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Cooperation Ministry Turns Five: Shah to Launch Grain Storage, Banking, AI Projects

Published on: 05 Jul 2026, 04:44 PM
Cooperation Ministry Turns Five: Shah to Launch Grain Storage, Banking, AI Projects

Union Home and Cooperation Minister Amit Shah will inaugurate multiple projects on Monday (July 6, 2026) marking the fifth anniversary of the Ministry of Cooperation, according to a government statement. The events include laying the foundation stone for 47 grain storage godowns, launching a centralised core banking platform for urban cooperative banks, and unveiling Sahakar Sahyogi, a conversational AI-powered platform designed to assist these banks.

A Ministry official stated on Sunday that collaboration with state governments has been a cornerstone of the ministry's initiatives over the past five years. The Ministry of Cooperation aims to boost milk procurement in India by 50% within the next five years under the White Revolution 2.0 programme, which focuses on expanding cooperative networks, generating employment, and empowering women.

As part of this initiative, over 25,282 Dairy Cooperative Societies (DCSs) have been registered across 31 states and Union Territories. Cooperative societies have also been authorised to function as Pradhan Mantri Kisan Samriddhi Kendras (PMKSKs) and Bank Mitras. Additionally, members of dairy cooperatives are being issued RuPay Kisan Credit Cards to enhance access to affordable credit.

The ministry has introduced sustainability measures in the dairy sector, including the registration of new multi-state cooperatives for dairy inputs and manure management. The Sardar Patel Cooperative Dairy Federation Limited (SPCDF) has been established to connect over 20 lakh dairy farmers from more than 20,000 villages across 20 states into an organised cooperative structure.

White Revolution 2.0 is one of 151 initiatives launched by the ministry since its creation on July 6, 2021. Mr. Shah assumed charge as the first Minister of Cooperation and retained the portfolio after the BJP-led NDA government returned to power in 2024.

Urban Cooperative Banks (UCBs) can now open additional branches without prior Reserve Bank of India (RBI) approval, offer doorstep banking services, and provide higher-value housing loans. Cooperative banks have been brought under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) framework, providing credit guarantee cover of up to 85% of the loan amount. This reduces lending risks, improves access to formal credit for small businesses, and enables cooperative sector enterprises to obtain loans without collateral. Eligibility criteria for cooperative banks to become Member Lending Institutions under the scheme have also been relaxed.

Primary Agricultural Credit Societies (PACS) have been strengthened by transforming them into multi-purpose rural institutions. Model by-laws now allow PACS to engage in over 25 business activities. A nationwide computerisation drive has brought over 63,000 PACS onto a common ERP-based platform. The government has also facilitated the creation of new PACS, dairy, and fishery cooperatives, with more than 37,000 such societies registered since 2023. PACS have been integrated with government services including Common Service Centres (CSCs), PM Bharatiya Jan Aushadhi Kendras, PM Kisan Samriddhi Kendras, LPG distributorships, fuel outlets, and rural water supply management.

Bharat Taxi, launched in February 2026 under the Cooperative Ministry, operates on a 'zero commission' model, allowing drivers to retain the full fare. The service is promoted by the National Cooperative Development Corporation (NCDC) along with major cooperative institutions such as IFFCO and NAF.

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