HON’BLE MINISTER OF STATE FOR COOPERATION; AND DEVELOPMENT OF NORTH EASTERN REGION (DONER), GOVERNMENT OF INDIA
Riding the Welfare Wave on Cooperation
Shri B. L. Verma’s dedication catapulted his rise from the level of a humble grassroots BJP worker (hailing from a rural background) to the minister of state in 2 ministries in the Indian government. With the vision of ‘Cooperation to Prosperity,’ he has been dedicatedly working towards strengthening the cooperative movement by promoting cooperative-based economic development model.
“OUR GOVERNMENT IS BENT ON ENCOURAGING ORGANIC FARMING. AS THE MINISTER OF NORTH EAST, I AM PLEASED TO STATE THAT MOST OF THE PEOPLE IN THE NORTH EAST INCLUDING SIKKIM DO HUNDRED PERCENT ORGANIC FARMING. IN FACT, OTHER STATES ARE ALSO DOING IT”
“COOPERATIVES PLAY A PIVOTAL ROLE IN UPLIFTING VARIOUS SECTIONS OF SOCIETY, BE IT FARMERS, IMPOVERISHED WOMEN, OR THOSE EMBARKING ON STARTUP VENTURES. FROM THE SMALLEST TO THE LARGEST ENDEAVOURS, THEY PROVE TO BE THE DRIVING FORCE”
Q. Hon’ble Minister Sir, under your able leadership, the Ministry of Cooperation plays an important role in promoting cooperative societies and promoting the spirit of cooperation between different sectors. We appreciate that. Please share some examples of successful cooperative societies and their contribution to the socio-economic development of the nation.
A. Speaking about cooperation, I’d like to acknowledge the commendable step taken by the Hon’ble Prime Minister Modi ji in establishing the Ministry of Cooperation in the Government of India on July 6, 2021. I express my gratitude to him for recognizing the need for such a ministry, which has addressed the concerns of millions. Modi ji appointed Shri Shri Amit Shah ji to lead the Ministry of Cooperation with a vision for ‘Prosperity through Cooperation.’ Under his guidance, 54 initiatives have been undertaken in a remarkably short span. Witnessing the progress of the cooperative department under the leadership of Shri Amit Shah ji, I am pleased to state that out of 25 lakh cooperative societies worldwide (approximately), India alone has 8,00,054 such societies. This number is steadily increasing, with 29 crore members involved at the ministry’s inception. The database is being actively developed to support the ministry’s vision.
In the realm of cooperatives, around 14 crore farmers are directly affiliated with Primary Agricultural Credit Societies (PACS). Having experienced village life and engaged in farming myself, I appreciate Modi ji’s inclusive approach, particularly his dedication to uplift the poor and farmers since 2014. His continuous efforts to enhance farmers’ income are quite evident. Initially, cooperatives were limited to small tasks, but now, with broader thinking, efforts are being made to propel them forward. Noteworthy cooperatives like IFFCO, KRIBHCO, NAFED, and Amul stand out as significant brands in this sector. Amul, for instance, which began as a milk dairy, has grown into a global phenomenon with 36 lakh women actively contributing to it. Their collective contribution (often as little as INR 100) has propelled Amul to achieve a remarkable turnover of INR 1000 crores, enabling it to emerge as a distinguished brand in the cooperative landscape.
I would like to emphasize the significance of cooperatives such as IFFCO, KRIBHCO, and the notable Lijjat Papad, which are testament to the transformative power of cooperative societies. Lijjat Papad, initiated by a group of women, has evolved into a renowned brand with a turnover exceeding INR 2000 crores, exemplifying the positive impact of cooperative endeavours on small businesses. The consistent efforts led by Shri Amit Shah ji have successfully addressed impediments hindering many cooperatives, focusing on enhancing services and fostering growth.
Furthermore, the initiative to extend the cooperative movement to every Gram Panchayat is commendable. Modi ji’s vision is to connect and empower these local bodies through cooperation. Plans are in place to establish 2 lakh cooperative societies in areas like fisheries and dairy, with approximately 9961 Gram Panchayats already identified for this purpose. This expansion will not only benefit the agricultural sector but also contribute to the overall socio-economic development of these regions.
In addition to the rural cooperative movements, efforts have been made in the banking sector, particularly with co-operative banks in the urban areas. Various tax-related challenges faced by these institutions have been addressed, offering relief and fostering a more conducive environment for their operations. Additionally, steps have been taken to revise tax structures, including the limits on cash withdrawals, and eliminating unnecessary taxes, contributing to a more favourable financial landscape.
We have taken substantial steps to enhance housing loans through urban cooperative banks, doubling the available loans to an impressive INR 30,00,060 lakh. Simultaneously, our efforts extended to rural cooperative banks, where measures were implemented to streamline processes and provide essential facilities. Collaborating with the Reserve Bank of India, we simplified several aspects of cooperation, particularly addressing complexities within the sector. Notably, both urban and rural cooperative banks have succeeded in augmenting housing loans by two and a half times.
Shri Amit Shah ji, serving as our esteemed Cooperation Minister in the Government of India, holds unmatched expertise from PACS to Apex. His comprehensive understanding of cooperation, rooted in practical experience, enables him to navigate the challenges and opportunities within the sector. Under his guidance, the Ministry of Cooperation is making significant strides, prioritizing the ease of operation for those engaged in cooperative activities. We remain committed to supporting farmers and dedicating separate efforts to enhance the functioning of cooperative societies.
People prefer organic options, but authenticity of the organic products is questionable. To address this concern, Hon’ble Amit Shah ji has taken the initiative to establish 250 labs. The gratifying news is that these labs are now operational, and they will conduct soil tests to verify the organic nature of products. The tested items, once confirmed as organic, will be certified, thus, instilling confidence in consumers. This enhanced credibility will empower farmers to command higher prices, serving as a significant motivator. Modi ji advocates for the consumption of organic and natural agricultural products, emphasizing the importance of testing to ensure their quality. The aim is not only to meet the demands of health-conscious individuals but also to boost farmers’ incomes.
The emphasis on self-employment and startups, as highlighted in the Prime Minister’s monthly employment fairs, complements the government’s efforts to provide sustainable livelihoods. The cooperative movement has not only empowered women but has also introduced innovative practices, such as using drones for agricultural activities. Under the guidance of Prime Minister Modi ji, women are being trained as “Drone Didis” to operate these drones, showcasing their growing role in various sectors.
Q. Under your quintessential leadership, the Ministry has taken important steps to strengthen cooperative institutions. Please highlight specific initiatives and policies aimed at the upliftment of the rural sector through cooperative efforts.
A. As I mentioned earlier, when the Honorable Prime Minister assumed office, the country’s economy ranked seventh. Despite facing challenges and adversities, he has successfully elevated it to the fifth position. Looking ahead to the year 2025, the Prime Minister aims to achieve a five trillion-dollar economy, with cooperation being a key catalyst for this transformation. To achieve this goal, collaboration is poised to be the primary catalyst. As demonstrated in the Kuber initiative, the cooperative sector has consistently made significant strides, particularly in agriculture. While other sectors experienced a slowdown, the cooperative sector, particularly in tandem with agriculture, remained dynamic. These two domains complement each other seamlessly, sharing a common objective in fostering cooperative endeavors and advancing agriculture.
In the realm of cooperation, our continuous efforts have been dedicated to the development of rural cooperative initiatives. A notable example is the Primary Agricultural Credit Society (PACS), a widely recognized cooperative entity. Initially, there were ninety thousand PACS facing a decline, losing vitality over time. However, with the establishment of the Cooperative Ministry in the Government of India, Shri Amit Shah Ji played a crucial role in rejuvenating and empowering PACS.
In fact, I also ensured that a pivotal step was undertaken towards creating a multipurpose framework with regard to PACS. This involved focusing on PACS that were financially viable, actively engaged, and amenable to auditing. The aim was to transform PACS into robust entities that contribute meaningfully to the cooperative sector and agricultural development.
Presently, Modi ji has allocated INR 2516 crore for the computerization of our 63,000 Primary Agricultural Credit Societies (PACS). Before this initiative, we conducted a two-day workshop for cooperative ministers across the country, cooperative registrars from every state, and officials to streamline cooperative operations. We are pleased to report that the computerization process is progressing rapidly, and competition in this regard is very much anticipated.
The ever-changing era underscores the importance of embracing technology. Under the leadership of Modi ji, and with the efforts of Shri Amit Shah Ji, computerization of these 63,000 PACS has commenced, accompanied by the introduction of Model Byelaws. The Model Byelaws were introduced to address the limitations of PACS, which were previously confined to distributing short-term loans, fertilizers, and seeds, offering limited support to farmers. Being a farmer myself, I understand the challenges faced by those in agriculture. The implementation of Model Byelaws aims to empower PACS and make them multi-purpose. I am pleased to state that 31 states and Union Territories have adopted these byelaws, enabling PACS to become multi-functional entities. This adoption allows PACS to offer a diverse range of services, similar to the Common Service Centres (CSC) found in villages, providing 300 types of services, including Aadhaar services, ticketing, and more.
Approximately 44,000 PACS have embraced CSC at present, further extending their services to the villagers. Moreover, the implementation of the model bylaws empowers PACS to obtain licenses for diesel and petrol pumps in their areas, including dealership opportunities. The introduction of CC 2, a prioritized category, ensures preference for PACS applications in such endeavors. Additionally, PACS can now apply for licenses for CNG and LPG gas distribution agencies.
Traditionally, profits from gas agencies benefited individual owners. However, with PACS taking over gas agencies, profits generated will be distributed among the entire community, promoting collective prosperity. Modi ji’s Jal Jeevan Mission, aiming to provide tap water to 13.5 crore families, now includes the participation of PACS in water distribution initiatives.
In essence, these strategic steps reflect a holistic approach towards empowering PACS, enhancing their capabilities, and ensuring their active involvement in various community-oriented services, thereby contributing to the larger goals of rural development and cooperative advancement. Drawing inspiration from examples like Amul, numerous cooperative societies empower our sisters and brothers, enhancing their income. Our collective efforts are not only propelling our nation forward but also contributing to the advancement of the country’s economy.
Q. Sir, please throw light on our Hon’ble Prime Minister’s vision of “Prosperity through Cooperation,” some of its major initiatives and underscore the ways in which would they be beneficial to the farmers.
A. The initiatives I discussed earlier are poised to benefit all farmers. I reiterate that the stronger the PACS become, the more empowered our farmers will be. I previously mentioned the formation of a national committee, wherein the proceeds from cooperative societies, encompassing seeds, exports, and organic produce, will be equitably distributed among farmers. This approach has significantly improved the economic conditions of farmers, as evidenced by the NITI Aayog report, which revealed that 13,41,00,000 individuals emerged from poverty in just five years. The positive impact is likely even more substantial when considering data spanning nine years.
Under the leadership of Modi ji, farmers have been the primary beneficiaries of these transformative efforts. The Prime Minister’s commitment to four pivotal groups, including farmers, highlights our focus on enhancing the lives of those engaged in agriculture. The continuous efforts of Modi ji in the realm of cooperatives have yielded numerous benefits for farmers, spanning the distribution of fertilizers and agricultural machinery, ultimately empowering them in various aspects of their livelihoods. The commitment to uplifting farmers is a testament to the dedication towards the welfare of this vital community.
Recognizing the distress faced by farmers witnessing their produce rotting, spoiling, or getting wet due to inadequate storage, Modi ji launched the world’s largest food storage scheme. In this context, Shri Amit Shah ji has directed all Chief Ministers to allocate land to Primary Agricultural Credit Societies (PACS) lacking such resources. As part of this initiative, pilot projects have been initiated in 13 states, aiming to establish warehouses in villages for storage purposes. These warehouses will not only serve as storage facilities but will also include cold storage units with minus temperatures, airtight containers, weighing machines, and affordable agricultural supply shops. Additionally, recognizing the need for modern farming equipment, the scheme includes the provision to purchase modern agricultural tools and place them in these warehouses. This strategic approach ensures that farmers can access and utilize these resources for modern farming practices, addressing both storage and equipment challenges.
Considering the comprehensive development initiatives, including housing, sanitation, healthcare, electricity, water supply, agricultural support, and ration distribution, it is evident that Modi ji has achieved more in terms of development than the UPA and Congress governments could in 60 years.
Speaking about the realm of cooperation, it is evident that it brings prosperity to farmers. As a farmer’s son who has engaged in farming, acquiring the Ministry of Cooperation in Delhi fills me with pride. When I visit the fields, it invokes memories from my childhood. I attribute this success to Modi ji’s vision, exemplified by satellite cameras that capture such transformation. For someone like me, a dedicated BJP worker who has not contested elections but has risen from a humble background to become a MP in the Rajya Sabha and subsequently a minister in the Government of India, it is a testament to the transformative potential under Modi ji’s leadership.
Together, we can achieve remarkable feats, exemplified by the evolution of institutions like Amul and IFFCO. The cooperative spirit has the potential to extend far beyond its current scope. Under the leadership of Hon’ble Amit Shah ji, we envision exploring new dimensions and fostering initiatives that generate employment opportunities for farmers, the underprivileged, and the general populace. Our goal is to ensure that no hand remains unemployed, and we are committed to working tirelessly towards this objective through the cooperative approach.
Q. Sir, we at AsiaOne, really appreciate the fact that under your able leadership, the development of the North Eastern states of the country is taking place at a very fast pace. Please elaborate.
A. We have eight states in the North East Development region, comprising Assam, Arunachal Pradesh, Mizoram, Meghalaya, Manipur, Nagaland, Tripura, and Sikkim. Reflecting on these states, I would like to emphasize that India, under the leadership of Modi ji, has undergone a remarkable transformation. The North East, which once seemed detached from the national development narrative, has experienced a profound change. Previously, there were challenges such as inadequate road, rail, air, and digital connectivity, causing people in the region to feel excluded from the nation’s progress. However, Modi ji has systematically addressed these issues, fostering connectivity and integrating the North East into the broader national framework.
In fact, Modi ji has referred to the North East as Ashtalakshmi, recognizing its unique significance. He believes that the prosperity of the North East contributes directly to the overall strength and prosperity of the nation. His commitment to the region has been unwavering, surpassing previous efforts. Notably, he has made 66 visits to the North East, reinforcing the idea that when a leader dedicates himself to a cause, his followers emulate and contribute to the collective progress. The transformation of the North East is a testament to the concerted efforts led by Modi ji and his vision for an inclusive and prosperous India.
The strength and robust infrastructure in the North East signify a prosperous region. Modi ji has recognized that the North East’s progress directly correlates with the strength of our nation. He has diligently focused on the region’s development, understanding that a flourishing North East translates into a stronger and more prosperous India. In tandem with this initiative, each of our 54 Government of India ministries allocates 10 percent of the General Budget Support (GBS) to the Hundred Reserve. This provision allows flexibility in spending, enabling us to allocate additional funds where necessary. It is heartening to note that through GBS, we have channelised approximately INR 5,00,000 crore into the North East during this period. The Donor Ministry operates with a distinct budget, currently standing at INR 6,600 crore under the Prime Minister’s Development Initiative for North Eastern Region (PM-DevINE). Furthermore, the North East Council boasts its separate budget today.
Modi ji’s vision for the North East is evident in the robust infrastructure development, particularly the construction of highways and rural roads that connect vibrant villages, often referred to as border villages. Unlike the conventional notion of considering the last village as the concluding point, Modi ji advocates a novel perspective, labelling it as the first village in his area. Ministers actively engage in these areas, and thus the developmental progress is evident. The transformation of North East’s roads showcases a network of well-constructed highways. In the realm of railways, every state, including the North East, now has efficient rail connectivity. Moreover, we have extended our railway lines into Bangladesh, with the recent inauguration of the Bangladesh-Tripura-Akhaura Railway Station by Modi ji.
Q. Sir, what’s your message for AsiaOne Magazine?
A. I extend my heartfelt congratulations and best wishes to AsiaOne Magazine and its management for the remarkable thinking and vision. The way Hon’ble Prime Minister Modi ji has emphasized the forward momentum for the country aligns with the spirit of progress we aspire to achieve through this magazine. Many congratulations and best wishes to you and your magazine!
