CHAPTER-II

CO-OPERATIVE SECTOR IN
INDIA

2.1 INTRODUCTION
2.2 MEANING AND IMPORTANCE OF CO-OPERATION
2.3 GENESIS OF CO-OPERATIVES
2.4 GROWTH OF CO-OPERATIVE MOVEMENT IN INDIA
2.4.1 PRE-INDEPENDENCE ERA.
2.4.2 THE CO-OPERATIVE CREDIT SOCIETY ACT. 1904
2.4.3 CO-OPERATIVE SOCIETIES ACT,1912
2.4.4 GOVERNMENT OF INDIA ACT, 1919
2.5 POST-INDEPENDENCE ERA
2.6 CO-OPERATION DURING THE PLANNING ERA
2.6.1 FIRST FIVE YEAR PLAN (1951-56)
2.6.2 .SECOND FIVE YEAR PLAN (1956-61)
2.6.3 THIRD FIVE YEAR PLAN (1961-66)
2.6.4 FOURTH FIVE YEAR PLAN(1966-74)
2.6.5 FIFTH FIVE YEAR PLAN (1974-78)
2.6.6 SIXTH FIVE YEAR PLAN (1980-85)
2.6.7 SEVENTH FIVE YEAR PLAN (1985- 90)
2.6.8 EIGTH FIVE YEAR PLAN (1992-97)
2.7 PROGRESS OF CO-OPERATIVES
CONCLUSION
APPENDIX I
APPENDIX 11
APPENDIX III
2.1 INTRODUCTION

This chapter is intended to throw light on the importance of Co-operative

sector in Indian economy. This is done to understand in a better perspective the
subsequent chapters on tax policies concerning the Co-operative sector in India.

2.2 MEANING AND IMPORTANCE OF CO-OPERATION

"Literally, Co-operation means working together. To be more appropriate,

we may define Co-operation as acting together to accomplish the common goal
through Co-operative principles". Likewise, Co-operative society may be defined
as an organisation of individuals with small means, formed for running in common
of business, the profits being shared in accordance with the amount of labour or
capital contributed by each.1

A Co-operative association is generally an organisation of the people who

are financially week. Individually their resources are so meagre that they cannot
improve their prevailing conditions. But if they pool their meager resources and
work together for mutual benefits, their weakness can be converted into a dynamic
strength. Thus, Co-operation propagates self-help through mutual help and all get
the benefit of collective efforts. With the bulk of the population of the country
living in rural areas with small and scattered holdings, meagre resources, non-
viable cottage and small enterprises, artisans and craftsmen with tremendous

1. Sami Uddin, and Mahfoozar Rahman. (1983). Co-operative Sector in India. New
Delhi: S. Chand and Company Ltd. Pp. 8 - 9.

22
latent talents and potentialities, there can no better way of activating them and
recreating the entire rural economy but through combined actions and collective
efforts which is possible only through the Co-operatives.

Co-operation facilitates mass voluntary participation in an organised way to

enlist the support of milli6ns of small farmers, artisans, craftsmen, cottage and
small- scale enterprises.

It is in this context that the Co-operative form of organisation can be of

immense operational value. Rural development through Co-operatives facilitates
regional development of the areas neglected so far by the urban capitalists and
industrialists and at the same time Co-operatives also reduce disparities in income
and employment because the resultant gains arc not polluted by a few but shared
by a large number of people.

It is only when the benefits accrued are shared by all, that wc can expect the
total involvement of the people and mass participation in the process of
developmental activities. This is precisely what the Co-operatives have achieved.

Co-operation in its varying forms appears to be the most suitable strategy

for economic development on democratic lines. Certain fields of activities, such as
agricultural credit, marketing, processing, consumer Co-operation, Co-operatives
of artisans, and labour and construction Co-operatives make themselves specially

2. Jha, D. (1969). Development of Co-operation for Economic Development : An

Interdisciplinary Approach. Poona : Vikunta Mehta National Institute of Co-
operative Management. P.51.

23
appropriate for Co-operative endeavour. These are the areas in which neither the
system of private enterprise nor the state ownership can match the advantages of
Co-operative organisations.

The Co-operative form of organisation thus is an effective medium for

bringing about the socio-economic transformation of the hitherto neglected
sectors. Where the masses flock, Co-operatives facilitate material advancement
through united action which in turn fosters self-reliance. The Co-operative
movement is acclaimed in all plan documents as the means of transferring the
rural society.

Co-operation has been accepted as an important medium for regeneration of

the country's socio-economic life. In the words of Margaret Digby, "only through
Co-operative institutions can the common man influence the direction of social
and economic change in a decisive manner. In fact, Co-operation in India has been
recognised as part of the pattern of Indian socialism, especially interpreted in
terms of rural society. Co-operation, thus has a very significant role to pay in any
programme of social and economic development of an underdeveloped country
like India.

2.3 GENESIS OF CO-OPERATIVES

The genesis of the modern Co-operatives can be traced back to the first half
of the 18 century. Those were the days of scarcity and shortages in whole of
Europe. The capitalist structure created by the Industrial Revolution was also
responsible for creating many social and economic evils in the society.5
3. ibid.
4. Margaret, Digby.(1981). An assessment of Indian Co-operative. New Delhi : RBSA
Publications. Pp. 20-21.
5. Sinha, B.P. (1991), Glimpses of Co-operation in Indian context, New Delhi: Himalaya
Publications. Pp.5-6.

24
 Co-operation is as old as human society. The great philosopher, Aristotle
has rightly said "man is a social animal". This statement will hold good as long
civilization exists in this world. It is truly the basis of domestic and social life. He
needs company to live and work, help and support in time of stress and strain.
Unconsciously this principle has always penetrated the life of human race. The
history of modern civilization is, in fact, the history of Co-operation. Without it
social and economic progress would have been impossible. Therefore, there is a
great need for understanding Co-operation that can be considered as the basic
principle underlying human life.6

According to modern view, the driving force in a human-being is the

accomplishment of the desired objectives defined by his motives, needs and
aspirations. A motive is an inner state (in man) which directs human behaviour
towards certain goals. Fulfillment of these goals keep-up and maintains human
existence. Human motives culminate in human needs which people feel
consciously or subconsciously. Such needs arise out of the basic psychology of
life and the social, cultural and psychological set-up of man. In other words,
human needs and behaviour are the reflections of the biology, spirit and mind of
human-beings which are further nurtured and shaped by society, ecology and the
process of development.7 Therefore, the Co-operative forces are biologically very
important and vital.8

6. Jalal, R.S. (19 96). Rural Co-operation in India. New Delhi: Anmol Publicaions.
P.l.
7. Sah, A.K. (1986). "An Approach to the Theory of Motivation in Co-operatives".
New Delhi: Indian Co-operative Review. Jan.Vol. XX, No.3. P-217.
8.Jalal,R.S.Op.Cit,Pp.4-6

25
 Co-operation is one of the economic miracles of the last century. Today no
country in this world is completely self-reliant. Both developed or developing arc
economically interdependent. Each one of these countries needs the Co-operation
of the other countries, need the help of developed countries to initiate and intensify
their process of industrialisation. Besides, the developed countries also need the
support of underdeveloped countries. Even today in many respects these
developed countries are dependent on the underdeveloped countries.9

Well-known Co-operator. E.R.Bown observed that Co-operation is the

universal instrument of creation. Noted Economist J.S. Mill wrote in his renowned
book 'Principle of Political Economy' that Co-operation is the noblest ideal.
According to A.E. Emerson Co-operation has acted more powerfully towards
development of man than the better competitive struggle for existence.

Co-operation is a new ideology which developed as a reaction against

capitalism. It grew out of the circumstances of the Industrial Revolution and was a
reaction against the early abuses or, at least rigors of the capitalistic industrial
system. The modern phenomenon of Co-operation is thus an economic concept
and is of a formal nature. It is a distinct form of business which affects the pattern
of production within the economy. It is an organisation of people where the
production activity is conducted by assigning a secondary role to capital.10 The
Co-operative movement therefore offers a ray of hope to the economically weak
to live in better conditions of life in the modern world.

9. Sharad, V.C. (1986). Theory of Co-operation. New Delhi : Himalaya Publishing

House. P.4.
10. ibid. P.l.

26
2.4 GROWTH OF CO-OPERATIVE MOVEMENT IN INDIA

Co-operation is not in any way new to India. It has a fairly long history in
India. The Co-operative form of social and economic activities has been in
existence since times immemorial. The oldest scriptural works like the vedas, the
upanishads, the Bhagawat Purana, Kautilya's Artha Shastra etc., referred about
joint actions of the people.

There were four main traditional forms of Co-operation in ancient India, viz
Kula, Grama, Shreni and Jati. According to G.P. Srivastava,12 the Kula was the
first form of Co-operative activity that emerged in Indian society. It was both a
political and socio-economic organisation in which kinsmen, friends and relatives
worked Co-operatively to promote their social, economic and political interest.
With the expansion and stabilisation of society, the aspects of economic and social
Co-operation gradually narrowed to the limits of joint family which has survived
even today.

Co-operation at the level of Grama, emerged after Kula which became a

stabilised unit. The Grama Sabha was a Co-operative organisation which
undertook works for the economic and social progress of the village and looked
after the improvement and maintenance of village lands, pastures, roads,
highways, paths, common gardens and grasslands. The agriculturists often

11. Bedi, R.D. (1992). Theory-History and Practice of Co-operationk. Agra : Vikas
Publishing House. P.7.
12. Rayudu; C.S. (1991). Kurd Credit xn India. New Delhi: Mittal Publications. Pp.58-
59.

27
pooled their resources of livestock and implements and helped one another in
tilling their respective fields. The members jointly undertook buying or selling or
obtaining equipments, tools, seeds and other items of production.

The shreni is a later development which emerged in the post vedic era. It
was a Co-operative and economic organisation of artisans, industrial handcraft
workers, merchants, traders, bankers, agriculturalists, house-builders and building
contractors.

"Co-operation at the level of Jati was mostly for social purposes as

education, charity, and relief work, but when a particular occupation, craft or trade
became associated with a particular caste, the system evolved a pattern in which
Co-operation become an important aspect of the economic activities of the
community".13

2.4.1 PRE-INDEPENDENCE ERA

Towards the end of the 19th Century, the condition of the rural masses in
India was quite deplorable. The countryside was studded with problems of
poverty, ignorance, improvidence, and ancestral debt and occasional outbreaks of
natural calamities. The outcome of all these factors was rural indebtedness. The
rural poor was being exploited by money-lenders by way of charging usurious
rates of interest. This led to murderous uprisings of the debtors against creditors;14
It also resulted in riots and rebellions. With a view to mitigate the sufferings of the
peasants provincial Governments enacted several measures of relief, such as,

13. Srivasthav, G.P. (1983). Traditional Forms of Co-operation in India, New Delhi: C.B.
Mamoria Publications. Pp. 1-5.
14. Kulkarni, C.R. (1985). Theory and Practice of Co-operation in India. Bombay : Co-
operative Book Depot. P.5.

28
 Deccan Agricultural Relief Act (1879);
Land Improvements Loans Act (1883); and
Agriculturist's Loans Act (1884).

These measures, however, did not prove much success due to stringent and
cumbersome official procedures.

In 1892 the Government of Madras presidency deputed one of their senior

officers, Sir Fredrick Nicholson to study the theory and practice of Co-operatives
structure in England and Germany, and to examine the feasibility and modalities
of their introduction in the Indian situation. About the same time, H. Dupernex, an
ICS officer, experimented with village banks in the United Provinces. Similarly
Sir Anthony Macdonnel did a pioneering work by establishing two hundred Co-
operative credit societies in 1901 in the United Provinces. Nicholson in his
exhaustive Reports (1897andl899) observed that we must find "Raiffeisen in
India". The intention of Raiffeisen was to collect together small bodies of men
who lived on close proximity to each others and were fully cognizant of each
others circumstances and character and enabled these persons by pledging their
unlimited liability. Further, Raiffeisen wanted that the credit was to be strictly
supervised by an elected committee in each society and the administration of the
society was to be entirely gratuitous.

In 1901, the Government of India appointed a committee under the

chairmanship of Sir Edward Law, to study the prevailing economic conditions in
the country. The committee recommended the introduction of Co-operative credit
societies on the Raiffeisen model. The Government accepted the recommendations
and accordingly, the first Co-operative Credit Societies Act (No.X), 1901 came
into force.
15. Pawan .K. Kamra. (1987). Co-operative Management Practices Problems and Prospects.
New Delhi: Deep & Deep Publications. Pp. 23-24.

29
2.4.2 THE CO-OPERATIVE CREDIT SOCIETY ACT, 1904

The passage of this Act, was the first milestone in the Co-operative
movement in India. This laudable measure was hailed as "a turning point in
economic and social history."16 It aimed at encouraging thrift habits among poor
artisans and peasants by setting up Co-operative societies. There was, however, no
provision for the establishment of non-credit societies or central agencies, such as,
central Co-operative banks /federations. In course of time, the 1904 Act was found
insufficient to meet the growing needs of the farmers.17

2.4.3 CO-OPERATIVE SOCIETIES ACT, 1912

So, in order to rectify the shortcomings, the Government passed a

comprehensive Co-operative societies Act in 1912. As a result, the movement
made rapid strides and extended into many fields. In order to assess the
quantitative and qualitative progress of the movement, the Government of India,
appointed a committee on Co-operation in 1914 under the chairmanship of Sir
1R

Edward Maclagan. The committee (1915) recommended stoppage of further

registration of societies, and structural grouping of societies into the following
classes : primary societies comprising individual members ; central banks at the
district level; and provincial

16. Henry, W. Wolff. (1927). Co-operation in India. New Delhi : RBSA Publications.
P.129.
17. Calvert, H. (1933). The Law and Principles of Co-operation Calcutta : Thacker and
Spint & Company. Pp.51-52.
18. Reserve Bank of India, (1957). Report of the Committee and Co-operation, Bombay.

30
banks and federations of societies as apex banks/unions at the provincial level for
purpose of supervision. Though all the recommendations of the committee were
not implemented, the report of this committee remained as the "Bible of Co-
operation in India" for sufficiently long time.

2.4.4 GOVERNMENT OF INDIA ACT, 1919

The movement entered its next phase with the passing of the Government
of India Act,1919 (Popularly known as the Montagu-chelmsford Act, 1919). Under
this Act, the Co-operation became a provincial subject. Under this Act, the
provincial Government could enact separate Acts to suit the provincial
requirements. The Bombay province was the first to enact a separate Co-operative
societies Act,1925. This was followed by Madras Act, 1932, Bihar and Orissa Act,
1935; Coorg Act, 1936; and Bengal Act of 1940 while the rest of provinces
adopted the existing Act of 1912.20 The Act of 1919 gave great stimulus to the
movement. Its success was measured more by its quantity than by its quality.

The Royal Commission on Agriculture was appointed in 1928 to examine

problems of agriculture in general. It also dealt with Co-operation as an important
part of its comprehensive enquiry. The commission stressed upon the importance
of Co-operation. It remarked, "If Co-operation fails, there will fail the best hope
of rural India."21

19. Punia, K.R. (1989). Administration of Credit Co-operatives. New Delhi : Deep & Deep
Publications. Pp.23-24.
20. Mamoria, C.B. (1983). Rural Credit and Agriculture Co-operation in India. New Delhi:
Deep & Deep Publications.Part-I. P.30.
21. Government of India, (1928). Report of the Royal Commission on Indian Agriadtwv.
New Delhi: Department of Agriculture and Co-operation. P.450.

31
 In 1929, occurred the world wide economic depression and India was no
exception to it. The Great Depression gave a tremendous setback to Co-operative
movement. It was during this period that on the recommendations of the Central
Banking Enquiry committee (1931), The Reserve Bank of India was set-up in
1935. The bank was entrusted with the task of conducting research in the
development of the Co-operatives.

The next phase of development started with the outbreak of the Second
World War in 1939. The Movement got a fillip during the Second World War as a
result of the rise in the prices of agricultural commodities and the increased
incomes of the farmers. Overdues of societies began to be cleared up, and the area
of their Co-operation widened. Non-credit Co-operative societies such as,
consumers Co-operative societies and Co-operative marketing societies, were set-
"P.22

In the meantime, the Government of India appointed the Agricultural

Finance Sub-Committee under Chairmanship of Gadgil in 1944 and the Co-
operative Planning Committee under the Chairmanship of R.G. Saraiya in 1945 to
study the problems of rural indebtedness.23

The Gadgil committee expressed the view that "the Co-operation would
provide the best and the most lasting solution for the problems of agricultural
credit in particular and those of the rural economy in general."24

22. Sinha, B.P. (1991). Glimpses of Co-operation in the Indian Context. New Delhi :
Himalaya Publications. Pp.14-15.
23. Memoria, C.B. Op.Cit., Pp.30-31.
24. Government of India, (1945). Report of Agriculture and Finance Sub-Canrnttee. New
Delhi: Department of Agriculture and Co-operation. P.47.

32
 It pointed out that the existing Co-operative organisations could not handle
the entire problem single-handedly and that state's assistance was necessary. It,
therefore, suggested setting up of an Agricultural Credit Corporation as an
autonomous body at the provincial level. The Saraiya Committee, however, did
not agree with this basic recommendation of the Gadgil committee. It suggested
that
(i) rural activities should be diversified by granting liberal loans to
agriculturists,
(ii) close link between credit and marketing should be established, and
(iii) 25 % of the total marketable surplus of agricultural produce of the
country should be brought within the purview of Co-operatives.25

The partition of the country in 1947 gave a big shock to the movement. The
number of societies and their membership fell down considerably.

2.5 POST-INDEPENDENCE ERA

In Independent India, Co-operation has been assigned a very important role

in different branches of economic life i.e., credit, processing, marketing,
consumer, etc. The major development in the Co-operative field immediately after
independence was the appointment of a committee known as the All India Rural
Credit Survey Committee under the chairmanship of Shri A.D. Gorwala in 1951.
The committee opined that Co-operatives were the best agencies for supplying
credit to the agriculturists but the position has revealed a sad picture.

25. Pawan, .K Kamra. Op. Cit., Pp.25-26.

33
 In the post-independence era, Co-operation has been assigned a notable
role in bringing socio-economic changes through the process of democratic
planning with accent on assisting the weaker Sections in the rural sector.26
Supporting this viewpoint R.B. Tyagi observed : "In fact, Co-operation has begun
to be felt as the only panacea for all our maladies, both social and economic and
specially of the rural sector.

According to a Government Publication, "Co-operatives in the countries

economy will not only avoid excessive centralisation and bureaucratic control
likely to result from Planning itself, but also curb the acquisitive instincts, of the
individual producer or trader working for himself."28 For these reasons, various
Five Years Plans have envisaged a great deal of scope for the organisation of Co-
operative activity.

Firstly, the movement all along has been a government-fostered effort

imposed and experimented upon the Indian masses suffering from poverty,
malnutrition and widespread indebtedness. The monetary aid by the state has
always been negligible. The position could not be eased even after the enactment
of the Government of India Act, 1919.

Secondly, there prevailed a widespread illiteracy.

Thirdly, there was an element of disloyalty among members and

employees. The willful defaults, irresponsibility and embezzlements were
common in Co-operatives.
26. ibid. Pp. 19-27.
27. Tyagi, R.B. (1967). Recent Trends in the Co-operatwe Movement m India. New Delhi :
Asia Publications. P. 15.
28. Government of India, (1965). Sahakan Samaja. New Delhi : Ministry of
Community Development and Co-operation, Department of Co-operation. P.5.

34
 Fourthly, there was a lopsided development of the movement. For quite
long, emphasis had been exclusively laid on credit, leaving out other important
activities having a bearing on the lives of the people.

2.6 CO-OPERATION DURING THE PLANNING ERA

The importance of Co-operation was strongly emphasised by the Co-

operative planning committee, when it stated "the Co-operative society has an
important role to play as the most suitable medium for the democratisation of
economic planning."29

In the pattern of development envisaged in Five Years Plans, Co-operation

is accepted to become progressively the principle basis of organisation, in several
branches of economy, notably in agriculture, small scale industries, marketing,
processing, distribution, construction and provision of essential amenities for local
communities.

2.6.1 FIRST FIVE YEAR PLAN (1951-56)

In the First Plan 'Co-operation' was recognised as an instrument of

planned economic action in democracy.30"The First Plan observed as it is the
purpose of plan to change the economy of the country from an individualistic to a
socially regulated and Co-operative basis, its success should be judged among
their things, by the extent to which it is implemented through Co-opera,tivc
organisation."

29. 50 Years of Co-operation (1905-1954) Golden Jublee Souvenir. Bombay : Provincial Co-
operative Institute. 1965. P.5
30. Government of India,(1951-56) First Frue Year Plan Document New Delhi: Planning
commission. P. 163.

35
 The progress of Co-operative movement during the First Plan is given in
Table 2.1
TABLE 2.1
PROGRESS OF THE CO-OPERATIVE MOVEMENT DURING THE FIRST
FIVE YEAR PLAN

PARTICULARS 1950-51 1955-56

No. of primary Agricultural credit societies 1,15,462 1,59,939
Membership (Lakhs) 47 58
Loans Advanced (Rs. in Crores) 6 30
Central Land Mortagage Banks 6 9
Primary Land Mortagage Banks 289 291
Long-term Loan Advanced (Rs. in Crores) 8 10
Non-Agricultural Credit Societies 7,962 8,389
Agricultural Credit Societies 35,000 30,000

Source: Government of India, (1951-56), First Five Year plan Document, New
Delhi : Planning Commission, Pp. 163-171.

From these figures it is clear that the average increase in membership per
year was about 5 lakhs against the average increase of only 1 lakh members per
year during the earlier history of the movement. A substantial increase was made
in the credit made available to members , which rose five times during the First \
Five Year Plan.

2.6.2 SECOND FIVE YEAR PLAN (1956-61)

The Second Plan was based on the recommendations of the All India Rural
Credit Survey Committee. The Reserve Bank of India (RBI) Act was amended
with a view to improving the facilities of rural credit. In the amendment, provision

36
was made for creation of special funds, as recommended by the committee. The
National Co-operative Development and Warehousing Board was established and
side by side, state warehousing corporations were set-up in all the states. The
Imperial Bank of India was converted into the State Bank of India (SBI) in 1955
and it opened a number of branches. In the Second Five Year Plan special
attention was paid to the marketing and processing Co-operatives and credit Co-
operatives.

Co-operation was assigned an important role in the Second Five Year Plan
as an effective instrument of fulfilling the objectives, viz, a sizable increase in
national income, rapid industrialisation, expansion of employment opportunities,
reduction of inequalities in income and distribution of economic power. The plan
stated that the building up of Co-operative sector as part of the scheme of planned
development is one of central aims of national policy. '

Sir Malcoln was invited by the planning commission for evaluation of the
Co-operative movement in the country. The committee (1957) recommended for
an effective structure at the higher levels. During this plan, another committee on
Co-operative credit was set-up under the Chairmanship of V.L. Mehta, which
submitted its report in I960.32

31. Government of India, (1956-61). Second Five Year Plan Document, New Delhi :
Planning Commission. P.221.
32. Prakasham Institute of Development Studies. (1988). "Issue in Go-operative Movement
in AndraPradesh", Hyderabad : P.135.

37
POLICY RESOLUTION, OF 1958

Policy regarding Co-operative movement was discussed in detail by the

National Development Council which, vide its resolution of 9th November, 1958
recommended radical reforms in the pattern of organisation of societies at village
level. According to the resolution, the policy of organising large sized societies
was given up and the scheme of service Co-operatives organised on the basis of
village community as primary unit with the objective of helping the members to
increase their agricultural production, was introduced. The need for strengthening
the programme of linking credit with marketing was also emphasized. In
pursuance of the resolution, the Government of India in a letter dated May 11,
1959 indicated the policy to be followed by them . The progress of the Co-
operative movement during the second plan is given in Table 2.2.

TABLE 2.2
PROGRESS OF THE CO-OPERATIVE MOVEMENT DURING THE SECOND
FIVE YEAR PLAN
PARTICULARS 1953-56 1960-61
No. of Societies 2,40,000 3,32,000
Membership of Primary Societies (Lakhs) 176 342
Percentage of Rural Population covered 12 24
Loans Advanced by Primary Societies (Rs. In Crores) 50 203
Average working capital per society (Rs.) 4,945 12,913
Average deposits per society (Rs) 441 668

Source: Government of India, (1956-61). Second Five Year Plan Document,

New Delhi: Planning Commission. P-221.

33. Government of India, (1956-61). Second Five Year Plan Document. New Delhi :
Planning Commission. P.221.

38
 During this period total number of all types of societies increased from 2.40
lakhs to 3.32 lakhs. During this plan, 18,000 primary marketing societies were set-
up; the number of Co-operative sugar factories increased from 3 to 30; 390
processing units were established and an intensive programme for Co-operative
training was implemented. During this plan, a number of committee and working
groups reported on the working of various aspects of Co-operative movement. The
committee on Co-operative credit under chairmanship of Sri. V.L. Mehta made
very valuable recommendation for the development of credit movement. The
study team of Co-operative training made suggestions for development of Co-
operative training and education. The committee on consumer Co-operatives made
various approaches-towards the development of consumer Co-operation.

2.6.3. THIRD FIVE YEAR PLAN (1961-66)

During the third plan period also Co-operative movement was accorded a
crucial role in implementing the schemes of economic development. The plan
provided Rs. 80 crores for the development of Co-operation as against Rs. 34
Crores in Second Five Year Plan. By the end of the plan period, the primary
agricultural credit societies covered about 89 percent of villages.34 The total
number of societies stood at 1,91,904. In this plan ample emphasis was laid on
making the societies more viable than on their expansion. Inspite of thejr
revitalisation programme, majority of agricultural credit societies were weak. In
this plan about 31 percent of the societies worked at loss. In the field of Co-
operative processing 582 units were established. Besides, there were 78 Co-
operative sugar factories, 155 cotton processing societies 329 paddy husking
societies, 142 rice mills , 298 oil

34. Punia,K.R. Op. Cit., P.46.

39
crushing societies, 22 fruits and vegetable societies. The Co-operative stores
increased from 7,058 in 1960-61 13,077 in 1965-66.35

In the Third Plan, apart from credit and marketing Co-operatives, attention
was paid to the formation of consumer and industrial Co-operatives. The progress
of the Co-operative movement during the plan period is shown in Table 2.3.

TABLE 2.3
PROGRESS OF THE CO-OPERATIVE MOVEMENT DURING THE THIRD
FIVE YEAR PLAN
PARTICULARS 1960-61 1961-66
No. of Societies (in Lakhs) 3.32 1.92
Membership of Agricultural Credit Societies (Million) - 26.10
Percentage of Rural Population Covered 24 33
Loans Advanced (Rs.in Crores) 203.00 504.91
Agricultural Produce marketed by Co-operatives (Rs.in Crores) 175 360
Distribution of consumer articles by Co-operatives (Rs.in Crores) 56.70 398.10

Source: Government of India, (1961-66). Third Five Year Plan Document.

New Delhi : Planning Commission. Pp.209-214.

The plan further observed, a rapidly growing Co-operative sector with

special emphasis on the needs of peasants, the workers and the consumer became a
vital factor for expansion of employment opportunity and rapid economic growth.

35. Government of India, (1961). Third Five Year Plan Document, New Delhi: Planning
Commission. P.208.

40
 In order to facilitate the implementation of the programme set-out in Third
Plan, the Government of India constituted a number of committees and working
groups to examine carefully the various aspects of the Co-operative movement and
to suggest ways and means to strengthen the same. 6 A few of them were;

(a) Study team on Co-operative training.

(b) Committee on consumer Co-operatives.
(c) Working group on panchayati and Co-operative.
(d) Committee on Taccavi Loans and Co-operatives Credit.
(e) Study group on Co-operatives and railway and post and telegraph
Department.
(f) Working group on Industrial Co-operatives
(g) Committee on Co-operative Administration,
(h) Study group on urban Credit.
(i) Working group on housing Co-operatives.

36. Gupta, Omji. (1978). Encyclopedia of'Co-operativeManagement, "Growth of Co-

operative Movement in India".New Delhi :Deep & Deep Publications. Pp.73-74.

41
 During this plan period statewise number of societies for one lakh of
population is given in Table 2.4.

TABLE 2.4
NUMBER OF SOCIETIES PER ONE LAKH OF POPULATION DURING
THIRD FIVE YEAR PLAN
NO. OF PER LAKH POPULATION
OT* A TTT'O
SiATES SOClEllEa
AS ON 30-6-1957 ON 30-6-1960 ON 30-6-1962.

Panjab 147 170.07 200.00

Uttar Pradesh 82 100.62 107.50
Madhya Pradesh 68 89.12 88.00
West Bengal 66 67.92 64.50
Orissa 65 69.85 67.50
Karnataka 59 59.87 82.00
Andhra Pradesh 59 66.86 92.40
Bihar 56 64.05 72.00
Maharastra NA 76.93 111.40
Rajastan 55 80.44 104.60
Assam 49 58.19 78.80
Jammu & Kashmir 46 43.90 46.90
Madras 45 49.50 77.80 *
Kerala 88 39.65 50.00
Gujarat NA 68.52 91.20

Source : Government of India, (1961-66). Third Five Year Plan Document.

New Delhi : Planning Commission. Pp- 215-217.

42
2.6.4 FOURTH FIVE YEAR PLAN (1966-74)

In the Fourth Five Year Plan, emphasis was laid on "growth with stability"
in all the years. In this plan more emphasis was laid on agricultural Co-operatives
with a view to institutionalise the various services needed by the farmers. Some of
the major lines of reforms aimed at by the plan were introduction of crop loan
system, linking of credit with marketing as part of the intensified programme for
the development of Co-operative marketing and processing, and reduction of
overdues and strengthening the resources of Co-operative banks and societies.

An important development during this plan was the submission of All-India

Rural Credit Review Committee Report in 1969. The committee recommended
for:

i) The reorganisation of rural credit by the Reserve Bank of India

involving the establishment of an agricultural credit board,
ii) The setting-up of a small farmers development agency in selected
districts throughout the country,
iii) The creation of Rural Electrification Corporation which, among
other things, is to benefit under-developed areas with agricultural
potential,39

37. Government of India, (1966-71). Fourth Five Year Plan Document. New Delhi :
Planning Commission. P-216.
38. ibid. Pp.215- 220.
39. Punia.K.R, Op.Cit., Pp.59-60.

43
 iv) The formulation of a more active and much bigger role for the
Agricultural Refinance Corporation and adoption of various
measures for ensuring the timely and adequate flow of credit to
agriculture through Co-operatives and commercial banks.40 Almost
all the recommendations of the committee were accepted and
implemented by the Government during Fourth Five Year Plan
period, and a considerable progress is marked in all spheres of Co-
operative movement during this plan period. The outlays on Co-
operative development programmes are given in the Table 2.5

TABLE 2.5
THE OUT-LAYS ON CO-OPERATIVE DEVELOPMENT PROGRAMMES
PARTICULARS OUTLAY
(Rs.inCrores)
States 119.21
Union Territories 4.61
Centrally Sponsored 24.50
Central Sector 30.25
Total 178.57
•

Source: Government of India, (1961-66). Forth Five Year Plan Document.

New Delhi: Planning Commission. P.259

"Growth with stability" was the key note of the Co-operative movement
during the Fourth Plan Period. Agricultural Co-operatives and consumer Co-
l
operatives occupied a central position in the Co-operative movement. The
progress of the Co- operative movement during the fourth plan is in Table 2.6.
40. Mathur, B.S. (1982). Co-operation in India, Agra : Sahitya Bhavan
Publications. P. 102
41. ibid.

44
 TABLE 2.6
PROGRESS OF THE CO-OPERATIVE MOVEMENT DURING THE FOURTH
FIVE YEAR PLAN
PARTICULARS UPTO
1965-66 1969-70
Membership of Primary Credit Co-operative
Societies (in Million) 26.10 30.00
Coverage of Agricultural Families 42% 45%
Loans advanced (Rs. in Crores) 504.91 550.00
Firtilizers sold by Cooperatives (Rs. in Crores) 80.10 260.00
Distribution of consumer articles by Co-operatives
(Rs. in Crores) 398.10 550.00

Source: Government of India, (1969-74). Forth Five Year Plan Document.

New Delhi :Planning Commission. P-231

2.6.5. FIFTH FIVE YEAR PLAN (1974-78)

During the Fifth Five Year Plan also, Co-operatives were recognised as an
important institutional framework to ameliorate the conditions of weaker Sections,
particularly in providing inputs and working as an important limb of the national
public distribution system. The plan stated, "there is no other instrument as
potentially powerful and full of social purposes as the Co-operative movement".
The major development during the plan was the appointment of committee on
integration of Co-operative credit institution ( Ha/.ari Committee) by the

42. Government of India, (1974-78). Fiftlj Five Year Plan Document. New Delhi :
Planning Commission. P.78.

45
Reserve Bank of India (RBI). It submitted its Reports in 1975. The committee
recommended a single apex credit institution to plan and execute lending
programmes in co-ordinated and better manner.

Committee to Review Arrangements for Institutional Credit for Agriculture

and Rural Development (CRAFICARD) report is one of the landmarks in the
history of Co-operative movement of our country. CRAFICARD was constituted
on March 30,1979 at the instance of Government of India under the chairmanship
of P.Shivaraman, to review arrangements for institutional credit for agriculture and
rural development.43

The most important recommendations of CRAFICARD was the setting up

of the National Bank for Agriculture and Rural Development (NABARD). The
committee even provided a draft bill for setting up of this bank. This
recommendation was accepted by the Government of India and NABARD was
established in July, 1982. The committee also suggested some improvements in
the working of state Co-operative banks, Central Co-operative Banks and the
Primary Agricultural Credit Societies. The committee also appreciated the major
role still being played by the Co-operative credit structure in the field of
agricultural development and expected that the Co-operatives could play a still
bigger role for this.

The key-note of the Co-operative movement during the Fifth Five Year
Plan was "growth with social justice". Hence, more attention was given to
consolidate and strengthen the Co-operatives to make them viable democratic
economic institutions. During this plan period it was aimed to ensure stable

43. Reserve Bank of India, (RBI) Report of Committee to Review Arrangement for
Institutional Credit for Agricultural. Bombay: Ppl-2.

46
necessities of human life through building a strong consumer Co-operative and
fair price shops for the movement. Special attention was paid for economic
upliftment of the small and marginal farmers and the weaker Sections through Co-
operation. Table 2.7 provides data about the targets and achievements during the
plan period.

TABLE 2.7
TARGETS AND ACHIEVEMENTS DURING THE FIFTH FIVE YEAR PLAN/
ACTIVITY TARGET ACHIEVE
FOR 1978-79 -MENTS
1. Disbursement of Short-term Credit 1,200 1,262
2. Disbursement of Medium-term Credit 350 753
3. Investment of Long-term Credit 1,130 1,095
4. Agricultural Produce Marketed 1,000 1,134
5. Fertiliser Distribution 1,000 900
6.Distribution of Seeds/pesticides and Agricultural
Machinery 200 115
7. Co-operative Processing Units 1,900 1,900
8. Storage Capacity at the end of the plan (lakh tonnes) 50 45
9. Distribution of Consumer g^oods 1,200 1,250

Source: Government of India, (1974-78). Fifth Five Year Plan Domument.

New Delhi: Planning Commission. P.78.

2.6.6 SIXTH FIVE YEAR PLAN (1980-85)

In this plan, consumer Co-operatives were further strengthened to make

them play an important role in the public distribution system. One of the important
objectives of the plan in this sector was to develop the dairy and fisheries Co-

47
operatives. During this period for development of professional management in
Co-operative institutions, managerial cadres were established. The state level
marketing federations were also strcngthcned.Table 2.8 presents the picture of
target and achievements of plan.
TABLE 2.8
TARGETS AND ACHIEVEMENTS DURING THE SIXTH FIVE YEAR
PLAN^
ACTIVITY TARGET FOR ACHIVEMENTS
1984-85 1984-85
1. Disbursement of Short-term Loan 2,500 2,500
2. Disbursement of Midium-term Loan 240 250
3. Disbursement of Long-term Loan 555 500
4. Fertilisers distribution 1,600 1,500
5. Value of Consumer goods sold 3,600 2,900
? 2,500 2,700
6. Value of Agricultural products Sold
7. Processing units No. a)£u gar factories 185 185
b)Oil mills 390 NA
c) Spinning mills 90 90
d) Others 1,694 NA
8. Godown Capacity (Lakh tonnes) 82 80

Sources: ibid.
In this plan, the Co-operative movement since 1951 was reviewed and in
the light of the problems and constraints of the movement, suggested the Four
Point Programme,
i) Strengthening of Primary village societies;
ii) Direct Co-operatives to ameliorate the economic conditions of the rural
poor;

48
iii) Re-orientation and consolidation of the role of Co-operative federal
organisations;
iv) Development of professional man-power and appropriate professional
cadres to managerial position;

The plan pointedly recognised the non- exploitative character of Co-

operatives, the voluntary nature of their membership, the principle of one man one
vote, decentralised decision-making and self-imposed curbs on profits eminently
qualifying them as an instrument of development combining the advantages of
private ownership with public good.44

2.6.7. SEVENTH FIVE YEAR PLAN (1985-90)

The Seventh Five Year Plan aimed at developing the primary agricultural
credit societies as multipurpose viable units, promoting professional management
and strengthening of effective training for improving operational efficiency.45
During this plan period, The Reserve Bank of India (RBI) Appointed Agricultural
Credit Review Committee (ACRC) in august 1986 under the Chairmanship of
Kushro. The Agricultural and Rural Development Committee (ARDC) was a
major committee after All India Rural Credit Survey Committee(AIRCSC) which
reviewed the Agricultural Credit Movement in the country.

44. Government of India, (1980-85). Sixth Five Year Plan Document. New Delhi :
Planning Commission. P. 117.
45. National Co-operative Union of India, (1922). 12th Indian Co-operative Congress, New
Delhi: December. P.4.

49
 The ARDC made the recommendations regarding role and effectiveness of
lending institutions role and functions of the Apex Level Institutions (ALI) in
Agricultural credit, lending cost and margins and organisational and
management aspects and organisation and management of National Bank for
Agricultural and Rural Development (NABARD).

Similarly, in order to look into the system, viability and implication of Co-
operatives, a committee was constituted under the chairmanship gf Sri S.R.
Shankaran.46 The major recommendations of the committee were as follows

a) Co-operatives should promote economic interest of the rural poor through

collective action.
b) Co-operatives should evolve a simple system of providing credit to poorer
Sections of the society on the basis of their repaying capacity instead of asking
for land or other securities.
c) For the economic development of women, the Co-opcrativcs can provide an
effective organisational support in improving their economic status.
d) For the economic development of rural labourers, the labour Co-operatives
should be strengthened.
e) For the economic development of the tribal people the committee highly felt
that the LAMPS should prepare a time bound programme. During this plan the
planning commission constituted another committee under the chairmanship of
Ch Brhahma Prakash to prepare the model Co-operative.47

46. Government of India, (1981-82). Annual Report New Delhi : Department of

Agriculture and Co-operation, Ministry of Agricultural and Rural Development.
P-130.
47. ibid.

50
 This plan period aimed at implementation of special programmes for
underdeveloped states and to serve the weaker sections through the Co-operatives.
The plan also aimed to reach the targets set.

It has been recognised that in "India Co-operative movement is large and

diversified and touching all the sectors of the economy. In June 1980, there were
3.1 lakh of Co-operatives of all types, with 860 lakh members with share capital of
Rs. 1,679 crore and a working capital of Rs. 13,789 crore. The turnover of Co-
operative activity exceeds Rs. 15,000 crore per year i.e., 25 % of the total National
Income. Co-operatives have covered more than 80 million people, 98% of villages
and 50 % families. Credit Co-operatives supply 35 % of total credit required by
agriculturists."48 (It was 3% in 1954).

In this plan period, Co-operatives played a much important role in rural

development besides urban areas and particularly to serve weaker Sections.
National Co-operative Policy Resolution with 42 point action programme was in
operation during the plan to serve all small farmers, labourers, artisans and
consumers etc., in general and rural areas in particular.49

2.6.8 EIGTH FIVE YEAR PLAN (1992-97)

The Eigth Five year plan aimed at building up the Co-operative movement
as a self managed, self regarding and self reliant institutional set-up so that it may
play a significant role in improving productivity and creating additional
employment opportunities in rural areas. The plan assured larger flow of credit to
the Co-operative sector.
48. Hallikere, R.K. "75 Years of Indian Co-operative Movement". The Maharastra Co-
operative Union. Quarterly Journal, Vol. LXII. 1 July, 1980.
49. Government of India, (1985-90). Seventh Five Year Plan Document New Delhi :
Planning Commissions. P. 120.

51
i) Providing more autonomy to Co-operative and building up the Co-
operative movement as a self managed self-regulated and self-reliant
institutional set-up.
ii) Improving the productivity of economy and creating employment
opportunities by enhancing the capabilities of Co-operatives.
iii) Strengthening Co-operative credit and organisation structure in accordance
with model laws and to make it competitive and viable.
iv) Extending adequate credit support to the programmes of national priority
and poverty alleviation.
v) Appropriate linking of consumer Co-operatives with public distribution
system for the benefit and protection of consumers.
vi) Development and training of Co-operative functionaries in professional
management and introduction of suitable personal management policy.
vii) Review of Co-operative structure with a view to liberalise the working of
Co-operative institutions and freeing them from bureaucratic control.

Some of the thrust areas of Eigth Plan were :

(i) Improvement of livestock , soil and water logged, saline, fallow land etc.
(ii) Minor irrigation and development of tubewells, dugwells, desilting of
tanks..
(iii) Agro processing of horticultural products.
(iv) Promotion of high yielding plantation crops in traditional and non-
traditional areas
(v) Animal husbandry and dairy development
(vi) Financial and other technical support to the non-farm sector and
encouraging rural artisans and small rural enterprises
(vii) Measures for smooth and efficient functioning of the agricultural and rural
development banks and adequate and timely availability finance from the

52
 national level to primary land development banks.

2.7 PROGRESS OF CO-OPERATIVES

The Co-operative movement in India is one of the largest movements in the

world.51 Since independence, it has progressively expanded in terms of
membership, resources and transactions.

The numerical growth of the Indian Co-operative movement after

Independence can be seen in the Table 2.9.

TABLE 2.9.
GROWTH OF CO-OPERATIVES DURING THE FIVE YEAR PLANS
BEGINNING OF PLAN
PARTICULARS

I II III IV V VI VII VIII

No.of societies (Lakhs) 1.8 2.4 3.3 3.3 3.3 3.0 2.62 3.53
Membership (Lakhs) 137 146 342 585 743 1062 1231 1240
Share Capital (Rs.in Crores) 45 77 222 663 1226 2088 3190 3581
Working Capital (Rs.iri Crores) 276 459 1312 4373 8648 20022 32748 34248

Source: Indian Agriculture in Brief, (1986). and Eight Five Year Plan Document.
Bombay : NABARD Publication. P.345

50. Government of India, (1992-97). Eight Five Year Plan Document New Delhi :
Planning Commission. P. 140.
51. Government of India, (1981-82). Annual Report New Delhi : Depanment of
Agriculture and Co-operation. P. 130.

53
 It may be seen from Table 2.9 that Co-operatives have made commendable
progress during the Five Year Plans in terms of their membership, share capital
and working capital. Quantitative expansion measured by the number of societies
has been stopped by the Reserve Bank of India since the third plan. It has been the
accepted policy of the Reserve Bank since then not to allow the growth of non-
• viable and weak societies. Instead, efforts have been made to merge weak societies
with financially strong societies so as to make Co-operative movement stand on its
own feet.

Conclusion:

A salient feature of Indian Co-operative movement is that it has not only

numerically expanded but has continuously diversified its activities over the years.
It has left almost no sector of economy untouched. In addition to traditional
activities like credit, marketing, distribution etc., it has penetrated into fields like
fisheries housing, handicrafts and handlooms.

Several national level organisations, over the years, have also come up in
aid of Co-operative movement. These organisations have been set-up at the behest
of, and with financial aid and statutory support of the central government. They
are ;
i) National Bank for Agricultural and Rural Development (NABARD)
ii) National Co-operative Union of India (NCUI)
iii) National Agricultural Co-operative Marketing Federation of India
Ltd.,(NAFED)
iv) Indian Farmer Fertilisers Co-operative limited (IFFCO)
v) Krishak Bharat Co-operative Ltd., (KRIBHCO)
vi) National Co-operative Development Corporation (NCDC)

54
 These organisations have added a new dimension to the Co-operative
movement. It has been their endeavour not only to build up Co-operative
economy on a wide base, but also to provide sufficient strength to the Co-
operative sector so that it can compete with other public and private agencies and
to act as the nerve centers for the respective co-operative at state, district / regional
and local level. The observation of Sri R.C. Dwivedi, a former chief executive of
the National Co-operative Union of India is very relevant here. He observed that
" Co-operation has come to the stage of recognition as a vital and inevitable force
and instrument for socio-economic transformation and development. It's impact
has been perceptible and measurable.

55
 Appendix -1
SHARE OF CO-OPERATIVES IN NATIONAL ECONOMY

PARTICULARS PERCENTAGE
Rural Network (village covered) 100%
Agricultural Credit Disbursed (NABARD) 46.3
Fertiliser ^disbursed (5.809 Million Tonnes) 31
Fertiliser Produced (5.932 Million Tonnes) 20.9
Sugar Produced (7.062 Million Tonnes) 54.9
Capacity Utilisation of Sugar Mills 90.1
Wheat Procurement 29.7
Jute Procurement (1995-96) 21
Retail Fair Price Shops (1,25,200) 28.46
Milk Procurement tO/fotal Production 6.7
Milk Procurement to Marketable Surplus 10
Oil Marketed (Branded) 51
Spindle in Co-operatives (3.27 Million) 10.5
Cotton Marketed / Procurement (1997) 72.9
Cotton Yarn/Fabrics Production 16.3
Cotton Yarn Export 8
Handloom in Co-operatives 55
Fishermen in Co-operatives (Active) 21.5
Storage Facility yillageSvel (PACS) 62
Soyabeen Production 7.5
Self-employment Generated Persons (In million) 12.5
Salt Manufactured 7.5

Source: A Profile of Indian Co-operative Movement, (1997). New Delhi : National

Co-operative Union of India. P. 12.

56
 Appendix - II
A
INDIAN CO-OPERATIVE MOVEMENT ATGLANCE
A.
ALL CO-OPERATIVES (1997-98)

- Number of Co-opcrativcs (All Level) 4,88,158

(a) Primary Agricultural Co-operatives 1,36,104
(b) Primary Non-Credit Co-operatives (All Types) 3,49,510

- Membership of Co-operatives (All Types in Million) 207.577

(a) Membership of primary Agn. Co-operatives 136.248
(b) Membership of primary Non-credit Co-operatives (In Million) 51.3298

- Share Capital (All Level and all types)

(a) Govt, participation (Credit +Non+ Credit) 21.65%
(b) Govt. Participation in Agn. Credit Co-operatives 10.5%

- Working Capital (Credit & Non-credit) Rs. 16,53,128

- Assets of Co-operatives (All Level) Rs. 13,21,246 63
• Deposits Rs. 10,56,472.20
- Rural Households covered 67%
• Village covered by Co-operatives 100%
- Number of National Level Co-operative Federations 21
- Number of State Level Co-operative Federations 361
- Number of District Level Co-operative Federations 2.741

Agricultural Credit 1990-97

Production Credit Advanced (ST+MT)
(a) Short-Term (ST) Rs. 93,280 Rs. 110.580
(b) Medium -Term + Long - Term (MT+LT) Rs.36,160 Rs 33,810
- Investment Credit Advanced (LT) Rs. 18,950.4 Rs. 21,000
Total Loans Advanced(ST+MT+LT) Rs 148,390.4 Rs. 165,39

Source: A Profile of Indian Co-operative movement , (1997-98). New Delhi : National

Co-operative Union of India. P - l l .

57
 Appendix - III
TYPES OF CO-OPERATIVE SOCIETIES IN INDIA UPTO 1997-98
TYPES OF SOCIETIES NO. OF MEMBERSHIP SHARE CAPITAL NO. OF VILLAGE PROFIT/LOSS
SOCIETIES (Value of Rs. in million') COVERED
1) Primary Agricultural Co-operative Societies 91,580 92.112 22,35.9 99.5 %
2) Farmers Service societies 2,570 4.708 991.1 59.0 %
3) State Co-operative Land Agricultural Rural 19 6.011288 5078.0 19.0%
Development Banks
4) Primary land Agricultural 721 7.103 5050.5
Co-operative Development Banks
5) Urban Co-operatives Banks 1495 15.901 11,988
6) Non- Agricultural Credit Co-operatives 42,308 21.127 15764.9
7) Consumer co-operatives 28,289 14.73 825.86 10.2% 42.7 %
8) State Consumer Co-operative Federation 29 41.09 872.2 25.5 %
9) Student Co-operatives 4,179 982.710 128.0
10) Marketing Co-operatives 8,422 5.304 2,947.3 40.5
11) State/ District Co-operative Marketing 397 33,84,532 3221.4
Federation
12) Agro-Processmg Co-operatives 258 37,95,127 15,910.5 55.9%
13) Sugar Co-operatives 271
14) Spinning Mills 135 4,262.3 (-)28.2 %
15) Dairy Co-operatives 85,515 1859.6
16) Other Agri-Processing Co-operatives 683
17) Woman Co-operatives 8714 897,790 204.23 37.9 %
IS) Apex Housing Co-operatives 25 30,328 3188.90
19) Housing Co-operatives 99,000 6,000 3616.17
20) Fanning Co-operatives 7,387 359,19S 77.19
21) Irrigation Co-operatives 7,394 5,51,345 258.85 29.4%
22) Electricity Co-operatives 49 8,03,314 S044 36.7%
23) Co-operative Education ^Training Centres 11,82,532
24) Industrial Co-operatives
a) Weavers 19,187 19,74,883 1,351.1 24%
b) Non-weavers 43,308 2,42,088 924.1 40.3 %
25) Co-operative for Weaker Section (Primary Level)
a) Fishery Co-operatives 12,968 2,019 317.1 37.4 %
26) Poultry Co-operatives 4,883 96.74
27) Labour Contract Co-operatives
a) Construction Co-operatives 27,711 280.0 30.3 %
b) Forest Labour Co-operatives 3,854 53.3 40%
Source: Co-operative At Glance (1997-98), National Co-operative Union of India. New Delhi
58