INTRODUCTION OF CO-OPERATIVE MOVEMENT IN INDIA DEFI DEFINI NITI TION ON OF CO-O CO-OP PER ERA ATIV TIVE MOVEMEN EMENT T: - Co-operative movem movement ent can can be define define as a “V “Vol olunt untary ary movem movement ent of the people people,, carr carrie ied d out out demo democr crat atic ical ally ly by pool poolin ing g toge togeth ther er thei theirr resou esourc rces es or carrying on the given activity, with the purpose of achieving or securing cert certai ain n bene benefi fits ts or adva advant ntag age e whic which h give given n to peop people le can can not not get get individually and with the purpose of promoting certain virtue and values such as self help, mutual help, self reliance and general goods of all.” Co-operation occupi occupies es an impor importan tantt place place in the India Indian n econom economy y. Perhaps no other country in the world is the co-operative movement as lar large and and as dive divers rse e as it is Indi India. a. Ther There e is almo almost st no sect sector or lef left untouched untouched by the co-operativ co-operative e movement movement.. The successiv successive e Five-year ive-year plans looked upon the co-operation movement as the balancing sector betw betwee een n publ public ic sect sector or and and the the priv privat ate e sect sector or.. An And d the the su succ cces ess s is eviden evident. t. Almo Almost st 50 percen percentt of the total total su sugar gar product productio ion n in India India is contributed by sugar co-operatives and over 60 percent of the total fertilizer distribution in the country is handled by the co-operatives. The consumer co-operatives are slowly becoming the backbone of the public dist distri ribu buti tion on sy syst stem em and and the the mark market etin ing g co-op co-oper erat ativ ives es are are hand handli ling ng agricultural produce with an outstanding growth rate. The The Nati Nation onal al Co-o Co-ope pera rati tive ve Deve Develo lopm pmen entt Corp Corpor orat atio ion n (NCD (NCDC) C),, a stat statut utor ory y body body was was set set up in 1963 1963 by the the Unio Union n mini minist stry ry of Civi Civill Supplies and Co-operation, to promote the co-operative movement in India. India. Further urther there there is the Indian Indian Farmers armers Fertilizer ertilizer Co-operativ Co-operative e LTD (IFFCO), which has been successful in setting up an effective marketing network in most of the states for selling modern farming technology instead of fertilizers alone. The operations of IFFCO are handled through its more than 30,000 member co-operatives. co- operatives. The National National Agricultu Agricultural ral Co-operative Co-operative Marketing Marketing Federation ederation (NAFED) (NAFED) has over 5000 marketing societies. These societies operate at the local wholes wholesale ale mark market et level level and handle handle agricu agricultu ltural ral produ produce. ce. Thus Thus the farme farmers rs have have a mark market et for their their produ produce ce right right at their their door door-st -step. ep. A mark market et whic which h assu assurres them them reaso easona nabl ble e retur eturns ns and and guar guaran ante teed ed payments. In India we find that the states of Maharashtra and Gujarat are well develo developed ped.. Wher Whereas eas the states states of Andhra Andhra Prade Pradesh, sh, Raja Rajasth sthan an and Karn Karnat atak aka a have have sh show own n remar emarka kabl ble e prog progrress ess in the the co-ope co-opera rati tive ve movement and there is a vast potential for the development of cooperative in the remaining states. Co-operatives today are committed to securing an improvement in the quality of life of a vast majority of Indian people. HISTORICAL PROFILE OF COOPERATIVE COOPERATIVE MOVEMENT IN INDIA Around the world modern cooperatives have developed for over 200 years. years. Coop Cooper erat ativ ive e inst instit itut utio ions ns exis existt all all over over the the worl world d prov provid idin ing g essential essential services services which which would would otherw otherwis ise e be unatt unattain ainabl able. e. In many many
Thi Thirrd World orld coun countr trie ies, s, coop cooper erat ativ ives es su such ch as cred credit it unio unions ns and and agricultural organizations have been very successful in helping people to provide for themselves where private and other corporate capitals do not see high profitability . In 90 countries of the world, over 700 million indi ndividu vidual als s are are membe emberrs of Co-ope Co-operat rative ive instit instituti utions ons.. Global Globally, ly, coop cooper erat ativ ives es have have been been able able to elev elevat ate e its its posi positi tion on as a powerf powerful ul economic model. In some countries they are a sizeable force within the national economy. During the British rule, Nicholson a British Officer in India suggested to introduce introduce Raiffersen Raiffersen model of German agricultural credit Cooperatives in India. As a follow-up of that recommendation, recommendation, the first Cooperative Society Act of 1904 was enacted to enable formation of "agr "agric icul ultu tura rall cred credit it coop cooper erat ativ ives es"" in vill villag ages es in Indi India a unde underr Government sponsorship. With the enactment of 1904 Act, Cooperatives were to get a direct legal identity as every agricultural Coop Cooper erat ativ ive e was was to be regist egister ered ed unde underr that that Ac Actt only only. The 1904 1904 Cooperative Societies Act was repealed by 1912 Cooperative Societies Act which provided formation of Cooperative societies other than credit. Under Under 1919 1919 Ad Admi minis nistra trativ tive e Reform eforms s act, act, Cooper Cooperati atives ves was was made made a provinci provincial al subject subject making making each province province responsi responsible ble for Cooperat Cooperative ive development. The development. The impulses of the Indian freedom movement movement gave birth to many initiatives and institutions in the post independence era in India and armed with an experience of 42 years in the working of Multi Unit Cooperative Societies and the Multi-Unit Cooperative Societies Act, 1942, the Central Government enacted a comprehensive Act known as Multi State Cooperative Societies Act, 1984, repealing the Act of 1942.
DEVELOPMENT OF INDIAN CO- OPERATIVE MOVEMENT: In 19 1904 04 the the co-op co-oper erat ativ ive e act act was was pass passes es as a part part of co-op co-oper erat ativ ive e movement in india. The act can be studied as under:1] Beginning Beginning Period of Co-operat Co-operative ive Movement in India (19041912) – The Indian co-operative co-operative movement movement started started on 25 March 1904 with the passing of an act. The objectives are as under: 1. Esta Es tabl blis ishm hmen entt of co-o co-ope pera rati tive ve soc socie ieti ties es.. 2. Legal existence. 3. Control of of Re Registrar. 4. Free aud audit it of acc accou ount nts s by by the the reg regis istr trar ars. s. 5. Clas Classi sifi fica cati tion on of rura rurall and and urba urban n soci societ etie ies. s. 6. Respo espons nsib ibiilit lities ies of mem memb bers ers. 7. Lim Limits its on on the the dist distri ribu buti tion on of divi divide dend nd.. 8. Loans to members. 9. Inte Interrest est of of me member bers in in soc socie ietty. This stage has been termed as the primary stage in the development of co-opera co-operativ tive e soci societi eties es becaus because e the the promo promoter ters s had had no no idea idea of cooperation and had very less experience about it.
2] Period of Harried Expansion: (1912 to 1918): – As the government doubtful about the act passed in 1904, as it was not sufficient to cop up with the needs of societies, govt. passed another act in 1912 1912 to curtai curtaill the deficien deficiencie cies s in the act of 1904. 1904. The main features of the act were as follows: 1. Permi ermiss ssio ion n to sta start rt non non cr credit edit sup suppl plyi ying ng soc socie ieti ties es.. 2. Classification Classification of societies as per their responsibilities. responsibilities. 3. Utilization of profit. 4. Spec Speciial right ghts to soci ocieti eties. es. 5. Conc Conces essi sion ons s to to co-o co-ope pera rati tive ve soci societ etie ies. s. 6. Restr estric icti tion ons s in us usin ing g co-op co-oper erat ativ ive e in name name.. 7. Permi ermiss ssio ion n to to esta establ blis ish h cent centra rall soci societ etie ies. s. 8. Shares of society. The shortcomings of 1904 act were overcome by 1912 act. Permission was granted to start co-operative societies in other fields. Co-operative Movement was shooted for expansion. 3] Unplanned Rapid Development: (1919-1929):– The matter of cooperation was entrusted to the provincial govt. due to passing of reforms act in 1919. The co-operative movement flourished thereafter in many provinces. Provincial govt. appointed committees to study the co-operative movement. Depending upon the situation of the province various acts were passed by the respective provincial govt. to develop the co-operative co- operative movements in their provinces. Due Due to the the pass passin ing g of co-o co-ope pera rati tive ve act act in 19 1919 19th the e co-o co-ope pera rati tive ve movement boosted up and there was a tremendous tremendous development in the no. of societies providing credit. At the outset govt. of Bombay first passed the act in 1925. In 1932, 1935 and 1941 the acts were past by the govt. of Madras, Bihar, Orissa and Bengal respectively. During 1919- 1929 only quantitative growth of societies would be seen. No proper attention was given to qualitative growth. Therefore this cooperative movement was defined as “Unplanned Development.” 4] Period of Consolidation and Re-organization (1929- 1939): – There was vigorous blow to the Indian co-operative movement because of the worldwide financial depression in 1929 and so the development of co-operative movement stopped. The existing societies have to face various problems. The co-operative credit societies had invested their
capital in agricultural activities. The price of agricultural produce went down down thus thus the the arr arrears ears incr increa ease se and and the the exis existe tenc nce e of co-op co-oper erat ativ ive e societ societies ies was was in danger danger.. It affect affected ed the co-opera co-operativ tive e movem movement ent in Punjab, Haryana, Bihar and Bengal. The ratio of loans to arrears was 20% in 1927-28 which increased to 40% in 1932-32. The percentage of arrears arrears went up to 93% in Bombay in 1938-39. During this period about 50% of co-operative co -operative societies went into liquidation. In 1935 Reserve Bank of India was established. A separate section for providing agricultural credit was opened. In 1937 this section studied various various problem problems s of Indian Indian co-operative co-operative movement movement and submitted submitted its repor reportt stati stating ng that that develo developm pment ent of co-opera co-operativ tive e societ societies ies should should be given priority. priority. 5] Period of Recovery (1939-1947): Duri During ng this this peri period od the the fina financ ncia iall depr depres essi sion on of Indi Indian an co-ope co-opera rati tive ve movement movement had been remove removed d and this movement movement was again on the path of its development. The atmosphere of world war proved to be beneficial for the co-operative movement. The price of the agricultural produce started increasing thereby there was an increase in the income of the agriculturists and their repayment capacity went to a higher level. The The consum consumer er co-oper co-operati ative ve store stores s prosp prosper ered ed due to the restr restrict iction ion imposed imposed during during war time. time. The industri industrial al co-operative co-operative societies societies came into existence existence for the purpose purpose of providi providing ng war materials. materials. Non-pro Non-profit fit suppl supplyin ying g socie societi ties es and multi multipur purpos pose e societ societies ies had develo developed ped.. The development of co-operative movement during 1929 to 1947 can be seen from the following table: Year 1939 1943 1946 1947
No.
of
societies
(in 000’s) 122.00 146.00 172 139.00
Membership Membership (in
Capital
lakhs) 53.07 69.01 91.6 90.00
crores) 106.47 121.14 104.00 156.00
(in
Due to the bifurcation in 1947 some of the co-operative societies had been shifted to Pakistan thereby reducing the number of societies, its member membershi ship p and capit capital. al. Durin During g 1939-1 1939-1946 946 the field field of co-oper co-operati ative ve movement was spread over a large scale. 6] The Sixth Stage (1947-1970): After After attaining attaining independe independence nce the governmen governmentt felt that co-operativ co-operatives es should play an important role in the development of rural areas. The late prime ministers Jawaharlal Nehru and Lal bahadur shastri stressed on the importance co-operatives. Co-operatives were included in 5 year plans.
7] The Seventh Stage (1970- 2000): Duri During ng this this peri period od the the gove goverrnmen nmentt laid laid mor more impo import rtan ance ce on the the develo developm pment ent of rural rural bankin banking g sector sectors. s. Co-oper Co-operati atives ves were were asked asked to develop rural banks. The formation of NABARD as an apex bank was formed for monitoring the co-operative bank. The government also took the the init initia iati tive ve in repli eplica cati ting ng the the An Anan and d patt patter ern n Mode Modell for for dair dairy y cooperative across the country.
8] The Eighth Stage (2000 onwards): The rise of the new millennium has thrown many challenges to the cooperatives. The WTO restrictions and the threat from global co-operation have grown. The co-operatives have to face direct competition from multinationals. The government is providing adequate support and help to the co-operatives by building brands, distribution network and also in exporting their products to global market.
TYPES OF CO-OPERATIVES The The Co-o Co-ope perrati ative Movem ovemen entt was intr ntroduc oduced ed into Ind India by the Government as the only method by which the farmers could overcome their their burden burden of debt debt and keep keep them them away away from from the clutch clutches es of the money-lenders. The Co-operative Credit Societies Act, 1904 was passed by the Government of India and rural credit societies were formed. (1)The Primary Agricultural Credit/Service Societies – The The agricu agricultu ltural ral co-opera co-operativ tive e credi creditt struct structur ure e in the Pu Punja njab b State State is broadly divided into two sectors, one dealing with the short-terms and medium-terms finance and the other with the long-term credit. In the State, the short-term and medium-term credit structure is based on a three-tier system, system, i.e. the Apex Co-operative Bank at the State level, the Central Co-operative Bank at the district/tehsile level and the Primary Agricultural Credit Societies at the village level. The major objectives of the primary agricultural credit service societies are to supply agricultural credit to meet the requirements of funds for agricultural production, the distribution of essential consumer commodities, the provision of storage and mark marketi eting ng facil faciliti ities es and for light light agricu agricultu ltural ral impl impleme ements nts and machinery. The The firs firstt Ag Agri ricu cult ltur ural al Cred Credit it Soci Societ ety y in the the Firoz irozpu purr Dist Distri rict ct was was registe registered red on 4 October October 1911, at the Villag Village e of Khalchi Khalchi Kadim in the Firozpur irozpur Tehsil. ehsil. Original Originally, ly, the movement movement was confined confined to the credit credit societies only and, thus, credit dominated till the partition (1947). After
the partition, the Co-operative Movement began to spread to other field, viz viz labo labour ur,, cons constr truc ucti tion on and and farm farmin ing. g. In 19 1979 79-8 -80, 0, the the numb number er of agricultural cooperative credit societies in the District was 309 with a member membershi ship p of 1, 21,761 21,761.. The loan loan advanc advanced ed during during the same same year year amounting to Rs. 2,180.35 lakhs and the deposits to Rs. 26.84 lakhs. (2) Agricultural Non-Credit Societies - When the non-credit societies were brought officially under the protection of the Movement. The World War II came as a God send boon with respect to the development of the Cooperative Movement. Prices of agricultural goods began to rise and touc touche hed d new new peak peaks. s. The The repay epayme ment nt of loan loans s was was acce accele lera rate ted d and and deposits began to increasing. The number of societies also rose. Another inte interresti esting ng deve develo lopm pmen entt in co-o co-ope pera rati tive ve duri during ng the the War was was the the extension of the Movement to non-credit activities, namely consumer’s co-operative marketing societies, integration of societies, etc. (3) Agricultural co-operative Marketing Societies Marketing has occupied a far smaller place in the co-operative picture in India than in many countries. The full utilization of loans advanced depends upon the arrangements arrangements for the marketing of surplus produce. These societies also provide other agricultural Facilities and make arrangements for the supply of domestic items in the rural areas. At the State level, the Punjab State co-operative Supply and Marketing Federation Federation is playing an important role in building up an integrated structure for remunerative marketing marketing and storing of agricultural produce. produce. ithas played an important role in the Green Revolution Revolution in the State by arranging arranging ready ready supplies of essential farm inputs needed by the cultivators. -
(4) Co-ope Co-operat rative ive Farming arming Societ Societies ies - The The Royal oyal Commi Commiss ssion ion on Agriculture in 1928 observed that it co-operation failed, there would fail the hope of the Indian agriculturist. Under this system, all landowners in a village form a co-operative society for cultivate the land. The land is combin combined, ed, but each each farme farmerr retai retains ns the right right of prope property rty.. They They are are allowed to withdraw from the cooperative farm whenever they desire. In India, the exceedingly small size of holdings is perhaps the most serious defect in our agriculture. If agriculture has to be improved, the size of the holdings must be enlarged. enlarged. The co-operative farming societies, thus, enable the cultivators to enjoy the economies of large-scale farming through the pooling of land management resources.
CAUSES OF SLOW PROGRESS Despit Despite e rapid rapid grow growth th the overal overalll progr progress ess of cooper cooperati ative ve movem movement ent during 100 years of Its existence is not very impressive. It is therefore necessary to know the causes of poor
Performance of the movement and on that basis take such steps as would promote a faster growth of cooperative movement in India.
A. Government Interference: The The cooper cooperati ative ve movem movement ent in India India was was initia initiated ted in 1904 1904 under under the auspices of British government. Right from the beginning the govt. has adop adoptted an att attitud itude e of patr atroniz oniziing the movem ovemen entt. Coop Cooper erat atiive inst instit itut utio ions ns wer were trea treate ted d as if thes these e wer were part part and and par parcel cel of the the administrative set up of the government. The govt. interference thus became an essential elements in the working of these institutions. As a result people’s enthusiasm for the movement did not grow. B. Mismanagement and manipulation: The essence of the cooperative movement is that it gives the farmers the status of shareholder shareholder and assures assures them agricultural, educational and medical medical faciliti facilities. es. Under Under the Maharasht Maharashtra ra State Co-operatives Co-operatives Act, a minimum of 11 farmers is required to form a Co-operative. Today the shareholder shareholder membership averages between 15,000 and 25,000 farmers. farmers. The relationship between the shareholder farmer and the cooperative is simple - the farmer is committed to contributing a certain amount of cane per season and the mill is bound to take this cane. The strength of the the movem vement ent was the the invo invollvem vement ent of the the far farmers ers who were ere shareholders in the sugar mill regardless of the size of their holdings. Over the years, this truly democratic idea got corrupted and farmers with larger holdings grew more powerful C. Lack of Awareness:People are not well informed about the objectives of the movement, the contributions it can make in rebuilding the society and the rules and regulations of cooperative institutions. Unfortunately, no special efforts have been made in this direction. People look upon these institutions as means for obtaining facilities and concessions from the govt. D. Restricted Coverage: The The coop cooper erat ativ ive e move moveme ment nt has has also also su suff ffer ered ed on acco accoun untt of two two impo import rtan antt limi limita tati tion ons s on It work workin ing. g. One One is that that the the size size of thes these e societies has been very small. Two, the most of the societies have been single single purpose purpose societies. societies. For For this reason reason these these societies societies are unable unable to take a total view of the persons seeking help, nor can they analyze and solve problems from different angles. Under these circumstances it has not been possible for these societies to make much progress. progress. E. Functional Weakness:Weakness : The The cooper cooperati ative ve moveme movement nt has suffer suffered ed from from inadeq inadequac uacy y of traine trained d personnel right from its inception. Lack of trained personnel has been caused by two major factors. In the first place, there has been a lack of institutions fort this purpose of training personnel. Secondly because of
it unsatisfactory working of cooperative institutions, efficient personnel did not feel attracted or motivated towards them.
PARTICIPATION OF WOMEN IN CO-OPERATIVES The need for greater participation of women in cooperatives especially in areas where they have a natural advantage is accepted by all. It is known known that that under under the system system of adult adult franch franchise ise preva prevaili iling ng in India, India, women omen have ave equa equall oppor pportu tuni niti ties es for for voti votin ng and and elec electi ting ng thei heir representatives in Central and State Legislatures as also in local bodies and panchayat panchayats. s. Central Central and State Government Governments s are also extendin extending g various concessions for promoting education among girls and women. However, despite these favorable developments a majority of women in our our coun countr try y are are stil stilll illi illite tera rate te and and do not not have have acce access ss to vari variou ous s resou resourc rces es includ including ing credi creditt from from bankin banking g channe channels. ls. For the uplif upliftt of women the Self Help Group (SHGs) is in the tune with Co-operatives. Their conversion to co-operative form of organization will go a long way in empowering women in view of the vibrant democratic structure of the Co-operatives. Micro finance through SHGs by involving more and more women will be important task in the 21st century.
CASE STUDY Amul (Anand Milk Union Limited), Limited) , formed in 1946, is a dairy cooperative movement in India. India. It is a brand name managed by an apex coop cooper erat ativ ive e orga organi nisa sati tion on,, Guja Gujara ratt Co-o Co-ope pera rati tive ve Milk Milk Mark Market etin ing g Federation Ltd. (GCMMF), which today is jointly owned by some 2.6 million milk producers in Gujarat, Gujarat, India. AMUL is based in Anand, Anand, Gujarat and has been a sterling example of a co-operative organization's success in the long term. It is one of the best exam example ples s of co-opera co-operativ tive e achiev achieveme ement nt in the develo developin ping g econom economy y. "Anyone who has seen ... the dairy cooperatives in the state of Gujarat, especially the highly successful one known as AMUL. The Amul Pattern has has esta establ blis ishe hed d itse itself lf as a uniq unique uely ly appr approp opri riat ate e model odel for for rura rurall development. Amul has spurred the White Revolution of India, which has made India the largest producer producer of milk and milk products in the world It is also the world's biggest vegetarian cheese brand. Amul is the largest food brand in India and world's Largest Pouched Milk Brand with an annual turnover of US $1050 million (2006-07). Currently Amul has 2.6 million producer members with milk collection average of 10.16 million litres per pe r day da y.
Over five decades ago, the life of an average farmer in Kheda District was very much like that of his/her counterpart anywhere else in India India.. His/her income was derived almost entirely from seasonal crops. The income from milk buffaloes was undependable. Milk producers had to travel long distances to deliver milk to the only dairy, the Polson Dairy in Anand Anand – often often milk milk went went sour, sour, especi especial ally ly in the summer summer season season,, as producers had to physically carry milk in individual containers. Private traders and middlemen controlled the marketing and distribution system for the milk. These middlemen decided the prices and the off-take from the the far farmers mers by the the seas season on.. As milk ilk is peri perish shab able le,, far farmers ers wer were compelled to sell it for whatever they were offered. Often, they had to sell cream and ghee at throw-away prices. In this situation, the private trader made a killing. Moreover, the government at that time had given monopoly rights to Polson Dairy (around that time Polson was the most well known butter brand in the country) to collect milk from Anand and supply to Mumbai city in turn (about 400 kilometers away). Another problem farmers faced was that in winter the milk output of buffaloes doubled which caused prices to fall down even further. India ranked nowhere amongst milk producing countries in the world in 1946. Amul was the result of the realization that farmers could pool up their milk and work as a cooperative. The White Revolution ushered an era of plenty from a measly amount of milk milk produ producti ction on and dis distri tribut bution ion.. As Aside ide from from the great great measu measurab rable le succ su cces ess s that that this this proj projec ectt was, was, it also also demo demons nstr trat ated ed the the powe powerr of "col "colle lect ctiv ive e migh might" t".. A smal smalll set set of poor poor farm farmer ers s of Khed Kheda a dist distri rict ct in Gujarat had the vision and foresight to act in a way that was good for the society and not for the self alone.
GROWTH OF CO-OPERATIVE SECTOR IN INDIA India has basically an agrarian economy with 72% of its total population residing in rural areas . The rural people need lot of services in daily life which which are met by village village co-operativ co-operative e societies societies.. Co-operat Co-operatives ives have exten extended ded across across the entir entire e countr country y and there there are are many many member members s nation nationwid wide. e. The cooper cooperati ative ve credi creditt system system of India India has the larges largestt network in the world and cooperatives have advanced more credit in the Indi India an agri agricu culltura turall sect sector or than han comm ommerci ercial al banks anks.. The vil village age cooperative societies provide strategic inputs for the agricultural sector, cons consum umer er soci societ etie ies s meet eet thei theirr cons consum umpt ptio ion n requi equirremen ements ts at concessional rates co-operative societies are helping in building up of storage go-downs including cold storages, rural roads and in providing facili facilitie ties s like like irrig irrigati ation, on, electr electrici icity, ty, trans transpor portt and health health.. Various arious developme development nt activiti activities es in agricultu agriculture, re, small small industry industry marketin marketing g and process processing, ing, distribution distribution and supplies supplies are now carried carried on through through cooperative operatives. s. Dairy Dairy cooperati cooperatives ves operating operating under the leadershi leadership p of the
National Dairy Development Board and through 15 state cooperative milk marketing marketing federations has now become the largest producer of milk in the world. The groundwork for this was laid in the early 1970's when the largest dairy developme development nt program programmed med in the world - Operation Operation Floo Flood d - was was laun launch ched ed.. Oper Operat atio ion n Floo Flood d was was a nati nation onal al mark market etin ing g strategy linked to a dairy infrastructure development programme that created a chain of dairy processing plants, collection stations and a national milk transportation grid. With the passage of the Insurance Act, cooperatives have been allowed to entry into the insurance business. The Indian Farmers Fertilizer Co-operative has recently teamed up with a Japanese company and formed a joint venture for undertaking general insurance business in India. This signifies that Indian co-operatives have come come of age age in for formula mulati ting ng stra strate tegi gic c alli allian ance ces. s. An Expe Expert rt Grou Group p constituted by the Govt. of o f India in 1990 recommended recommended ➢ ➢ ➢ ➢
To facilitate building up of integrated co-operative structure; To make make the co-operative co-operative federatio federation n organiz organizatio ations ns respons responsive ive towards their members; To To mini minim mize ize gove goverrnmen nmentt inte interf rfer eren ence ce and and cont contrrol in the the functioning of co- operatives and To eliminate politicization from the cooperative sector.
The co-operatives in India have made an all-round progress and their role role in, and contri contribut bution ion agricu agricultu ltural ral progr progress ess has parti particul cularl arly y been been significant.
CONCLUSION The The Co-oper Co-operati atives ves in the 21st 21st Centur Century y must must rema remain in on vangua vanguard rd in providing the required lead to the millions of our producers. This calls for well managed efficient Co-operative sector and to keep them away from the fears to draconian laws and unwanted interference. The vision for the the seco second nd cent centur ury y is to with withst stan and d the the chal challe leng nges es of comp compet etit itiv ive e business environment environment where excellence, excellence, efficiency and high productivity productivity parameters will be given priority. Emphasis will continue to be laid on an improvem improvement ent with Co-operativ Co-operative e governance governance through through the process process of restructuring restructuring and rejuvenation. rejuvenation.
