New Delhi, February 03, 2026: The Government’s initiative to transform Primary Agricultural Credit Societies (PACS) into multipurpose entities has significantly strengthened rural economic activity across the agriculture, dairy and fisheries sectors.
Through adoption of the Model Bye-laws for PACS, these societies are now enabled to undertake more than 25 business activities, including operation of petrol pumps, LPG distributorships, Jan Aushadhi Kendras and Common Service Centres, thereby diversifying income streams and improving financial sustainability.
In the agriculture sector, the initiative has enhanced infrastructure and post-harvest support through the World’s Largest Decentralized Grain Storage Plan, under which godowns and custom hiring centres are being established at the PACS level, reducing post-harvest losses, transportation costs and distress sales while improving price realisation for farmers.
Union Minister for Home and Cooperation Amit Shah in a written reply in Lok Sabha informed that the market access has also been strengthened under the Atmanirbharta Abhiyan, enabling farmers to register through cooperatives for assured procurement of pulses and maize at Minimum Support Price.
Further, over 38,000 PACS have been upgraded as Pradhan Mantri Kisan Samriddhi Kendras (PMKSKs), providing a single-window platform for fertilizers, seeds and soil-testing services. The PACS Computerization Project, covering 79,630 PACS, has improved transparency and efficiency through ERP-based systems, resulting in faster credit delivery and reduced transaction costs.
In the dairy sector, White Revolution 2.0 aims to enhance milk procurement by 50 per cent over five years through expansion of cooperative coverage in uncovered areas. By early 2026, over 21,000 new Dairy Cooperative Societies had been registered nationwide. Fiscal measures such as GST rationalisation—including nil GST on milk and paneer and reduction of GST on butter, ghee and cheese—have improved competitiveness of cooperative dairy products, with a substantial share of consumer price benefits accruing to dairy farmers.
In the fisheries sector, the Government is converting 1,000 fisheries cooperative societies into Fish Farmer Producer Organisations (FFPOs) to improve market linkages and value addition. The National Cooperative Development Corporation (NCDC) has extended significant financial assistance to strengthen FFPO infrastructure and business capacity.
Overall, the establishment of the National Cooperative Database (NCD)—covering 8.4 lakh cooperatives and about 32 crore members—has enabled evidence-based planning and identification of coverage gaps. In addition, apex cooperative institutions such as the National Cooperative Exports Limited (NCEL) and National Cooperative Organics Limited (NCOL) have expanded market access for primary producers, with NCEL exporting commodities worth over ₹5,300 crore to 29 countries.
In order to strengthen Primary Agricultural Credit Societies (PACS) and multipurpose cooperatives aim to significantly benefit farmers as well as the dairy and fisheries sectors across the country the Government, on 15.02.2023, has approved the Plan for establishing new multipurpose PACS or primary dairy/ fishery cooperative societies covering all the uncovered Panchayats/ village in the country by 2028.
As a result of the initiatives taken by the Government, 32,802 new PACS, dairy, and fishery cooperative societies have been registered nationwide since 15.02.2023.
In Odisha, there are 8,361 cooperative societies, of which 7,754 are functional. Under the national plan, 2,281 new cooperative societies have been registered in the State, comprising 1,543 Multipurpose PACS, 679 Dairy Cooperative Societies. Further, 59 Fishery Cooperative Societies, and 209 existing dairy societies have been strengthened. In the Aspirational District of Kandhamal, there are 103 cooperative societies with a total membership of 2,37,288, including 76 PACS and 2 fishery cooperatives.
Digital integration and targeted inclusion of women, Self-Help Groups (SHGs), small and marginal farmers and tribal communities in Odisha have led to improvements in cooperative-based income generation and service delivery.
