m
 

|
  


 


|



  



2 The cooperatives performs the role of institutional agencies.

2 Cooperation was first introduced under the Cooperative Credit

Societies Act, 1904. The CCS Act, 1912 permitted the registration
of cooperative societies.

2 The central & state govt.take the lead in formation of

cooperative at state, district & village levels.

2 The best-suited form of organization for rural people is

cooperatives.E.g. Dairy cooperatives-AMUL & oil seed growers
federation.
 Cooperatives as Organizations - Continue
2 The main intention is to bring persons desirous to have
economic activity together, sharing the function in a such a way
that it benefits them individually or collectively. People come
together are called promoters.

2 Membership is open to all other who are interested.The society

has to register with the State cooperative department & get
legal status.

2 The general body meets at least once in a year to make policy

decisions, review the performance & set out future plans.

2 Sate govt.,NABARD & NCDC contribute towards share capital

2 Cooperative philosophy is help each other without profit
motive. i.e. ¶Self Help through Mutual Help·.
 Cooperatives as Organizations - Continue

2 They are not permitted to declare high dividends

2 IFFCO,KRIBCO, GCMMFL, NAFED are the main exporting
body of agricultural commodities.
2 Cooperative form can exists in any activity like-credit, marketing,
processing or any such activity.


  

2 To positively affects all facets of life with a devt. approach
2 To develop social services in the common interest of the village.
2 To bring re-organization in rural economy.
2 To expand flow of credit & ensure supply of inputs
’    



2 The cooperative follows a three tier structure for all types of
organization.
2 Three tier, state level organization promotes District Level
Organization, in turn it promotes tahsil or village level
organization.
2 Three tier system has a advantages in management &
administration. State level organization often have warehouses
& also takes responsibility of settlement of bills.
S tru c tu re of C oop e rative O rgan isations

S tr  c t r T ir

S ta t S s

is tric t
S

T a h s i ia g   S
    



2 There are about 5,03,962 cooperatives at all levels & of this
5,00,997 (99%) are primary or village level societies.

2 The Primary Agricultural Credit Societies (PACS) are

predominated with 1,39,512 (28%) societies. The rest are non
credit societies, engaged in milk collection, marketing of
agricultural produce & agro processing.

PACS, Cooperative marketing societies

Cooperative processing societies
Multi-purpose cooperative societies
Consumer cooperative societies
Oil seed growers cooperative societies
Cooperative Cotton Marketing societies
Marketing of Agricultural produce
Marketing of Rural Industrial Products.
 y es f erative cieties

© ric lt re re it eratives © ric lt re ar eti cieties -© ric lt ral cieties

’
  



 
º Cooperative organizations exists in every village in some or
another form.

º National Cooperative Union of India, the apex body of all

cooperatives data reveals that, 100% of rural network has been
covered & 67% of rural households are the members. Over 50%
of the adults are the members

º Some sectors of economic activity, cooperatives have

commanding shares like-
º Cotton Marketed / Procurement
º Village level PACS, Sugar Produce
º Handlooms Cooperatives
º Oil Marketed / Procurement
º Agricultural Credit Disbursed by Coops etc.
’
 
 



× ratw rk iags r
 ×



 grictra r
it
isbrs
by s 46×
 rtiisr
isbrs
 66

4 Sgarr
c

6ii T s 4
 aacitytiisati  Sgarmis 8

6 Whatr crt 8

 tr crt××8 ×

8 taiairricSh s×

 8


 mikr crtt T tar
cti  6

×
mikr crtt marktabSrs ×



×× imarkt
r crt ×


× Si
a
gi ×mii  ×



× tt markt
r crt 6

×4 tt arabricsr
cti  


× a
 si ratis 


×6 ishri ratiacti ×


× St ragaciityiag S 6

×8 S yar
cti  

× S trat
 rrs si ×


Satmaactr
4

   
 |


2 Distribution has to be used in coverage & extension of rural
market.
2 Cooperative organizations are in distribution & collection
logistics because of their widespread nature.
Widespread ( nearly 5 lakh societies)
Membership extends about 67% of rural households.
2 Objective is to help its members, profit motive for further
investment & growth.
2 Cooperatives are encouraged by central & state governments.
2 At rural area cooperative commands 63% of storage facility.
2 Bureaucratic approach with political interference make
organization inefficient & ineffective.
2 Cooperatives play vital role in rural areas in collection &
distribution, as well as the potential for future growth.