Parliament Question: Cooperative University

GOVERNMENT OF INDIA MINISTRY OF COOPERATION LOK SABHA UNSTARRED QUESTION NO. 3809 TO BE ANSWERED ON 11th AUGUST, 2026 Cooperative University †3809. Smt. Manju Sharma:

Will the Minister of COOPERATION (सहकारिता मंत्री) be pleased to state:

(a) the manner in which the proposed University relating to cooperative societies is expected to contribute particularly to the modernization of training systems, development of domain experts in various fields of cooperation, and the growth and professionalisation of the cooperative sector in the country;

(b) the steps being taken to promote the participation and leadership of women in cooperative societies particularly in the State of Rajasthan;

(c) the measures being taken to ensure that the cooperative sector remains competitive in the digital era, including the use of technology to increase transparency, efficiency and member services; and

(d) the process adopted for designing the curriculum of the proposed University to ensure practical training and research in cooperative management by incorporating the latest best practices and innovations in the cooperative sector? ANSWER THE MINISTER OF COOPERATION सहकारिता मंत्री (SHRI AMIT SHAH)

(a) The “Tribhuvan” Sahkari University Act, 2025, mandates the University to provide qualified and trained manpower to meet the present and future needs of the co-operative sector by establishing its own schools and through affiliating institutes and also to standardise the course design and content, pedagogy, course delivery in co-operative education and training for professionalisation of workforce in the cooperative sector. In terms of modernization of training systems, the University uses digital contents, simulations, games and other modern techniques.

(b) So far as the participation and leadership of women in cooperative societies, particularly in Rajasthan, is concerned, National Cooperative Development Corporation (NCDC), a statutory body under the Ministry of Cooperation, Government of India, is mandated to promote economic development through cooperatives by strengthening farmer institutions, enhancing productivity, and supporting pre- and post-harvest infrastructure.

Page 1 of 18The NCDC has been providing financial assistance to the cooperative sector under its corporation-sponsored schemes as well as various schemes of Government of India, covering a wide range of notified commodities and services, as amended from time to time. In recent years, NCDC has introduced sector-specific schemes and focused products to align with the evolving needs of the cooperative sector, with special emphasis on new cooperatives, women empowerment, rural healthcare etc. thereby strengthening the cooperative infrastructure.

Details of the activities supported and schemes implemented are provided at Annexure-I NCDC, to promote the participation and leadership of women in cooperative societies, is implementing the following schemes exclusively for women led self-help group and

cooperatives on pan india basis: i. Swayam Shakti Sahakar Yojna ii. Nandini Sahakar iii. Yuva Sahakar Yojana The schemes are fully funded and supported by NCDC.

The detail of Swayam Shakti Shahakar Yojna is at Annexure-II.

The detail of Nandini Sahakar is at Annexure-III.

The detail of Yuva Sahakar Yojana is at Annexure-IV.

Disbursement details for the last 3 years for women cooperatives in the state of Rajasthan is as

follows:

S. No. Financial Year Amount Disbursed (₹ in crore) 1 2023-24 0.44 2 2024-25 __ 3 2025-26 190.16

(c) The Ministry of Cooperation has undertaken several measures to ensure that the cooperative sector remains competitive in the digital era. The major measures are as under:

1. Computerisation of Primary Agricultural Credit Societies (PACS) Project: The Ministry is implementing the Centrally Sponsored Project for Computerisation of functional PACS with a total financial outlay of ₹2,516 Crore which has now been increased up to 2925.39 Crore which entails bringing all the functional PACS onto an ERP (Enterprise Resource Planning) based common national software, linking them with NABARD through State Cooperative Banks (StCBs) and District Central Cooperative Banks (DCCBs). This has been done with a view to improving their operational efficiency, transparency and accountability through ERP-based National Software. The project facilitates standardized accounting, audit, MIS, online service delivery and integration with various national digital platforms, thereby enabling efficient governance and better service delivery to members. Under the Computerisation of Primary Agricultural Credit Societies (PACS) Project, 63,686 PACS have been onboarded on the ERP-based National Software, 54,707 PACS have been declared as e-PACS and more than 51.58 crore digital transactions have been Page 2 of 18carried out through the software as on 15.07.2026, leading to enhanced transparency, improved service delivery and better financial management at the grassroots level.

2. Computerisation of the Office of Registrar of Cooperative Societies (RCS):

Centrally sponsored project for computerization of RCS offices in States/Union Territories has been launched by the Ministry on 30.01.2024 with a budgetary outlay of Rs.94.59 crore for three years w.e.f. 2023-24. This is a part of the umbrella project of “Strengthening Cooperatives Through IT Interventions” of the Ministry. The project aims to enhance the ease of doing business for Cooperative Societies and create a digital ecosystem for transparent, paperless interaction of cooperative societies with the RCS offices in all States/Union Territories. Under the project, grants are being provided to the States/ UTs for procurement of hardware, development of software, maintenance & upgradation of software, etc. The software developed under this scheme will be as per the Cooperative Acts of the respective States/UTs. During the financial years 2023-24, 2024-25, 2025-26 and 2026-27 (up to 15th July, 2026), 35 States/UTs have submitted their proposals, and Rs 43.21 crore has been released as the Government of India's share to States/UTs. The integrated digital RCS portals of 7 States/UTs have been gone live and integrated with National Cooperative Database also.

3. Computerization of Agriculture and Rural Development Banks (ARDBs): To strengthen the long-term cooperative credit structure, the project of computerization of 1,867 units of Agriculture and Rural Development Banks (ARDBs) spread across 13 States/ Union Territories has been approved by the Government. NABARD is the implementing agency for the project. So far, proposals from 10 States/UTs have been received and sanctioned with 1,422 units. Further, GOI share amounting to Rs 16.74 crore has been released to 10 States/UTs in FY 2023-24, FY 24-25, FY 2025-26 and FY 2026-27 for procurement of hardware, digitization, and setting up of support systems.

Till date, 9 States/UTs have procured the Hardware under the project.

4. National Cooperative Database (NCD): A comprehensive database of cooperatives in the country has been developed with the support of State Governments to facilitate stakeholders in policy making and implementation of programmes/ schemes related to cooperatives across the country. The NCD portal was launched by Hon’ble Home & Cooperation Minister on 08.03.2024. So far, the database includes data on around 8.6 lakh cooperatives from 30 different sectors, involving approximately 32 crore members.

5. Launch of National Cooperative Database (NCD) portal 3.0: The upgraded / enhanced version NCD portal 3.0 was officially launched by Hon'ble Home & Cooperation Minister on 06.07.2026. The NCD portal 3.0 provides several new features, including OTP-based secure login, cooperative society-level user access and dashboards, AI Chatbot, village-level GIS mapping, multilingual support through Bhashini integration, API integration with State RCS portals for real time updation of data, feedback mechanism, and call management and technical helpdesk support, improved frontend framework and database for enhanced security and faster access etc.

6. Launch of NCD GeoTag Mobile Application: The NCD GeoTag Mobile Application has been developed for capturing the GPS location (latitude and longitude) of all Page 3 of 18functional cooperatives. It was launched on 06.07.2026 by Hon'ble Home & Cooperation Minister. The mobile application will also enable accurate geo-tagging and GIS-based mapping of cooperatives on the NCD Portal.

7. Computerisation of the Office of Central Registrar of Cooperative Societies

(CRCS): In compliance with newly inserted provision of section 120A of the Multi- State Cooperative Societies (MSCS) (Amendment) Act, 2023, the Office of Central Registrar of Cooperative Societies has been computerized to create a digital ecosystem for Multi-State Cooperative Societies by enabling online registration, amendment of bye-laws and time-bound delivery of services. With the computerization of CRCS office, all the working processes of CRCS office, inter-alia, including Registration, Amendment of Bye-laws, filling of Annual return, branch opening, sale officer appointment, online payments to Cooperative Education Fund (CEF) and Cooperative Rehabilitation, Reconstruction and Development Fund (CRRDF), etc. are being processed through the new online portal in compliance with the statutory requirements of MSCS Act.

8. Cooperative Ranking Framework: The Government launched the Cooperative Ranking Framework on 24th January 2025 to assess and rank cooperatives, State-wise and sector-wise. This ranking framework enables State RCS to assess Cooperative Societies’ performance based on key parameters, including audit compliance, operational activities, financial performance, infrastructure, and basic identity information. The States/ UTs can generate rankings of Cooperative Societies of 12 major sectors, namely PACS, Dairy, Fishery, Urban Cooperative Banks, Housing, Credit and Thrift, and Khadi and Gram Udyog, Agro processing / Industrial, Handicraft, Handloom, Textile & Weavers, Multipurpose and Sugar at State, district, and block levels, through the NCD portal. This ranking system aims to enhance transparency, reliability and competitiveness among cooperative societies, ultimately fostering their growth.

9. Facility for States / UTs to integrate State RCS portal with NCD portal through

API: The Ministry of Cooperation (MoC) developed a standard API for States to fetch the entire data of cooperative societies of the State from the NCD portal to their respective RCS portals, and shared the Standard API Specification Document and database schema with States on 27.05.2025. Subsequently, the Ministry shared a document on Push APIs (End Point APIs) for live, event-driven data pushing from RCS portals to the NCD Portal, enabling real-time updates and new registration data, on

22.09.2025. To further clarify the process, an advisory along with a comprehensive checklist was issued to all States / UTs on 14.11.2025. As per the integration plan, States/UTs need to ensure the development of reverse/pull API at their end and complete RCS computerization in accordance with the checklist for successful integration with the NCD portal. As of 15.07.2026, the States of Rajasthan, Chhattisgarh, Bihar, Mizoram and Sikkim, and UTs of Dadra and Nagar Haveli & Daman and Diu and Andaman and Nicobar Islands have completed integration with the NCD portal. This two-way integration will ensure synchronization of cooperative data across platforms.

Page 4 of 1810. Digital Services and Technology Integration: The ERP-based software developed for PACS supports integration with various digital platforms such as Core Banking System

(CBS), National Cooperative Database (NCD), Common Service Centres (CSC) and other digital service platforms, enabling PACS to function as vibrant multipurpose economic institutions and provide diversified services to their members.

11. Strengthening Governance Framework: The Ministry has undertaken several policy and institutional reforms, including establishment of the National Cooperative Database, launch the National Cooperation Policy, 2025, amendment of MSCS Act, 2002, etc.

12. Urban Cooperative Banks (UCBs) have been allowed to open new branches to

expand their business: UCBs can now open new branches up to 15% (maximum 10 branches) of the existing number of branches in the previous financial year without prior approval of the RBI.

13. UCBs have been allowed by the RBI to offer doorstep services to their customers:

Doorstep banking facility can now be provided by UCBs. Account holders of these banks can now avail various banking facilities at home, such as cash withdrawal, cash deposit, KYC, demand draft, and life certificate for pensioners, etc.

14. Umbrella Organization for Urban Cooperative Banks: National Urban Cooperative Finance and Development Corporation (NUCFDC) has been established with the approval of the RBI as an Umbrella Organization (UO) for the UCB sector, which is providing necessary IT infrastructure and operational support to around 1,500 UCBs. It has launched various services like Digi Loan and Digi Pay.

15. Cooperative banks have been allowed to make one-time settlement of outstanding loans, like Commercial Banks: Co-operative banks, through board-approved policies, can now provide the process for settlement with borrowers, along with technical write- off.

16. License fee reduced for Cooperative Banks for AePS: License fee for onboarding Cooperative Banks to ‘Aadhaar Enabled Payment System’ (AePS) has been reduced by linking it to the number of transactions. Cooperative financial institutions are now to get the facility free of cost for the first three months of the pre-production phase. With this, members of onboarded Banks are now able to get the facility of banking at their home through biometrics.

17. UIDAI on 01.08.2025 has introduced a new framework for onboarding of Cooperative Banks on the Aadhaar Enabled Payment System (AePS). Now, only StCBs are required to onboard as Authentication User Agencies (AUA)/eKYC User Agencies (KUA); DCCBs will be allowed to use it through State Cooperative Bank as sub AUA/KUA, free of cost.

18. Sahakar Sarathi (Shared Service Entity): Sahakar Sarathi (Shared Service Entity) Private Limited has been established after approval of the RBI to provide technological services to Rural Cooperative Banks (RCBs) and their strengthening. This has launched 13 services for the Rural Cooperative Banking Sector.

Page 5 of 1819. RBI vide its Notification dated 07.10.2025, has included rural cooperative banks in its Integrated Ombudsman Scheme. This will bring more transparency and accountability to the functions of rural cooperative banks.

20. RBI vide Master Direction dated 04.12 2025, has allowed State Cooperative Banks

(StCBs) and District Central Cooperative Banks (DCCBs) to open new branches (maximum 10) through an automatic route. StCBs & DCCBs, subject to eligibility, will now be able to open new branches without delay and can expand their business.

21. RBI vide Master Direction dated 28.11.2025, has granted relaxation to the Rural and Urban cooperative banks in financial norms for providing modern banking services. The previous requirements of Gross NPA being less than 7% and Net NPA not exceeding 3%, and the net profit criterion have been removed. Now the cooperative banks can easily provide modern banking services to their customers.

22. RBI vide Master Direction dated 04.12.2025, has issued Eligibility Criteria norms for Business Authorisation (ECBA), which will supersede the previous FSWM provisions. The clause regarding no penalties in the last two years has been removed from these norms. Now the Cooperative Banks will be able to easily open new branches and expand their business.

(d) The curricula for academic programmes are developed by “Tribhuvan” Sahkari University through a collaborative and consultative process. Each curriculum initially developed by a group of faculty was subsequently discussed in the Board of Cooperative Studies of the concerned School, which also have expert from the cooperative sector and final approval given by Academic & Research Council.

Page 6 of 18Annexure - I SCHEMES / ACTIVITIES ASSISTED BY NCDC

1) CORPORATION SPONSORED SCHEMES:

A) ACTIVITIES ASSISTED:

NCDC provides financial assistance in the form of loans (both Term Loans and Investment Loans) and subsidy to the cooperative societies for their development. The loan component is provided from out of NCDC’s own funds while the eligible subsidy is provided after dovetailing from other Central Sector Schemes. The list of activities assisted by NCDC is

as under:- i. Marketing: ii. Processing: iii. Storage: iv. Cold Chain: v. Industrial: vi. Distribution of essential consumer articles through cooperatives: vii. Credit & Service Cooperatives/ Notified Services:

viii. Cooperative Banking Unit: ix. Agricultural Services: x. District Plan Schemes: xi. Weaker Section Cooperatives: xii. Assistance for Computerization of Cooperatives: xiii. Promotional and Developmental programmes.

B. FOCUSSED PRODUCTS OF NCDC:

I. YUVA SAHAKAR - Cooperative Enterprise Support and Innovation Scheme: The scheme aims at encouraging newly formed cooperative societies with new and/ or innovative ideas.

II. NANDINI SAHAKAR: The scheme aims to improve the socio-economic status of women and supports the entrepreneurial dynamism of women through women’s cooperatives. It converges critical inputs of women’s enterprise, business plan formulation, capacity development, credit and subsidy, and/ or interest subvention of other schemes.

III. SWAYAM SHAKTI SAHAKAR YOJNA: - Scheme for providing NCDC's financial assistance to Agricultural Credit Cooperatives for providing loan/advances to Women Self Help Groups (SHGs) .

Page 7 of 18IV. DEERGHAVADHI KRISHAK PUNJI SAHAKAR YOJNA: Scheme for extending NCDC's long-term financial assistance to Agricultural Credit Cooperatives towards their onward lending of long-term loans/advances for activities/commodities/services under the purview of NCDC .

V. NCDC CASH CREDIT LOAN: Working capital scheme for cooperatives, offering loans up to ₹20 crore on the lines of commercial bank cash credit limits — with easy withdrawals, no processing fees, and annual renewal options.

VI. SAHAKAR INNOVATION SCHEME: The scheme was launched in the financial year 2025-26 to provide grant assistance of up to ₹25 lakh to eligible cooperative societies for promoting innovation, adoption of new technologies, development of innovative products, services and business models, market linkages, and sustainability-oriented initiatives, thereby strengthening the cooperative sector and supporting emerging cooperatives with innovative and scalable ideas.

2. Other Central Schemes: a) Grant in aid to National Cooperative Development Corporation (NCDC) Scheme – Ministry of Cooperation b) Agricultural Marketing Infrastructure (AMI) sub-scheme of Central Sector Integrated Scheme on Agriculture Marketing (CSISAM) for Storage and other than Storage Infrastructure - Ministry of Agriculture & Farmer’s Welfare.

c) Mission for Integrated Development of Horticulture (MIDH) – Integrated Post Harvest Management - Ministry of Agriculture & Farmer’s Welfare. d) Interest Subvention & Credit Guarantee through Financing Facility under Agriculture Infrastructure Fund scheme - Ministry of Agriculture & Farmers’ Welfare.

e) Assistance for Boosting the Seed Production component under the Sub-Mission for Seed and Planting Material (SMSP) of the National Mission on Agricultural Extension and Technology (NMAET). f) PM Matsya Sampada Yojana (PMMSY) – Department of Fisheries, Ministry of Fisheries, Animal Husbandry and Dairying.

(i) Formation and Promotion of Fish Farmer Producer Organizations (FFPOs).

(ii) PM Matsya Kisan Samridhi Sah-Yojana (PM-MKSSY) – sub scheme under PMMSY by Department of Fisheries, Ministry of Fisheries, Animal Husbandry and Dairying. g) PM Formalisation of Micro Food Processing Enterprises (PMFME) - Ministry of Food Processing Industries.

h) Scheme for Formation and Promotion of 10,000 Farmer Producer Organizations

(FPOs) – Ministry of Agriculture & Farmer’s Welfare. i) (i) Pradhan Mantri Kisan Sampada Yojna (PMKSY) – Scheme for Food Processing and Value Addition - Ministry of Food Processing Industries.

(ii) Pradhan Mantri Kisan Sampada Yojna (PMKSY) - Integrated Cold Chain and Value Addition Infrastructure Scheme - Ministry of Food Processing Industries.

Page 8 of 18(iii) Pradhan Mantri Kisan Sampada Yojna (PMKSY) - Creation of Infrastructure for Agro Processing Clusters (APC) - Ministry of Food Processing Industries. j) National Scheduled Tribes Finance and Development Corporation (NSTFDC) - Ministry of Tribal Affairs.

k) National Livestock Mission (NLM) - Department of Animal Husbandry and Dairying, Ministry of Fisheries, Animal Husbandry & Dairying. l) Rashtriya Gokul Mission (RGM) - Department of Animal Husbandry and Dairying, Ministry of Fisheries, Animal Husbandry & Dairying.

m) Animal Husbandry Infrastructure Development Fund (AHIDF), Ministry of Fisheries, Animal Husbandry & Dairying n) Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) - Ministry of Micro, Small & Medium Enterprises (MSME) o) National Beekeeping and Honey Mission (NBHM) – Ministry of Agriculture & Farmers Welfare (MoA&FW) p) Sub-Mission on Agricultural Mechanization (SMAM) - Ministry of Agriculture & Farmers Welfare (MoA&FW).

Page 9 of 18Annexure- II SUPPLEMENTARY NOTE ON SWAYAMSHAKTI SAHAKAR YOJNA National Cooperative Development Corporation (NCDC) is an apex level statutory institution set up by the Government of India under an Act of the Parliament in 1963. NCDC has been created for the purpose of planning and promoting programmes for the production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, industrial goods, livestock, certain other commodities and services on cooperative principles. NCDC extends financial assistance to cooperatives at all the three tiers, Primary, District and Apex / Multi- State. NCDC is under the administrative control of the Ministry of Cooperation.

I) OBJECTIVE OF THE SCHEME: • Access to the affordable cost-effective reliable financial services to the poor. • Facilitating women SHGs to access adequate bank credit to undertake the common/collective socio-economic activities.

• Promotion of sustainable livelihood II) CO OPERATIVES ELIGIBLEFOR ASSISTANCE:

The following types of Agricultural Credit Cooperatives will be eligible for NCDC’s loan under this scheme. • Primary Agricultural Credit Co operatives (PACS) • District Central Cooperative Banks (DCCBs) • State Cooperative Banks (StCBs) • SHG Federated Cooperatives/ Cooperative federations III) ELIGIBILITY CRITERIA NCDC loan shall be provided to Credit Cooperatives fulfilling the following criteria of

direct funding: i) Cooperative should have been in operation for not less than 3 years. ii) Cooperatives should have positive net worth, not less than 100% paid up share capital, i.e there should be no erosion in the paid up share capital.

iii) Cooperatives should not have incurred any cash loss during last three years and there should be net profit in atleast two of the previous three years.

IV) PURPOSE FOR WHICH NCDCASSISTANCEWILLBE EXTENDED:

NCDC assistance will be extended to eligible Credit Cooperatives for onward lending of working capital loan or term loans to women SHGs.

V) PATTERN OF FUNDING:

Loan as per requirement of the Credit Cooperatives and as assessed by NCDC (as per credit cooperatives lending business turnover) for onward lending of short /medium term to women SHGs.

VI) SECURITY:

Page 10 of 18The loan shall be secured by one, or combination of two or more, of the following to the

satisfaction of NCDC: i. Mortgage of fixed assets of credit cooperatives of value not less than 1.50 times of the loan amount. ii. Pledge of Fixed Deposit Receipts with face value not less than 1.10 times of the loan amount iii. State Government Guarantee/Bank Guarantee.

iv. Hypothecation of Loans/Advances of Credit Cooperatives receivable from women SHGs, at least to the extent of 1.25 times of the loan amount.

In addition to the above, Loan agreement and demand Promissory Note will also be stipulated. If required, Postdated Cheques shall also form part of the security documents.

VII) MODE OF RELEASE OF LOAN:

On receipt of the application, loan shall be sanctioned based on the merits of the proposal.

Release of loan shall be made after completing the formalities and fulfillment of terms & conditions stipulated in the sanction letter and shall be in one or more installments, within the stipulated period for drawal of loan.

VIII) PERIOD OF LOAN / MORATORIUM / RATEOF INTEREST:

Short term working capital loan will be for upto 3 years with a maximum moratorium of 6 months in repayment of principal amount. However, there will not be any moratorium in payment of interest. Credit Cooperatives may also avail working capital loan for 5 years on revolving basis with yearly validation. Loan shall be repaid in half yearly installments IX) RATEOF INTEREST:

As per NCDC circular for interest rate as amended from time to time.

X) PROCESSING FEE & LEGAL FEE:

In case of direct funding, the cooperative shall pay processing fee @0.5% of the sanctioned amount subject to a maximum of Rs.3.00 lakh plus tax applicable at the time of payment. However, No processing fee would be charged for working capital loan upto 1 year.

The borrower cooperative shall meet the legal expenses incurred for execution of security documents.

Page 11 of 18Annexure-III SUPPLEMENTARY NOTE ON NANDINI SAHAKAR Nandini Sahakar by National Cooperative Development Corporation (NCDC) is a women focused framework of financial assistance, project formulation, hand-holding and capacity development aimed at assisting women cooperatives take up business model based activities in any sector, except urban housing. There is no minimum or maximum limit on financial assistance to projects by women cooperatives. Women cooperatives are those which are registered as women cooperative under any State / Central Act or those cooperatives which have minimum 50% women as primary members. Any cooperative society with three months in operation is eligible to apply for assistance which will be in the form of credit linkage for infrastructure term loan and working capital, dovetailed with subsidy or interest subvention from other schemes of Government / Agencies. Nandini Sahakar is aimed at assisting women run businesses and meeting the Atmanirbhar Bharat objectives.

Objective:

Aligning itself with the principles of Atmanirbhar Bharat outlined by Hon’ble Prime Minister, NCDC has introduced the Nandini Sahakar framework of assistance to improve socio- economic status of women. It supports entrepreneurial dynamism of women through women cooperatives. It converges critical inputs of women’s enterprise, business plan formulation, capacity development, credit and subsidy and / or interest subvention of other schemes. NCDC, on its own, or as agency of flagship programs of many Ministries has been implementing sectoral schemes. Nandini Sahakar is a focused framework and aims at extending financial assistance exclusively to women cooperatives involved in activities coming under the purview of NCDC.

Eligibility:

Any Women Cooperative Society registered under any State/ Multi State Cooperative Societies Act in the country is eligible. Any cooperative society with minimum 50% women members at primary level is also eligible. In case of projects related to new and/ or innovative activities, women cooperatives which are in operation for at least three months, are also eligible for assistance under the scheme as per applicable NCDC guidelines.

Indicative Business Activities Nandini Sahakar assists, except urban housing, any business plan based activity /service mandated to NCDC, for example, agro-processing, supply chain, value addition, logistics, farm mechanization, retail, marketing of food grains, input supply, plantation, horticulture, rural housing, weaker section programs, tribal cooperatives, dairy, poultry, livestock, fishery, handloom, coir, jute, sericulture, computerization, textiles, infrastructure of PACS / Credit / Marketing cooperatives, agriculture insurance, water conservation works / services, tourism, Page 12 of 18hospitality, transport, hospital / health care/ Yoga wellness facility, education, generation & distribution of power, non-conventional and renewable sources of energy etc.

Mode of Assistance NCDC assistance is provided either DIRECTLY or through State Government/ UT Administration to eligible cooperatives. Convergence of NCDC credit linkage with schemes of Government of India (such as AIF, DIDF, FIDF, 10,000 FPO, FFPO, PMMSY, PM FME, MSME etc.) or with any scheme of State Government / UT / Development Agencies or with bilateral / multilateral assistance/ CSR Foundations etc is encouraged.

Project Cost:

There is no minimum or maximum cap on project cost in case of viable proposals by women cooperative societies which are operating successfully for at least three years. The project cost includes infrastructure, margin money and working capital. The project cost limits are as

follows:

SI Length of operation of Maximum Project Cost No. applicant coop. society Rs. crore

1. > 3 months and < 1 year 1.00

2. > 1 year and <3 years 3.00

3. > 3 years As per actual requirement (no limit)

Loan Period:

Period of loan will be 5-8 years, including 1-2 years of moratorium on repayment of principal, depending on the type of project and revenue streams.

Funding Pattern:

The projects would be supported with following funding pattern :

Infrastructure Creation (Project Facilities):

Funding through State Govt. Direct Funding NCDC to State Govt. State Govt. to Society NCDC to Society Loan* - 90% Loan* - 50% Loan*- 70% Share Capital** - 40% Society’s Share – 10% Society’s Share – 10% Society’s Share – 30% *In case subsidy/ grant under any scheme of Government of India or State Government or any other Funding Agency are dovetailed, the loan amount may be reduced proportionately.

** In case share capital is not contributed by State Govt., the same (40%) shall also be passed on as loan to Society.

Page 13 of 18Margin Money:

Funding through State Govt. Direct Funding NCDC to State Govt. State Govt. to Society NCDC to Society Loan* for availing Bank Loan* or Share Capital or Loan* 100% *** credit. Loan- cum-Share capital 100% *** 100% *** * In case subsidy/ grant under any scheme of Government of India or State Government or any other Funding Agency are dovetailed, the loan amount may be reduced proportionately.

*** Eligibility of Margin Money assistance is subject to assessment.

Working Capital: As per requirement.

In case of new and innovative project activities, women cooperatives would be supported with

pattern of funding with debt: equity 80:20 under Direct Funding

Rate of Interest:

For credit linkage, NCDC circular on interest rate published from time to time depending on market conditions, shall be applicable.

Interest Subvention Assistance in the form of interest subvention can be as follows depending on the nature of

activities: a. Interest subvention for new and innovative activities: NCDC will provide 2% interest subvention on its rate of interest on term loan portion for new and innovative activities. b. Interest subvention for other activities: NCDC will provide 1% interest subvention on its rate of interest on term loan portion for all other activities.

NCDC interest subvention incentive shall be applicable for timely repayments. Interest subvention or subsidy or support from other schemes of Government of India or any scheme of State Government/ UT/ Development Agencies or bilateral/ multilateral assistance is encouraged and permitted.

Security:

NCDC assistance is provided either under Direct Funding or through State Government / UT.

In case of direct funding, cooperative society may offer security for loan in any one or

combination of the following to the satisfaction of NCDC: a) Mortgage of assets, including assets to be created under the project, to the extent of 1.5 times of NCDC loan; b) Guarantee by State/ UT / Central Government;

Page 14 of 18c) Pledge of FDRs of Scheduled banks/ Nationalized banks, to the extent of 1.2 times of NCDC loan; d) Guarantee by Central PSUs/ Statutory bodies/ CSR Foundations of Central PSUs; e) Guarantee from Scheduled Banks/ Nationalized Banks;

f) Hypothecation and assignment of Government bonds/ securities to the extent of 1.2 times of NCDC loan; g) Guarantee of credible cooperative institutions, that is, institution with sound financial condition and proven track record;

h) Guarantee of Small Farmers’ Agri Business Consortium (SFAC)/ North Eastern Development Finance Corporation (NEDFi)/ Small Industries Development Bank of India (SIDBI)/ Credit Guarantee Fund; i) Personal guarantee of Board of Directors/members in the form of Fixed Deposit Receipts (FDRs).

Subsidy:

Nandini Sahakar can be dovetailed with existing schemes of Government of India (such as AIF, 10,000 FPO, PMMSY, FIDF, PM FME, MSME, MoRD, MWCD etc.) / State Government / UT Admn or with any future scheme or with bilateral / multilateral assistance or development agencies/ CSR mechanisms, as credit linkage. However, if the project cost includes working capital loan component, the subsidy would be eligible only for capital investment of the project cost (excluding working capital). To ensure speedy and smooth implementation of projects, eligible loan can be provided in-lieu of subsidy. The subsidy, as and when received by NCDC for onward disbursement, would be adjusted against the loan account.

Page 15 of 18Annexure- IV SUPPLEMENTARY NOTE ON YUVA SAHAKAR-COOPERATIVE ENTERPRISE SUPPORT AND INNOVATION SCHEME 2019 National Cooperative Development Corporation (NCDC) is an apex level statutory institution set up by the Government of India under an Act of the Parliament in 1963. NCDC has been created for the purpose of planning and promoting programmes for the production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, industrial goods, livestock, certain other commodities and services on cooperative principles. NCDC extends financial assistance to cooperatives at all the three tiers, Primary, District and Apex / Multi- State. NCDC is under the administrative control of the Ministry of Cooperation.

Objective:

Aligning itself with the focus on programmes like Start-up India and Stand-up India aimed at young entrepreneurs with new and innovative ideas NCDC had notified YUVA SAHAKAR-- COOPERATIVE ENTERPRISE SUPPORT AND INNOVATION SCHEME IN 2018. Based on the implementation of the scheme, the scheme has now been made more broad based and is titled, YUVA SAHAKAR-COOPERATIVE ENTERPRISE SUPPORT AND INNOVATION SCHEME 2019. The scheme aims at enabling Start-Ups in the Cooperative sector covering all types of activities.

The scheme aims at encouraging newly formed cooperative societies with new and / or innovative ideas. It is linked to a Cooperative Start-up and Innovation Fund created by NCDC.

It is more liberal to cooperatives in the North Eastern Region, cooperatives registered and operating in Aspirational Districts as identified by NITI Aayog, cooperatives with 100 % women / SC / ST / PwD members

Eligibility: a) Any type of cooperative society with new, innovative and value chain enhancement intended projects. b) The cooperative society should be in operation for a minimum of three months. c) The cooperative society should have positive net-worth.

d) The cooperative society should not have incurred cash loss during previous year(s) of operation, as applicable, and no cash loss in the past three years (if the society is in operation for more than 3 years).

Project Cost: a) Project cost should not exceed Rs. 3.00 crore in case of a cooperative society which is in operation for one year or more. b) Project cost should not exceed Rs.1.00 crore in case of a cooperative society which is in operation for more than three months but less than one year. However, once the cooperative society completes one year of its operation, it would become eligible for assistance as Page 16 of 18admissible to cooperative society which is in operation for one year or more excluding assistance already availed, if any.

c) Depending on the nature and activities of a project, working capital loan can be

provided as part of the project, however, working capital will not be more than 20% of the total project cost.

Loan Period:

Period of loan can be up to 5 years, including 2 years moratorium on payment of principal.

Period of moratorium may vary, depending on the type of project and its ability to generate revenue.

Rate of Interest:

As an incentive, NCDC will provide 2 % less than its applicable rate of interest on term loan for the project activities. Interest incentive shall be valid only in case of timely repayments.

Security:

The cooperative society may offer security for the loan in any one or combination of the

following to the satisfaction of NCDC: a) Mortgage of assets, including assets to be created under the proposed project. b) FDRs of the scheduled banks. c) Guarantee of credible cooperative institutions, that is, institution with sound financial condition and proven track record.

d) Guarantee of State/Central Government e) Guarantee by Central PSUs/ Statutory bodies/CSR Foundations of Central PSUs. f) Guarantee of Small Farmers’ Agri Business Consortium (SFAC)/ North Eastern Development Finance Corporation (NEDFi)/ Small Industries Development Bank of India

(SIDBI). g) Personal guarantee of Board of Directors/members in the form of Fixed Deposit Receipts (FDRs) and/or Guarantee of scheduled banks.

Subsidy:

In case the proposed activity is eligible for subsidy under the Central Sector Integrated Scheme on Agricultural Cooperation (CSISAC) or any other source, the same will be applicable.

However, if the project cost includes working capital loan component, CSISAC subsidy would be eligible only for capital investment of the project cost (excluding working capital). To ensure speedy and smooth implementation of projects, eligible loan can be provided in-lieu of subsidy.

The subsidy, as and when received by NCDC for onward disbursement, would be adjusted against the loan account.

Funding Pattern:

The projects would be supported with funding pattern having debt: equity ratio as below:

Page 17 of 18Category - A:

80% : 20% Any type of cooperative society in the North Eastern Region.

Any type of cooperative society registered and operating in Aspirational Districts as identified by the NITI Aayog.

Any type of cooperative society with 100% women members.

Any type of cooperative society with 100% Scheduled Caste / Scheduled Tribe / Person(s) with Disabilities (PwD) members Category - B:

70%: 30% Any type of cooperative society which not covered under Category-A for all types of activities.

In case subsidy is eligible for the proposed activity, subject to availability, the loan component would be reduced proportionately.

Due Diligence NCDC would adopt its standard practice of appraisal and due diligence before any project is sanctioned. ***** Page 18 of 18