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Govt to introduce bill in Lok Sabha to broaden NCDC's mandate for co-operative sector growth
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....ovt to introduce bill in Lok Sabha to broaden NCDC's mandate for co-operative sector growth<BR>Customs & Trade<BR>Dated:- 9-8-2026<BR>PTI<BR>New Delhi, Aug 9 (PTI) The government will introduce a bill in the Lok Sabha on Monday aimed at broadening the mandate of the National Cooperative Development Corporation (NCDC), enabling the organisation to give loans and grants directly to co-operative soci....
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....eties or any entity engaged in the development of the sector. The NCDC, a statutory organisation under the Ministry of Cooperation, was established in 1963 under the National Co-operative Development Corporation Act, 1962. Its main functions include planning, promoting, and financing programs for the production, processing, marketing, storage, and export-import of agricultural produce, foo....
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....dstuffs, and other notified commodities. On Monday, the government will present the National Cooperative Development Corporation (Amendment) Act, 2026, in the Lok Sabha. According to the bill circulated to the Lok Sabha members, this amendment seeks to revise the principal Act. According to the statement of objects and reasons for this new bill, the role of NCDC in the development of the c....
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....o-operative sector has substantially enhanced after the creation of a separate Ministry of Cooperation in June 2021 and the initiatives taken by the Centre to strengthen the cooperative ecosystem. Therefore, the bill proposes to broaden the NCDC's mandate from planning and promoting programmes through co-operative societies to planning and promoting programmes for co-operative development. ....
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.... Additionally, it empowers the NCDC to provide loans and grants directly to co-operative societies or any entity involved in co-operative development, as long as such funds are used for co-operative purposes. The amendment bill proposes to allow the NCDC to participate in the share capital of any co-operatives or any entity engaged in co-operative development, with the approval of the Centre. ....
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.... The co-operative societies would continue to remain the primary beneficiaries, while the proposed bill widens the institutional channels through which assistance could reach and strengthen the co-operative sector, according to the statement of objects. Among other changes, the bill proposes to expand the definition of 'foodstuffs' to include any other food items notified by the Centre. ....
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.... The geographical restriction applicable to industrial goods is proposed to be removed. This will enable assistance for such activities irrespective of their location. The bill also proposes additional powers to the NCDC that may be necessary for effectively discharging its functions. The bill provides for greater flexibility and legal clarity to the NCDC, facilitating timely and direct fi....
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....nancial assistance for co-operative development. It also empowers the NCDC to respond effectively to the emerging and diversified requirements of the co-operative sector. The statement of objects noted that the cooperative sector has expanded and diversified in recent years. Statutory bodies, state government agencies and other specialised entities are increasingly engaged in providing....
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.... infrastructure, technology, processing, marketing, financial and other services for the development of co-operatives, the bill said. "Since such entities may not be registered as co-operative societies, the corporation is presently unable to finance them directly, even where their activities are intended to benefit the co-operative sector," the statement said. The 1962 Act was enacted to....
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.... provide for the incorporation of the NCDC and also its regulations. The NCDC was formed to promote programmes through co-operative societies. These programmes are for promoting production, processing, marketing, storage, export and import of agricultural produce, foodstuffs, industrial goods, livestock and certain other commodities and services. The principal Act was amended in 1973, 1974....
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.... and 2002 to diversify the NCDC's sources of funds and expand the scope of its activities. PTI MJH MPL MPL =============<BR> News - Press release - PIB....