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Ministry of Cooperation

Topics Covered: Parliament and State Legislatures – structure, functioning, conduct of business, powers & privileges and issues arising out of these.

Ministry of Cooperation:

Context:

A new ‘Ministry of Cooperation’ has been created for strengthening the cooperative movement in the country.

 

Roles/Functions of the new ministry:

  1. Provide a separate administrative, legal and policy framework for strengthening the cooperative movement in the country.
  2. Help deepen cooperatives as a “true people-based movement reaching up to the grassroots”.
  3. Streamline processes for ease of doing business’ for cooperatives and enable development of multi-state cooperatives (MSCS).

 

What are cooperative societies?

  • A cooperative is an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly-owned and democratically controlled.
  • The need for profitability is balanced by the needs of the members and the wider interest of the community.

 

Provisions of Indian Constitution related to Cooperatives:

  • The Constitution (97th Amendment) Act, 2011 added a new Part IXB right after Part IXA (Municipals) regarding the cooperatives working in India.
  • The word “cooperatives” was added after “unions and associations” in 19(1)(c) under Part III of the Constitution. This enables all the citizens to form cooperatives by giving it the status of fundamental right of citizens.
  • A new Article 43B was added in the Directive Principles of State Policy (Part IV) regarding the “promotion of cooperative societies”.

 

Support from the government:

  • The Government of India enacted the Multi-State Co-operative Societies Act in 2002 and National Policy for Cooperatives was also formulated in 2002 to provide support for promotion and development of cooperatives as autonomous, independent and democratic organizations so that they can play their due role in the socio-economic development of the country.

 

Insta Curious:

Did you know that the United Nations General Assembly has declared 2012 as the International Year of Cooperatives? Click here 

 

InstaLinks:

Prelims Link:

  1. About Cooperative societies.
  2. Types.
  3. Roles and functions.
  4. Constitutional provisions.

Mains Link:

Write a note on the history of cooperative movement in India.

Sources: Indian Express.