Shah presents NCDC roadmap for Co-ops, highlights key initiatives
The National Cooperative Development Corporation (NCDC) disbursed ₹84,579.64 crore in 2024-25, with Chhattisgarh receiving the highest amount. New schemes like Swayamshakti Sahkar and Dairy Sahkar support cooperatives, while ethanol production and deep-sea fishing projects receive funding. NCDC has backed 1,688 FPOs and promotes youth-driven cooperatives through Yuva Sahakar, fostering financial growth and market linkages for farmers.
Union Home and Cooperation Minister Amit Shah informed the Lok Sabha that the National Cooperative Development Corporation (NCDC) has disbursed Rs 84,579.64 crore as financial assistance during the financial year 2024-25, as of January 28, 2025.
Among the states and UTs, Chhattisgarh received the highest disbursement of Rs 28,081 crore, followed by Telangana with Rs 20,982 crore and Andhra Pradesh with Rs 14,732 crore.
To boost cooperative development, NCDC has launched several new schemes, including Swayamshakti Sahkar for Self-Help Groups (SHGs), Deerghavadhi Krishak Sahkar for long-term agricultural credit, and Dairy Sahkar to promote the dairy sector.
In collaboration with the Department of Fisheries, NCDC is financing deep-sea trawler projects and has sanctioned Rs 25.95 crore for purchasing 44 deep-sea trawlers for Fisheries Cooperative Societies in Maharashtra and Gujarat.
To promote ethanol production, NCDC has introduced a scheme to support ethanol plants, cogeneration plants, and working capital. Under this initiative, the Ministry of Cooperation has released Rs 875 crore, while NCDC has sanctioned 80 loans worth Rs 9,169.76 crore to 44 Cooperative Sugar Mills (CSMs).
The government has also approved the formation of 1,100 additional Farmer Producer Organizations (FPOs) under Primary Agricultural Credit Societies (PACS) in blocks without existing FPOs. As of January 27, 2025, 958 new FPOs have been registered, adding to the 730 FPOs previously established by NCDC, bringing the total to 1,688. This initiative aims to ensure better market linkages and fair prices for farmers.
NCDC continues to play a crucial role in financing cooperative societies through Term Loans, Investment Loans, and subsidies, strengthening cooperative institutions and boosting economic activities across multiple sectors.
Additionally, NCDC is driving cooperative growth through the Yuva Sahakar scheme, which supports newly formed cooperative societies with innovative ideas. The scheme provides long-term loans of up to five years, along with a 2% interest subvention on NCDC’s applicable term loan rates.
According to data presented in the Lok Sabha, Rs 295.90 lakh was sanctioned under Yuva Sahakar in FY 2023-24, while Rs 241.91 lakh was sanctioned in FY 2024-25 (till December 31, 2024).
The disbursement figures stood at Rs 136.30 lakh and Rs 103.53 lakh, respectively. Uttar Pradesh, Madhya Pradesh, and Uttarakhand saw fresh sanctions in 2024-25, while West Bengal continued to receive assistance.
The government remains committed to strengthening the cooperative movement by encouraging young entrepreneur-driven cooperatives and expanding financial support under the scheme.
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Source : Indian Cooperative
