The Union Budget has allocated Rs 900 crore to the Ministry of Cooperation compared to the revised estimate of Rs 403.30 crore in the current fiscal.
The Ministry was allocated Rs 373 crore in the revised estimate of 2021-22 while Rs 30.30 crore was given for the National Council for Co-operative Training (NCCT) which has been increased to Rs 39 crore in 2022-23.
Earlier Rs 373 crore was allocated under Central Sector Integrated Scheme on Agriculture Cooperation (CSISAC) but it has been reduced to Rs 50 crore in the FY23.
The govenrment has allocated Rs 11 crore to Vaikunth Mehta National Institute of Cooperative Management (VAMNICOM).
For the first time, a separate Budget has been provided to VAMNICOM. It is envisaged to convert it into a full-fledged independent institution with its own budgetary allocation. Earlier its budgetary requirements are met through the Grants-in-aid released to NCCT.
Similarly, Rs 10.90 crore has been allocated to the Central Registrar of Cooperative Societies while one crore has got one crore for Cooperation Credit Guarantee Fund.
The Budget has also made a provision of Rs 30 crore for Cooperative education whereas Rs 25 crore has been given for Cooperative Training.
The government has also announced the reduction of Minimum Alternate Tax on Cooperative Societies from 18.5 percent to 15 percent while an announcement was made to reduce the surcharge on Cooperatives Societies from 12 percent to 7 percent having income between Rs. 1 to 10 crores.
An amount of Rs 350 crore has been provided for the digitization of Primary Agriculture Cooperative Societies. The scheme aims to computerize 63000 PACS leading to an increase in efficiency, profitability, transparency & accountability in the working of PACS.
Similarly, a total of Rs 274 crore has been provided for an Umbrella Scheme “Prosperity through Cooperatives” which would have a number of subcomponents with the aim of all-around development of cooperatives in the country.
The Ministry of Cooperation was created in 2019 to reorganize and regulate the cooperative sector in the country and the Ministry is headed by the Union Home Minister Amit Shah.
