The Madhya Pradesh government has embarked on an ambitious reform drive to revitalise Primary Agricultural Cooperative Societies and allied institutions, positioning cooperatives as a central pillar for improving farm incomes and strengthening the rural economy. Over the past two years, the state has focused on modernisation, transparency and diversification to make cooperatives more responsive to farmers’ needs.
State Cooperative Minister Vishwas Sarang said that a key achievement has been linking every panchayat in the state with a banking network, ensuring easier access to financial services in rural areas. Alongside this, the government is actively promoting awareness among farmers about crop diversification and new income opportunities beyond traditional agriculture.
To safeguard farmers from irregularities within cooperative societies, which often stem from procedural lapses by staff, the government is preparing to introduce a new justice mechanism. This system is aimed at delivering swift resolution of grievances so that farmers are not penalised for mistakes beyond their control.
Complementing this effort is a simplified One-Time Settlement scheme, expected to be launched statewide soon, to address long-pending loan-related disputes and provide relief to distressed borrowers.
Transparency has emerged as a cornerstone of the reform agenda. The state has completed 100 per cent computerisation of Primary Cooperative Societies, a move that is expected to transform service delivery.
By April, all cooperative systems are slated to operate in real time, allowing farmers faster access to information and services. Madhya Pradesh has also set a national benchmark by conducting online audits of nearly 54,000 cooperative societies.
The role of PACS is being redefined beyond their traditional functions of credit, fertiliser, seed supply and procurement. In a pioneering move, cooperatives were formally integrated into the Global Investors Summit 2025 held in Bhopal. Through the Cooperative Public-Private Partnership model, cooperatives are now being linked with corporate entities, particularly in areas such as renewable energy, opening new avenues of income and employment for thousands of farmers.
The government is also prioritising irrigation development, soil testing, soil health cards and timely fertiliser availability. Madhya Pradesh continues to be among the country’s leading milk-producing states, while fertiliser distribution has risen sharply over the years, with cooperatives handling the bulk of supply. Advanced storage systems introduced by MARKFED are further strengthening the supply chain, reinforcing the state’s cooperative-led growth model.
