In a major push to deepen the cooperative movement and empower rural India, the Government of India has undertaken a comprehensive initiative to expand and modernize Primary Agricultural Credit Societies (PACS) across the country. The plan, approved on February 15, 2023, aims to establish 2 lakh new multipurpose PACS (M-PACS), dairy, and fishery cooperatives in every panchayat and village over a five-year period. This expansion is being carried out through the convergence of various central schemes such as the Dairy Infrastructure Development Fund (DIDF), National Programme for Dairy Development (NPDD), and PM Matsya Sampada Yojana (PMMSY), with the support of institutions like NABARD, NDDB, NFDB, and State Governments.

To diversify PACS into dynamic economic hubs, the Ministry has introduced Model Byelaws allowing them to undertake over 25 business activities — including procurement and distribution of agricultural inputs, setting up godowns, custom hiring centers, LPG/CNG/petrol/diesel distribution, fair price shops, short- and long-term credit services, Common Service Centres (CSCs), and community irrigation projects.

Key Highlights:

PACS Computerization:

The PACS computerization project, with an increased outlay of ?2,925.39 crore, is bringing all functional PACS onto a common ERP-based national software, linked with NABARD through State and District Cooperative Banks. So far, 73,492 PACS have been sanctioned, and 59,920 have been onboarded.

New Registrations:

Since the plan's launch, 22,606 new PACS, dairy, and fishery cooperative societies have been registered nationwide as of June 30, 2025.

Grain Storage Plan:

Under the world’s largest decentralized grain storage scheme, the government is building warehouses and agri-infrastructure at PACS level. Pilot godowns have already been completed in 11 states.

PACS as Service Providers:

47,918 PACS are operating as CSCs delivering over 300 digital services including banking, insurance, health, and legal aid.

36,592 PACS function as Pradhan Mantri Kisan Samriddhi Kendras (PMKSKs) for agri-inputs.

762 PACS have received store codes under PM Bhartiya Janaushadhi Kendra (PMBJK) to sell affordable generic medicines.

PACS are now eligible to operate retail petrol/diesel outlets, LPG distributorships, and provide O&M for rural piped water supply schemes.

539 PACS have been selected across 8 states/UTs for O&M of rural water systems.

Green Energy Integration:

PACS are participating in PM-KUSUM and PM Surya Ghar – Muft Bijli Yojana, encouraging farmers to adopt solar power.

FPO Formation:

1,117 new Farmer Producer Organizations (FPOs) have been registered by PACS under the additional target set by the Department of Agriculture and Farmers Welfare.

Supporting Youth & Women in Cooperatives

The National Cooperative Development Corporation (NCDC) is implementing specialized schemes to boost entrepreneurship in the cooperative sector:

Yuva Sahakar: Supports start-ups and innovation in newly formed cooperatives.

Nandini Sahakar: Empowers women-led cooperatives and enhances their socio-economic status.

Swayamshakti Sahakar Yojana: Provides financial assistance to PACS for lending to Women Self Help Groups, promoting sustainable livelihoods.

Minister of Cooperation Shri Amit Shah shared these updates in a written response in the Lok Sabha, reaffirming the government’s commitment to building a self-reliant and economically empowered rural India through the cooperative model.