India's National Cooperation Policy 2025 reshapes rural economy with bold reforms

India has launched a major push to transform its cooperative sector with the National Cooperation Policy (NCP) 2025. Unveiled on 24 July 2025, the policy outlines a 10-year plan to shift the country toward a cooperative-led economy. New initiatives, expanded services, and educational reforms are already taking shape under this ambitious framework.

The NCP 2025 introduces a structured roadmap with six strategic pillars, 16 clear objectives, and 83 actionable recommendations. Its goals range from modernising rural credit societies to boosting dairy production and creating new cooperative enterprises.

One of the policy's early successes is the expansion of Primary Agricultural Credit Societies (PACS). Over 52,000 of these now function as multipurpose service hubs, offering more than 300 e-services to rural communities through Common Service Centers (CSCs). These include digital banking, micro-insurance, and doorstep delivery of farming supplies. However, as of early 2026, five states and one union territory have yet to adopt the updated Model Bye-Laws, leaving their PACS unable to provide these services. The dairy sector is also seeing a major push under the 'White Revolution 2.0' initiative. This five-year plan aims to increase milk procurement by dairy cooperatives by 50%. Alongside this, three new national-level cooperative bodies have been formed: Bharatiya Beej Sahkari Samiti Ltd (BBSSL) for seeds, National Cooperative Organics Ltd (NCOL) for organic produce, and National Cooperative Export Ltd (NCEL) to boost overseas trade. Education and mobility are getting attention too. A dedicated cooperative studies module will soon be introduced in NCERT schools for students in Classes 6 to 10. Meanwhile, India's first cooperative-run taxi service, Sahakar Taxi Cooperative Limited, is set to launch in February 2026. The sector's academic foundation has also been strengthened with the conversion of the Institute of Rural Management Anand (IRMA) into the 'Tribhuvan' Sahkari University, now recognised as an institution of national importance.

The NCP 2025 marks a significant restructuring of India's cooperative landscape. With new services, educational programmes, and large-scale initiatives like the dairy procurement drive, the policy aims to integrate cooperatives deeper into the economy. Implementation remains uneven, though, with some regions still catching up to the reforms.