National Cooperative Policy 2025-2045 | Cooperative Policy India 2045 | New Cooperative Policy 2025 | India Cooperative Sector Reform | Cooperative Development 2025–2045 | Indian government cooperative schemes
The National Cooperative Policy 2025–2045 is a transformative initiative by the Government of India, aimed at revitalizing the cooperative movement and positioning it as a cornerstone of the nation’s economic and social development. Announced by Union Home and Cooperation Minister Amit Shah in July 2025, this policy is set to replace the existing National Cooperation Policy of 2002, with a vision to deepen the cooperative movement’s reach to the grassroots and foster sustainable economic growth. Effective from 2025 to 2045, the policy aligns with India’s ambition to become an ideal cooperative state by the centenary of its independence in 2047. This article explores the objectives, components, strategies, and expected impacts of the National Cooperative Policy 2025–2045, emphasizing its role in achieving the vision of Sahakar se Samriddhi (Prosperity through Cooperation).
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National Cooperative Policy 2025–2045: Background
India’s cooperative sector has a rich heritage, with over 8.5 lakh cooperative societies and a membership base of nearly 29 crore, making it one of the largest cooperative ecosystems in the world. Cooperatives operate across diverse sectors, including agriculture, dairy, fisheries, housing, and finance, with iconic examples like Amul demonstrating their potential to drive economic empowerment. However, challenges such as outdated laws, limited technological adoption, and governance issues like nepotism have hindered the sector’s growth. The establishment of the Ministry of Cooperation in July 2021 marked a pivotal step toward addressing these challenges, with a mandate to strengthen the cooperative movement and create a robust policy framework.
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| National Cooperative Policy 2025-45 |
The National Cooperative Policy 2025–2045 builds on these efforts, drawing from extensive consultations led by a 48-member National Level Committee chaired by former Union Minister Suresh Prabhu. The committee, comprising experts, cooperative sector representatives, and government officials, held 17 meetings and four regional workshops to draft a policy that reflects the diverse needs of India’s cooperative ecosystem. The policy is designed to modernize cooperatives, enhance their economic viability, and align them with global sustainable development goals (SDGs).
Employment linked incentive (ELI) scheme
National Cooperative Policy 2025 Highlights
| S.No. | Highlight |
|---|---|
| 1 | Establish 2,00,000 multi-purpose PACS by February 2026, covering every village. |
| 2 | Ensure one cooperative society in every village within five years. |
| 3 | Digitize 65,000 PACS, integrating them with cooperative banks and NABARD. |
| 4 | Create a National Cooperative Database for data-driven policy planning. |
| 5 | Formulate state-specific cooperative policies by January 2026. |
| 6 | Establish a National Cooperative Tribunal for efficient dispute resolution. |
| 7 | Set up a National Cooperative Bank to provide affordable credit. |
| 8 | Promote dairy, fisheries, and export-oriented cooperatives (e.g., NCEL, NCOL). |
| 9 | Align with UN International Year of Cooperatives 2025 and SDGs. |
| 10 | Foster cooperative education through Tribhuvan Sahkari University and training institutes. |
Government launched 20000 crore-drone scheme
Objectives of the Policy
The National Cooperative Policy 2025–2045 is guided by several key objectives:Grassroots Expansion: The policy aims to ensure that every village in India has at least one cooperative society within the next five years, fostering inclusive growth and local economic resilience.
- Economic Empowerment: By promoting a cooperative-based economic development model, the policy seeks to create employment opportunities for India’s 1.4 billion population, particularly for small and marginal farmers, who constitute 86% of the country’s agricultural workforce.
- Modernization and Digitalization: The policy emphasizes the adoption of technology to enhance transparency and efficiency, including the digitization of 65,000 Primary Agricultural Credit Societies (PACS) and the creation of a National Cooperative Database.
- Policy and Legal Reforms: It aims to create an enabling legal and institutional framework, including the establishment of a National Cooperative Tribunal and a National Cooperative Bank, to support cooperative growth.
- Global Competitiveness: The policy encourages cooperatives to tap into export markets and adopt modern practices to compete globally, aligning with the theme of the UN International Year of Cooperatives 2025, “Cooperatives Build a Better World.”
- Youth and Leadership Development: By fostering cooperative education and leadership, the policy aims to engage youth and promote democratic governance within cooperatives.
Key Components and Strategies
The National Cooperative Policy 2025–2045 is a comprehensive framework with several strategic components:
Strengthening Primary Agricultural Credit Societies (PACS)
PACS are the backbone of India’s cooperative sector, particularly in rural areas. The policy sets an ambitious target of establishing 2,00,000 multi-purpose PACS by February 2026, covering every panchayat and village. These societies will integrate with government schemes like the Dairy Infrastructure Development Fund (DIDF), National Programme for Dairy Development (NPDD), and PM Matsya Sampada Yojana (PMMSY) to support dairy, fisheries, and agricultural activities. The digitization of PACS, connecting them to District Cooperative Banks, State Cooperative Banks, and NABARD, will enhance transparency and operational efficiency.
State-Specific Cooperative Policies
Recognizing the diversity of India’s cooperative landscape, the policy mandates that states formulate their own cooperative policies by January 2026, tailored to local conditions and needs. This decentralized approach ensures that cooperatives address region-specific challenges while contributing to national goals. States are also encouraged to establish cooperative training institutions affiliated with the newly formed Tribhuvan Sahkari University, which will provide education and training to strengthen cooperative governance and management.
Institutional and Legal Reforms
The policy proposes significant institutional reforms, including the establishment of a National Cooperative Tribunal, modeled on the National Company Law Tribunal (NCLT), to resolve disputes efficiently. Additionally, a National Cooperative Bank is envisioned to provide affordable credit to cooperatives, reducing their reliance on traditional moneylenders. The policy also builds on the 97th Constitutional Amendment of 2011, which granted constitutional status to cooperatives, ensuring democratic governance and autonomy.
Technology and Data Integration
The creation of a National Cooperative Database, initiated in 2024, is a cornerstone of the policy. This database provides a single point of access to data on India’s 8.5 lakh cooperative societies, facilitating policy planning and implementation. The policy also promotes the use of technology to modernize cooperative operations, such as digital banking for urban cooperative banks and credit societies, which are now under the Banking Act and supported by the Reserve Bank of India.
Focus on Dairy, Fisheries, and Exports
The policy emphasizes the promotion of dairy and fisheries cooperatives, building on the success of models like Amul. It supports the creation of national multi-state cooperative societies, such as the National Cooperative Export Limited (NCEL), National Cooperative Organic Limited (NCOL), and Bharatiya Beej Sahkari Samiti Limited (BBSSL). These organizations aim to enhance India’s global competitiveness in organic products, seeds, and other cooperative-based exports.
Alignment with Global Goals
The policy aligns with the UN International Year of Cooperatives 2025, which emphasizes cooperatives’ role in achieving SDGs by 2030. By promoting sustainable practices, financial inclusion, and community resilience, the policy positions India’s cooperatives as global leaders in inclusive economic development.
Expected Impacts
The National Cooperative Policy 2025–2045 is poised to have far-reaching impacts on India’s economy and society:
- Economic Growth and Job Creation: By expanding cooperatives to every village, the policy will create millions of jobs, particularly in rural areas, supporting small farmers and entrepreneurs who lack initial capital. Cooperatives’ democratic model ensures equitable profit distribution, reducing wealth inequality.
- Financial Inclusion: Affordable credit through PACS and cooperative banks will reduce dependence on exploitative moneylenders, empowering marginalized communities. The policy’s focus on urban cooperative banks will also enhance financial access in urban areas.
- Social Empowerment: Cooperatives promote values like unity, trust, and cooperation, fostering social stability. The policy’s emphasis on youth engagement and leadership development will inspire a new generation of cooperative leaders.
- Sustainable Development: By supporting organic farming, dairy, and fisheries cooperatives, the policy contributes to environmental sustainability and food security, aligning with global SDGs.
- Global Competitiveness: The focus on export-oriented cooperatives will enhance India’s presence in global markets, boosting foreign exchange earnings and economic growth.
Challenges and Mitigation Strategies
Despite its ambitious vision, the policy faces challenges, including government interference, limited resources, and lack of awareness about cooperatives’ benefits. To address these, the policy emphasizes autonomy, technology adoption, and public awareness campaigns. The involvement of diverse stakeholders, including civil society, academia, and the private sector, will ensure inclusive implementation. Additionally, capacity-building seminars and research centers will enhance cooperative professionalism and data-driven decision-making.
Conclusion
The National Cooperative Policy 2025–2045 is a visionary roadmap to transform India’s cooperative sector into a vibrant economic force. By fostering grassroots expansion, modernizing operations, and aligning with global sustainable development goals, the policy aims to realize Sahakar se Samriddhi. With a target of establishing cooperatives in every village and creating 2,00,000 PACS by 2026, the policy sets a bold agenda for inclusive growth. As India approaches the centenary of its independence, this policy will empower millions, reduce inequality, and position cooperatives as a model for sustainable economic development worldwide.
FAQs
Q. What is the National Cooperative Policy 2025–2045?
It is a 20-year policy by the Government of India to strengthen and expand the cooperative sector, promoting inclusive economic growth and aligning with the vision of Sahakar se Samriddhi (Prosperity through Cooperation) by 2047.
Q. What are the main goals of the policy?
The policy aims to establish cooperatives in every village, digitize operations, create jobs, promote exports, and ensure financial inclusion while aligning with global sustainable development goals.
Q. How will the policy impact rural areas?
It targets setting up 2,00,000 multi-purpose PACS by 2026, providing affordable credit, jobs, and economic opportunities for small and marginal farmers in rural areas.
Q. What is the role of technology in the policy?
The policy emphasizes digitizing 65,000 PACS and creating a National Cooperative Database to enhance transparency, efficiency, and data-driven decision-making.
Q. How does the policy support state-level initiatives?
States are required to formulate their own cooperative policies by January 2026, tailored to local needs, to ensure effective implementation.
Q. What new institutions will be created?
The policy proposes a National Cooperative Tribunal for dispute resolution and a National Cooperative Bank to provide affordable credit to cooperatives.