Agricultural cooperatives paving the way for inclusive growth, contributing to 10% of India’s GDP
Bengaluru: As India moves closer to becoming a $5 trillion economy, the cooperative sector is emerging as a game-changer for self-employment and grassroots development. Primus Partners, India’s leading home-grown consultancy, has released an insightful report projecting that cooperatives will generate 56 million self-employment opportunities by 2030, driving financial inclusion, rural development, and socio-economic empowerment.
This transformative potential of cooperatives aligns with the vision highlighted at the recently inaugurated Global Cooperative Conference 2024, where Prime Minister Shri Narendra Modi emphasised the role of cooperatives in shaping a sustainable and inclusive growth story for India.
The report underscores the sector’s significant economic contribution, with cooperatives expected to account for over 10% of India’s GDP by 2030. Agricultural cooperatives, in particular, are driving this momentum, paving the way for financial empowerment across rural and urban India.
India’s cooperative network, the largest in the world, represents nearly 30% of the 30 lakh cooperative societies globally. These cooperatives play a pivotal role in empowering rural and semi-urban areas by providing affordable credit and fostering financial inclusion. Their contributions have far-reaching impacts, from enhancing agricultural productivity and supporting small-scale industries to strengthening rural economies and promoting women-led enterprises.
Opportunities and Challenges for the Sector
The report highlights the significant potential of cooperatives in transforming rural livelihoods and driving agricultural productivity by empowering farmers with access to credit and market linkages. However, key barriers persist, including limited access to technology, lack of market visibility, inadequate financing, and the need for robust capacity-building initiatives.
