IAS Gyan

Daily News Analysis

National Cooperative Development Corporation

11th August, 2021 Economy

Context:

  • Recently, government has highlighted the work done by the national cooperative development cooperation.

Developments:

  • National Cooperative Development Corporation Act, 1962 Provides for planning and promoting programmes for the production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, industrial goods, livestock, certain other commodities and services on co-operative principles and for matters connected therewith or incidental thereto.
  • Since inception and till 31.03.2021, NCDC has disbursed Rs.1.77 lakh crore to cooperatives for their development. It includes assistance to agricultural and horticulture cooperative societies.
  • The “Central Sector Integrated Scheme on Agricultural Cooperation (CSISAC)” is a Central Sector Scheme for assistance to NCDC programmes for development of Cooperatives.
  • Under the scheme, loan is extended by NCDC from its own resources and subsidy is provided by the Government of India.

Working of the NCDC:

  • NCDC plans and promotes programmes on co-operative principles.
  • It assists cooperatives only. NCDC financial assistance schemes encourage and attract people to form new cooperatives for carrying out business activities.
  • Finance schemes of NCDC cover activities such as agro-processing, horti-processing, credit, inputs, computerization, storage, cold chain, textile, handloom, sugar, ethanol, dairy, fisheries, livestock, piggery, poultry, renewable energy, rural housing, scheduled caste & scheduled tribes, women cooperatives, animal care/health, hospitality & transport, electricity & power, hospitals, healthcare and education etc.
  • Under its SAHAKAR-22 initiatives, NCDC has in the last two years, has reached out to over 10000 primary level cooperative societies.
  • To encourage youth towards cooperatives, NCDC has launched its YUVA SAHAKARCooperative Enterprise Support and Innovation Scheme which aims at enabling Start-Ups in cooperative sector different types of business activities.
  • Under its SAHAKAR MITRA scheme, NCDC offers internship opportunities to students get experience in areas offunctioning of NCDC and related aspects of cooperatives.
  • Under its AYUSHMAN SAHAKAR scheme, NCDC offers finance to cooperatives set up healthcare infrastructure and provide services.
  • Government of India schemes such as the Formation and Promotion of 10,000 Farmers Producer Organizations (FPO) provide for registration and support of new cooperatives as FPOs. NCDC is one of the implementing agencies promoting such FPOs.

National Cooperative Development Corporation (NCDC)

  • NCDC is a statutory corporation set up under National Cooperative Development Corporation Act , 1962.
  • The objectives of NCDC are planning and promoting programmes for production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, industrial goods, livestock and certain other notified commodities and services on cooperative principles.
  • NCDC functions through its Head Office at New Delhi and multiple Regional Offices.
  • The NCDC has the unique distinction of being the sole statutory organisation functioning as an apex financial and developmental institution exclusively devoted to cooperative sector.
  • NCDC is a major financial institution for cooperatives, and has recently started Mission Sahakar 22, which aims to double farmers’ income by 2022.