National Cooperative Development Corporation (NCDC)

Click to edit Master subtitle style Surya Dadhich 5/23/12 11

Flow of presentation

Genesis Objectives Organization and Management Planning and Promotion Finance and Financing Activities funded by NCDC Some successful cooperatives References
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Genesis
National Co-operative Development and Warehousing Board in 1956. A statutory organization was set up under Ministry of Agriculture. For promotion and financing of rural credit co-operatives. NCDC,13th march, 1963 NCDC Act, 1975 to diversify its objectives and activities. Responsible for planning, initiating, coordinating, developing and financing of 5/23/12 cooperative programme, export 33 import of

Objectives
To promote, strengthen and develop the institution of farmers' cooperatives. Focused on progammes of agricultural inputs, processing, storage and marketing of agricultural produce and supply of consumers goods to rural areas. Equip cooperatives to promote income by poultry farming, fishery, sericulture, handloom etc. Provide godowns, processing units etc. Equip cooperatives with equity and margin 5/23/12 money for raising bank credit. 44

Organization and Management

Head office- New Delhi General council of 51 members Board of management 12 members 16 Regional/State Directorates

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Finance and Financing

Sources of fund: Purpose:

-Internal accruals, market borrowings & allocation from Government of India including International assistance.

Margin money to raise working capital finance (100% loan) Strengthening of share capital base of societies (100% loan) Term loan for creation of infrastructural facilities like godowns, cold storages, equipment financing, purchase of transport vehicles, boats and other tangible assets. Loan assistance ranging from 60% to 95%. Term and investment loan for establishment of new, modernisation/ expansion/rehabilitation/diversification of agro-processing industries. 5/23/12 66 100% Subsidy for preparation of project reports/feasibility

States have been divided into 3 categories:

___________________________________________ Normal states co-operatively least developed states Co-operatively under developed

Procedure of sanctionthrough State Government Direct funding to co-operatives(to existing cooperative

societies in operation for not less than three years. )

Period of loan repayment 3-8 years

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Scheme
A.) Term loans
a. Through state Government b. Direct funding i) Weaker section programmes -Up to project of 50 lac -Above project of 50 lac ii) Other programmes

Effective ROI

9.75%

10.25% 10.75% 11% 9.25% 10% 10.5% 88

B.) Working Capital Loans

a. Through State Government b. Direct funding -Up to one year -Above one year 5/23/12

Activities funded by NCDC

Marketing Processing Cooperative Storage Industrial Cooperatives (handicrafts, rural crafts etc) Service cooperatives Agricultural Services Cooperatives for weaker sections Promotional and Developmental Programmes Consultancy Services
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Planning and promotion

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To influence the policies of Central & State Government. To help State Government & co-operative sector in framing five year & annual plans. It sponsors specific co-operative programmes on project basis Business & financial coordination for co-operative sector. Training of co-operative personnel & improve operational efficiency of co-operatives. Monitoring, evaluation, development of MIS. Organizing National & regional conferences.
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Few Successful Cooperatives

Sugar mills- The Shahabad Cooperative Sugar

Mills Ltd., Haryana

Agricultural Inputs- The Regional AgroIndustrial Development Cooperative Ltd., Kerala

Fruits and Vegetables- Mahagrapes,

Maharashtra -Regional fruits and vegetables producer cooperative society Ltd., Kerala

Handlooms- Tamil Nadu Handloom Weavers

cooperative Society Ltd.
1111 Spinning Mills- Gujarat State Cooperative Cotton

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Other Activities
Evaluation and statistics division To critically evaluate project implementation, identify problem areas, assess effectiveness of participating institutions and measure project impact on the participating cooperatives and their members, compare costs and benefits realized with the appraisal estimates and projections. To collect & collate statistical data Kisan call centre 5/23/12 1212 TOPIC training centre

News related with NCDC

The National Cooperative Development Corporation felicitated 27 best performing primary cooperatives from all parts of the country for excellence in their performance and conferred NCDC Cooperative Excellence Awards 2008. (The Cooperative Excellence Award instituted by NCDC recognizes outstanding contribution by the grass root level cooperatives to their members and the society at large.)

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Thank you

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