NEW DELHI, AUGUST 23, 2025: The Ministry of Cooperation, Government of India, has announced that Primary Agricultural Credit Societies (PACS), the backbone of the rural cooperative credit structure, now cover more than 93% of the country’s Gram Panchayats (GPs). According to the National Cooperative Database (NCD), out of 2,69,230 Gram Panchayats, as many as 2,51,872 are covered by PACS as of June 30, 2025, leaving 17,358 yet to be covered.
While PACS coverage has reached impressive levels, the Government’s vision goes much further. The NCD reveals that 1,84,387 GPs still lack dairy cooperatives, and 2,39,710 GPs remain without fishery cooperatives. To address these gaps, the Union Cabinet approved a landmark plan in February 2023 to establish two lakh multipurpose cooperative societies, including PACS, dairy, and fishery cooperatives, to ensure coverage across every panchayat and village.
Since January 2021, 7,768 new PACS have been established across States and Union Territories. Rajasthan leads with 1,968 new societies, followed by Odisha (1,540), Gujarat (641), Uttar Pradesh (552), and Uttarakhand (550). Northeastern States have also recorded significant progress with Meghalaya (276), Assam (254), Arunachal Pradesh (127), and Tripura (202). However, some regions reflect slower growth—Kerala added only three PACS, while Punjab and Telangana added nine each. Union Territories such as Chandigarh, Lakshadweep, and Delhi reported no new PACS.
To streamline the expansion, the Ministry of Cooperation, in collaboration with NABARD, NDDB, NFDB, and State Governments, released a Standard Operating Procedure (Margdarshika) in September 2024. This framework guides stakeholders in identifying uncovered and underserved regions, especially in northern and eastern India, where cooperative penetration remains uneven.
For effective implementation, a multi-layered monitoring system has been set up:
- An Inter-Ministerial Committee, chaired by the Union Minister of Cooperation, provides overall policy oversight.
- A National Level Coordination Committee, under the Secretary, Ministry of Cooperation, ensures inter-departmental coordination.
- At the State and District levels, Cooperative Development Committees led by Chief Secretaries and District Collectors monitor progress.
- Joint Working Committees at the district level oversee grassroots execution.
The expansion plan is closely integrated with flagship government schemes such as the National Programme for Dairy Development and the PM Matsya Sampada Yojana, ensuring that PACS evolve into multipurpose entities providing not only agricultural credit but also dairy, fishery, and allied rural services.
Union Minister of Cooperation, Shri Amit Shah, in a written reply to the Rajya Sabha, underlined that this ambitious initiative will strengthen the cooperative movement, expand equitable access to financial and livelihood resources, and empower rural households.
With more than 93% Gram Panchayat coverage already achieved by PACS, the immediate priority lies in bridging the remaining 17,000 Panchayats, while simultaneously accelerating the establishment of dairy and fishery cooperatives to ensure balanced and inclusive rural development.
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