Integrated Scheme on Agriculture Cooperation

What is the Integrated Scheme on Agriculture Cooperation?

The Integrated Scheme on Agriculture Cooperation is a Government of India scheme that consolidates several cooperative-development programmes into a single framework and provides financial assistance to cooperative societies working in agriculture and allied sectors. Rather than paying money to individual farmers, the scheme strengthens the cooperative institutions that farmers already belong to, so that a village or district cooperative can build a godown, run a processing unit, market members' produce better, or computerise its operations.

The scheme is delivered largely through the National Cooperative Development Corporation (NCDC). A statutory corporation set up to plan and promote programmes for the production, processing, marketing, storage and export of agricultural produce through cooperatives; working alongside state cooperative departments and the Registrars of Cooperative Societies. This institutional design is central to how the scheme works: proposals originate with a cooperative society, are recommended by the state, and are financed by NCDC.

Because India's cooperative movement is large but uneven: some societies are strong, many are weak and under-capitalised. An "integrated" scheme lets the government direct different kinds of help through one door: equity support where a society needs capital, loans where it needs project finance, and subsidy where an activity would not otherwise be viable.

What does the scheme support?

The scheme brings together components covering the main functions of an agricultural cooperative, broadly including:

• Agricultural marketing; helping cooperatives market members' produce and set up marketing infrastructure.
• Processing — assistance for cooperative processing units that add value to farm produce.
• Storage and godowns, building and modernising storage so produce is not distress-sold or lost.
• Cooperative computerisation and strengthening, improving the systems and governance of cooperative societies.
• Support to weaker-section and specialised cooperatives, helping societies that serve marginalised members or specific commodities.

The financial help typically takes the form of a mix of share capital participation, loans and subsidy, with the exact pattern depending on the component and the approved project cost. Because the assistance is project-based, there is no single flat benefit amount; the figure for any given proposal is determined by NCDC and the state on the merits of that project. Where a specific ceiling or subsidy rate is not confirmed in the current guidelines, a society should confirm it with NCDC rather than assume a figure.

Who is eligible for the Integrated Scheme on Agriculture Cooperation?

Eligible applicants:

• Registered cooperative societies engaged in agriculture and allied activities; marketing societies, processing cooperatives, storage cooperatives and similar institutions.
• Societies whose proposals are recommended by the state government and are financially and technically viable.

Not eligible / cannot apply:

• Individual farmers cannot apply for a personal benefit. The scheme funds institutions, and farmers benefit indirectly as members of an assisted cooperative.
• Unregistered groups or informal collectives that are not registered cooperative societies are not eligible.
• Purely private commercial enterprises outside the cooperative structure fall outside the scheme.

This institutional character is the point readers most often misunderstand: the Integrated Scheme on Agriculture Cooperation is a channel for building cooperative capacity, not a direct-benefit transfer to farmers.

What documents are required?

How to apply for the Integrated Scheme on Agriculture Cooperation

1. The cooperative society prepares a detailed project report for the activity it wants funded, for example a godown, a processing unit or marketing infrastructure.
2. The society obtains the necessary resolution and audited financials, and submits the proposal to the state Registrar of Cooperative Societies / state cooperative department for recommendation.
3. The state government forwards the recommended proposal to NCDC (or the relevant implementing channel).
4. NCDC appraises the proposal and, if approved, sanctions assistance as a mix of share capital, loan and subsidy, and releases funds in line with project milestones.
5. The society implements the project and reports utilisation as required under the sanction terms.

Where to confirm details

• NCDC: ncdc.in for the current components, financing patterns and application formats for cooperative assistance.
• State Registrar of Cooperative Societies / state cooperative department: the first point of contact for a society to route a proposal.

This is a niche, institution-facing scheme, and the precise component list and financing patterns are revised over time. A cooperative society should treat NCDC and its state cooperative department as the authoritative sources for the current terms rather than rely on unverified figures.