Shah unveils National Cooperation Policy, targets tripling sector's GDP contribution by 2034

The Print

2 days ago

'By 2034, the cooperative sector will contribute three times more to the country's GDP. I know it is a big target, but we have made proper planning,' Shah said while unveiling the decade-long policy framework.
It is a second policy, formulated by a 48-member committee chaired by former Union minister Suresh Prabhu, that comes after 23 years and aims to propel the cooperative sector to contribute three times more to the country's GDP, supporting India's goal of becoming a developed nation by 2047.
New Delhi, Jul 24 (PTI) Union Home and Cooperation Minister Amit Shah on Thursday unveiled the long-awaited National Cooperation Policy, announcing ambitious plans to create a comprehensive cooperative ecosystem that will expand into emerging sectors like tourism, taxi services, insurance and green energy.
The minister announced that a multi-purpose taxi cooperative will be established by the end of this year, while work to set up an insurance cooperative is progressing at full speed.
The policy specifically targets entry into tourism, taxi services, insurance, green energy and other sectors to enhance diversification and increase member incomes.
'The ministry has done extensive planning to enter the tourism, taxi, insurance and green energy sectors. In the case of taxi and insurance services, we will progress in less time,' Shah noted.
He said 83 intervention areas have been identified. Out of these, work has been completed in 58 areas, and three areas have been fully implemented. There are two areas that require continuous and ongoing implementation. The remaining points will now be taken up.
The policy mission will be implemented through six strategic pillars — strengthening foundation, promoting vibrancy, making cooperatives future-ready, promoting inclusivity and deepening reach, entering new and emerging sectors, and shaping the young generation for cooperative growth.
The central focus remains the welfare of each cooperative member, with plans to transform cooperative enterprises into professionally managed, transparent, technology-enabled, vibrant and responsive economic entities.
Shah outlined plans to bring 50 crore people who are currently not active members or non-members into the cooperative fold. The government aims to increase membership by 30 per cent from the current 8.3 lakh, with a primary cooperative unit to be established in every panchayat.
'The cooperative sector today is at par with the private sector. From priority, taxation and funds for development, the cooperative sector is at par with the private sector,' the minister said, highlighting accomplishments made in the last four years after the formation of a separate ministry.
The policy was developed after extensive consultations, with the 48-member committee receiving around 750 suggestions from stakeholders. The final framework was prepared in consultation with the Reserve Bank of India and NABARD.
Shah outlined the policy's vision to establish five model cooperative villages in every tehsil across the country through state cooperative banks.
He also revealed that a detailed roadmap has been prepared for ground-level implementation of the policy, supported by two dedicated committees that will oversee the rollout across different regions.
To maintain policy relevance and effectiveness, the government has put in place a review system that mandates necessary legal amendments every decade, creating a framework for continuous adaptation to changing socio-economic conditions in rural India, he added.
Shah noted that this is the second cooperative policy brought by a BJP government, the first being introduced in 2002.
'The party and the government that understands the country's growth aspects can only give importance to cooperation,' he said.
Linking the cooperative sector to India's broader economic ambitions, Shah expressed confidence that the country, the world's fourth-largest economy currently, will reach the third position and eventually become a developed economy by 2047.
'The policy is far-sighted, practical and result-oriented,' he said, adding that it would also strive to make cooperative institutions job-creating centres.
He added that when all states implement this policy diligently, it will lead to the creation of an inclusive, self-reliant, and future-ready model, which will give a new shape to the country's cooperative system.
He said this Cooperation Policy will keep the cooperative sector relevant for the next 25 years, turning it into a contributing and future-ready sector.
The minister criticised global economic models focused solely on GDP and GSP rather than people and their satisfaction, positioning cooperatives as the sector with the potential to factor in the development of 130 crore people while achieving economic goals.
'For 80 crore people, the Narendra Modi government has given free ration, electricity, toilets, and medicine. These people now want to grow further, but finance is not there. Cooperatives can play a key role for such people,' Shah concluded.
Ministers of State for Cooperation Krishna Pal Gurjar and Murlidhar Mohol, and senior cooperation ministry officials were present at the launch. LUX MJH NKD BAL BAL
This report is auto-generated from PTI news service. ThePrint holds no responsibility for its content.