National Cooperative Policy 2025

The National Cooperation Policy 2025 aims to transform India’s cooperative movement with tech-driven, inclusive, and self-reliant cooperatives. Focus on rural empowerment, economic growth, and the vision of Aatmanirbhar Bharat.

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Context

  • The Union Ministry of Cooperation unveiled the National Cooperation Policy – 2025, marking a transformative moment in the history of India’s cooperative movement.

About National Cooperative Policy 2025

  • Aim: To establish cooperation as an instrument for the country’s development for future generations.
  • Mission: Promotion of professional, transparent, technology-enabled, accountable, economically self-reliant, and successful cooperative units.
  • India’s first National Cooperation Policy was introduced in 2002.
  • The second cooperation policy in 2025, represents a renewed commitment to making cooperatives competitive, inclusive, and future-ready.

Objectives

  • Establishment of at least one cooperative unit in every village and five Model Cooperative Villages in every tehsil.
  • Tripling the cooperative sector’s GDP contribution by 2034.
  • Increasing the number of cooperative societies by 30% from the current 8.3 lakh.
  • Expansion into new sectors like tourism, insurance, taxi services, green energy.
  • Legal reforms every 10 years to keep the policy relevant.
  • A cluster and monitoring system.

Pillars of the National Cooperation Policy, 2025

  • Strengthening the Foundation
  • Promoting Vibrancy
  • Preparing Cooperatives for the Future
  • Enhancing Inclusivity and Expanding Reach
  • Expanding into New Sectors
  • Preparing the Younger Generation

Cooperatives as India’s Backbone

  • Cooperatives empower small farmers, artisans, fishermen, women, and labourers by giving them collective bargaining power.
    • Example: Amul has uplifted millions of dairy farmers, many of whom are landless or marginal farmers.
  • Strengthening Rural Economy: Over 65% of India’s population lives in rural areas. Cooperatives provide credit, inputs, marketing, and infrastructure support.
    • PACS (Primary Agricultural Credit Societies) are the first point of credit delivery in rural India.
  • Promoting Self-Reliance: Cooperatives reduce dependence on middlemen and large corporations by pooling local resources for production, processing, and marketing.

Economic Impact and Inclusive Vision

  • The cooperative sector currently contributes significantly to India’s rural economy:
  • 20% of the total agricultural credit
  • 35% of fertiliser distribution
  • Over 30% of sugar and 10% of milk production
  • Over 21% of the fishing sector
  • 13% of wheat and 20% of paddy procurement.

Conclusion

  • The National Cooperation Policy, 2025 is a visionary step to mainstream cooperatives as engines of inclusive and sustainable development. 
  • As India approaches its centenary of independence in 2047, a reformed cooperative sector could be key to achieving the vision of Aatmanirbhar Bharat.


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