a)  the  eligibility  conditions  and  evaluation  criteria  followed  by  the  National  Cooperative Development Corporation (NCDC) for evaluating the proposals under the 'Dirghavadhi Krishak Punji Sahakar Yojana' (DKPSY);
- (b)  the  process  followed  by  the  NCDC  to  ensure  technical  feasibility,  financial  viability  and adequate security before sanctioning long term financial assistance;
- (c) the monitoring mechanisms, such as field inspections and progress reports, put in place to, ensure proper utilization of the sanctioned funds;
- (d) the recovery process followed in case of loan default along with the legal protections such as actions taken under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act and proceedings in the Debt Recovery Tribunal (DRT);
- (e)  the  details  of  amount  sanctioned  and  released  under  the  said  scheme  during  the  last  three financial years, year-wise; and

(f)  the  manner  in  which  the  said  scheme  has  contributed  to  strengthen  the  agricultural  credit cooperative societies and to increase the long term credit availability in the cooperative sector ?

## ANSWER

## THE MINISTER OF COOPERATION (SHRI AMIT SHAH)

(a) National Cooperative Development Corporation a statutory organization working under administrative control of Ministry of Cooperation launched 'Dirghavadhi Krishak Punji Sahakar Yojana' to ensure increased and uninterrupted credit flow for capital formation in agriculture and allied  sectors.  The  eligibility  criteria  and  appraisal  parameters  to  assess  proposals  under  the 'Dirghavadhi Krishak Punji Sahakar Yojana'  scheme are:-

- i. The cooperative should have been in operation for not less than 3 years.
- ii. The cooperative should have positive net worth, not less than 100% paid up share capital, i.e. there should be no erosion in the paid up share capital.
- iii. The co operative should not have incurred any cash loss during last three years and there should be net profit in at least two of  previous three years.
4. (b) NCDC evaluates the financial health, performance, and credibility of cooperative society and sanctions loan for a project against adequate security while adopting its standard practice of appraisal and due diligence.
5. (c) NCDC  through  its  19  Regional  Offices  and  9  sub  offices  actively  monitors  the implementation  of  schemes  and  ensures  access  to  timely  credit  flow  to  cooperatives.  Field visits/inspections are done periodically for proper monitoring of loan disbursed under the scheme.
6. (d) In  the  event  of  default  in  repayment  of  loan  by  the  borrowing  cooperative  society,  the National Cooperative Development Corporation (NCDC)  follows a structured recovery mechanism in accordance with the applicable legal provisions.

Initially, upon occurrence of default, a legal recall notice is issued to the borrower calling upon it to  repay  the  outstanding  loan  amount  along  with  applicable  interest  and  charges  within  the stipulated period.

Where Post-Dated Cheques (PDCs) are obtained from  the  borrower  as  security,  the  same  are presented  for  realization.  In  case  of  dishonour,  a  statutory  notice  under  Section  138  of  the Negotiable Instruments Act, 1881 is issued, and if the borrower fails to make payment within 15 days of receipt of the notice, appropriate proceedings under the said provision are initiated before the competent court

Further, once the loan account is classified as Non-Performing Asset (NPA) in accordance with the applicable norms, recovery proceedings are initiated under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act, 2002. In  this  process,  a  Demand  Notice  under  Section  13(2)  of  the  SARFAESI Act  is  issued  to  the borrower calling upon it to discharge the entire outstanding liability within 60 days.

In  case  the  borrower  fails  to  comply  with  the  demand  notice  within  the  stipulated  period,  the Corporation proceeds to take measures under Section 13(4) of the SARFAESI Act, in accordance the relevant Rules.

Additionally, wherever considered necessary, Original Applications (OAs) are also filed before the Debt Recovery Tribunal (DRT) under the provisions of the Recovery of Debts and Bankruptcy Act, 1993, for recovery of the outstanding dues. Such proceedings may be pursued simultaneously along with action under the SARFAESI Act.

- (e) details  of  amount  sanctioned  and  released  under  the  said  scheme  during  the  last  three financial years is as under:

(Rs. In crore)

| Financial Year   |   Sanctioned amount |   Disbursed amount |
|------------------|---------------------|--------------------|
| 2022-23          |              400    |                  0 |
| 2023-24          |                0    |                 60 |
| 2024-25          |             5000.76 |               2077 |
| Total            |             5400.76 |               2137 |

- (f) The ' Dirghavadhi Krishak Punji Sahakar Yojana ' has  strengthened Agricultural  Credit Cooperatives by supplementing their resources with  long term financial assistance for onward lending. This has enabled increased and uninterrupted credit flow, promoted capital formation in agriculture  and  allied  activities  and  supported  diversification  into  non-farm  sector  enterprises. Collectively, the scheme has enhanced institutional capacity, broadened outreach, and reinforced the  cooperative  sector's  role  in  providing  sustainable  long-term  credit  and  promoting  rural economic development.

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