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:Presented By:

:Guided By:

Divyesh Patel
(AABMI,NAU,NAVSARI)

Dr . Swati Sharma
(Asso. Prof.)
 Introduction

 Main areas of co-operative
 History
 Principles

 Types
 Cooperative in agribusiness
 Advantages
 Disadvantages
 Conclusion

2
What is Co-operative?

A co-operative is a group of people acting
together to meet the common needs and aspirations
of its members, sharing ownership and making
decisions democratically.

A cooperative is a legal entity owned and
democratically controlled by its members.

3
Agricultural supplies
Agricultural supply cooperatives, in particular,
faced financial stress during that time due to
decreased demand for inputs used in farm
production.
Agricultural Marketing
A marketing cooperative is a business
organization owned by farmers to collectively sell
their products. Cooperative can give them greater
power in the market place.
4
 Agricultural Processing

Processing of food grains and other agricultural products is
the most important stage in preparing them for the ultimate
consumption. This can be eliminated if the processing
activities are organized on a co-operative basis by the
producers themselves so that they Call get better return on
their produce .

5
 Agricultural Credit

Agricultural credit is, thus essentially, an
operation of securing money from one source or the other by
creating the confidence that the amount of loan would be
invested in productive operations so that the lender will get
back the loan with interest as per agreement.
 Industrial co-operatives
A Cooperative organized by workers , controlled by worker
& managed by workers for meeting their common purpose.

6
 Urban credit Co-operatives

Urban cooperative bank is a group of people who form
a co operative society for mutual financial benefits & financial
transactions like any financial institutions in urban towns &
cities functioning under directions of the apex /central
reserve bank.
 Housing co-operatives


A Housing Co-operative is a business that owns or
rents property for the purpose of housing its members.

7
 The first Cooperative Society Act of 1904 was enacted to

enable formation of “ Agricultural Credit Cooperatives in
villages in India under Government sponsorship. With the
enactment of 1904 Act, Cooperatives were to get a direct
legal identity as every agricultural Cooperative was to be
registered under that Act only.
 The National Cooperative Union of India (NCUI) was

established in 1929 as an apex promotional organization for
strengthening of cooperatives.

8
 National Cooperative Development and Warehousing Board

was set up in 1956.
 The Indian Co-operative Movement has earned distinction of
being the largest in the world. This is true in terms of
membership and Co-operative network which spread over
almost all the villages in the country and the number of Cooperative Societies .
 In our country, there are about 5.5 lakh of cooperative
Societies with membership of more than 22crores.

9
Voluntary and open membership

Democratic member control
Economic participation by members
Autonomy and independence
Education, training and information
Cooperation among cooperatives
Concern for community

10
Milk
Producers Cooperatives

Fertilizer
Cooperatives

Fisheries Cooperatives

Agribusiness
Co-operative

Farming cooperatives

Co-operative
Banking
11
12
NDDB
NDDB - National dairy development
board.
 Established in 28 November 1979
 It provides market support to the producers in rural areas.
 This network has been instrumental in supplying liquid

milk & dairy products to the urban consumers.
 Located at Anand(Anand Agricultural university campus)
 These cooperatives play important role in milk marketing
in few states in country.

13
AMUL - Anand milk union ltd.
 Amul formed in 1946, is a dairy cooperative

movement in INDIA.
 It is a brand name managed by an apex cooperative
organisation, Gujarat Co-operative Milk Marketing
Federation Ltd.(GCMMF)
 Currently Amul has 2.6 million producer members
with milk collection average of 10.16 million litres
per day.
14
 Dr. Verghese Kurien volunteered to help in setting

up a processing plant.
 Vidya Dairy(located AAU,campus) is also one of the

milk producing co-operative ,related with the Amul.
 The success of Amul was instrumental in launching

the White Revolution that resulted in increased milk
production in India.
15
Example of

Fertilizer
Co-operatives

16
IFFCO - Indian Farmers Fertilisers Cooperative

Limited (IFFCO)
Registered on November 3, 1967 as a Multi-unit Cooperative Society.
 Plants owned by IFFCO- Kalol,
Kandla(GUJARAT),Phulpur (Uttar Pradesh), Para
deep(Orissa).
 Contributes 20 per cent of country’s total
nitrogenous fertilizer production and 25 percent of
total phosphate fertiliser production.
17


KRIBHCO - Krishak Bharati Cooperative Limited

 Established in 5th February 1982.

 Is a premier Cooperative Society for manufacture of fertilizer,

registered under Multi-State Cooperative Societies Act-1985
 Was promoted by the Govt. of India, IFFCO, NCDC and

other agricultural Cooperative societies.
 KRIBHCO has setup a Fertilizer Complex to manufacture

Urea, Ammonia & Bio-fertilizers at Hazira( Surat, Gujarat).
18
Objectives To increase the urea installed capacity, maintaining
its market share.
 To ensure optimum utilisation of existing plant and
machinery.

19
Example of
Fisheries Co-operatives

20


GFCCA - Gujarat Fisheries Central Co-

operative Association Limited
 Gujarat Fisheries Central Co-operative Association
Limited (GFCCA) is an apex cooperative body of the
fishermen cooperatives in the State of Gujarat. It
was established in the year 1956 with financial and
administrative support of the Government of
Gujarat.

21
 Co-operative bank

22
The co-operative banks are small-sized units
which operate both in urban and non-urban centers.
They finance small borrowers in industrial and trade
sectors besides professional and salary classes.
 Regulated by the Reserve Bank of India, they are
governed by the Banking Regulations Act 1949 and
banking laws (co-operative societies) act, 1965. The
co-operative banking structure in India is divided
into following 5 categories:


23
 SCB – State Cooperative Bank

 DCCB – District cooperative central bank
 PACS – Primary Agricultural Cooperative credit

Societies
 CLDB – Central Land Development Bank

 PLDB – Primary Land Development Bank
24
Farming co-operatives

25




TRIFED - Tribal cooperative marketing

federation

It was established in 1987 to develop the system of
marketing of forest produced by tribals in the
country.

 TRIFED arranges marketing & export of minor

forests products produced by the tribals in the tribal
dominated areas & protects the tribals from
exploitation.
26


FSS - Farmers service society

 Established. 1973,
 Initially covers 8-10 villages .
 It is a source of finance.
 It also provides Subsidies to poor farmers for

purchase of inputs.

27
NAFED - The National Agricultural Cooperative
Marketing Federation of India.
 It was established in October, 1958
 It deals in procurement, processing, distribution,

export & import of selected agricultural
commodities.
 It is also the nodal agency for undertaking price
support operations for pulses & oilseeds and market
intervention operation for other agricultural
commodities.
28
 The head office of NAFED is in Delhi & its branch

offices are located at Mumbai, Kolkata & Chennai.

29
 Ownership and Democratic Control

 Increased Farm Income
 Improved Service
 Quality of Supplies and Products
 Expanded Markets
 Improved Farm Management
 Local Leadership Development
 Added Community Income
 Quality Products
 New Products and Processes

30
 Poor infrastructure,

 Lack of awareness
 Lack of quality management,
 Over-dependence on government,
 Restricted coverage
 Middlemen Functions
 Decisions by Large Numbers
 Limited Objectives

31
 Agribusiness cooperatives are playing a big role in growth of

agribusiness sector in India. Agribusiness is affected by a
multitude of factors including institutions and organisations.
Cooperatives are considered an important instrument of

agribusiness development in developing countries including
India.

32
33

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Role of co-operative in agribusiness

  • 1. :Presented By: :Guided By: Divyesh Patel (AABMI,NAU,NAVSARI) Dr . Swati Sharma (Asso. Prof.)
  • 2.  Introduction  Main areas of co-operative  History  Principles  Types  Cooperative in agribusiness  Advantages  Disadvantages  Conclusion 2
  • 3. What is Co-operative? A co-operative is a group of people acting together to meet the common needs and aspirations of its members, sharing ownership and making decisions democratically.  A cooperative is a legal entity owned and democratically controlled by its members. 3
  • 4. Agricultural supplies Agricultural supply cooperatives, in particular, faced financial stress during that time due to decreased demand for inputs used in farm production. Agricultural Marketing A marketing cooperative is a business organization owned by farmers to collectively sell their products. Cooperative can give them greater power in the market place. 4
  • 5.  Agricultural Processing Processing of food grains and other agricultural products is the most important stage in preparing them for the ultimate consumption. This can be eliminated if the processing activities are organized on a co-operative basis by the producers themselves so that they Call get better return on their produce . 5
  • 6.  Agricultural Credit Agricultural credit is, thus essentially, an operation of securing money from one source or the other by creating the confidence that the amount of loan would be invested in productive operations so that the lender will get back the loan with interest as per agreement.  Industrial co-operatives A Cooperative organized by workers , controlled by worker & managed by workers for meeting their common purpose. 6
  • 7.  Urban credit Co-operatives Urban cooperative bank is a group of people who form a co operative society for mutual financial benefits & financial transactions like any financial institutions in urban towns & cities functioning under directions of the apex /central reserve bank.  Housing co-operatives  A Housing Co-operative is a business that owns or rents property for the purpose of housing its members. 7
  • 8.  The first Cooperative Society Act of 1904 was enacted to enable formation of “ Agricultural Credit Cooperatives in villages in India under Government sponsorship. With the enactment of 1904 Act, Cooperatives were to get a direct legal identity as every agricultural Cooperative was to be registered under that Act only.  The National Cooperative Union of India (NCUI) was established in 1929 as an apex promotional organization for strengthening of cooperatives. 8
  • 9.  National Cooperative Development and Warehousing Board was set up in 1956.  The Indian Co-operative Movement has earned distinction of being the largest in the world. This is true in terms of membership and Co-operative network which spread over almost all the villages in the country and the number of Cooperative Societies .  In our country, there are about 5.5 lakh of cooperative Societies with membership of more than 22crores. 9
  • 10. Voluntary and open membership Democratic member control Economic participation by members Autonomy and independence Education, training and information Cooperation among cooperatives Concern for community 10
  • 12. 12
  • 13. NDDB NDDB - National dairy development board.  Established in 28 November 1979  It provides market support to the producers in rural areas.  This network has been instrumental in supplying liquid milk & dairy products to the urban consumers.  Located at Anand(Anand Agricultural university campus)  These cooperatives play important role in milk marketing in few states in country. 13
  • 14. AMUL - Anand milk union ltd.  Amul formed in 1946, is a dairy cooperative movement in INDIA.  It is a brand name managed by an apex cooperative organisation, Gujarat Co-operative Milk Marketing Federation Ltd.(GCMMF)  Currently Amul has 2.6 million producer members with milk collection average of 10.16 million litres per day. 14
  • 15.  Dr. Verghese Kurien volunteered to help in setting up a processing plant.  Vidya Dairy(located AAU,campus) is also one of the milk producing co-operative ,related with the Amul.  The success of Amul was instrumental in launching the White Revolution that resulted in increased milk production in India. 15
  • 17. IFFCO - Indian Farmers Fertilisers Cooperative Limited (IFFCO) Registered on November 3, 1967 as a Multi-unit Cooperative Society.  Plants owned by IFFCO- Kalol, Kandla(GUJARAT),Phulpur (Uttar Pradesh), Para deep(Orissa).  Contributes 20 per cent of country’s total nitrogenous fertilizer production and 25 percent of total phosphate fertiliser production. 17
  • 18.  KRIBHCO - Krishak Bharati Cooperative Limited  Established in 5th February 1982.  Is a premier Cooperative Society for manufacture of fertilizer, registered under Multi-State Cooperative Societies Act-1985  Was promoted by the Govt. of India, IFFCO, NCDC and other agricultural Cooperative societies.  KRIBHCO has setup a Fertilizer Complex to manufacture Urea, Ammonia & Bio-fertilizers at Hazira( Surat, Gujarat). 18
  • 19. Objectives To increase the urea installed capacity, maintaining its market share.  To ensure optimum utilisation of existing plant and machinery. 19
  • 21.  GFCCA - Gujarat Fisheries Central Co- operative Association Limited  Gujarat Fisheries Central Co-operative Association Limited (GFCCA) is an apex cooperative body of the fishermen cooperatives in the State of Gujarat. It was established in the year 1956 with financial and administrative support of the Government of Gujarat. 21
  • 23. The co-operative banks are small-sized units which operate both in urban and non-urban centers. They finance small borrowers in industrial and trade sectors besides professional and salary classes.  Regulated by the Reserve Bank of India, they are governed by the Banking Regulations Act 1949 and banking laws (co-operative societies) act, 1965. The co-operative banking structure in India is divided into following 5 categories:  23
  • 24.  SCB – State Cooperative Bank  DCCB – District cooperative central bank  PACS – Primary Agricultural Cooperative credit Societies  CLDB – Central Land Development Bank  PLDB – Primary Land Development Bank 24
  • 26.   TRIFED - Tribal cooperative marketing federation It was established in 1987 to develop the system of marketing of forest produced by tribals in the country.  TRIFED arranges marketing & export of minor forests products produced by the tribals in the tribal dominated areas & protects the tribals from exploitation. 26
  • 27.  FSS - Farmers service society  Established. 1973,  Initially covers 8-10 villages .  It is a source of finance.  It also provides Subsidies to poor farmers for purchase of inputs. 27
  • 28. NAFED - The National Agricultural Cooperative Marketing Federation of India.  It was established in October, 1958  It deals in procurement, processing, distribution, export & import of selected agricultural commodities.  It is also the nodal agency for undertaking price support operations for pulses & oilseeds and market intervention operation for other agricultural commodities. 28
  • 29.  The head office of NAFED is in Delhi & its branch offices are located at Mumbai, Kolkata & Chennai. 29
  • 30.  Ownership and Democratic Control  Increased Farm Income  Improved Service  Quality of Supplies and Products  Expanded Markets  Improved Farm Management  Local Leadership Development  Added Community Income  Quality Products  New Products and Processes 30
  • 31.  Poor infrastructure,  Lack of awareness  Lack of quality management,  Over-dependence on government,  Restricted coverage  Middlemen Functions  Decisions by Large Numbers  Limited Objectives 31
  • 32.  Agribusiness cooperatives are playing a big role in growth of agribusiness sector in India. Agribusiness is affected by a multitude of factors including institutions and organisations. Cooperatives are considered an important instrument of agribusiness development in developing countries including India. 32
  • 33. 33