Article Written by Anshu Sharma (IIMBian and Eminent Faculty of GS and Sociology, Experience of 20 years)
Call at 9916082261
The cooperative movement in India is based on the idea of “Vasudhaiva Kutumbakam” — the world is one family. This idea promotes working together, helping each other, and caring for everyone. India uses this spirit to build cooperative groups that focus on community growth. The country follows the vision of “Sahkar Se Samridhhi” — prosperity through cooperation — to make cooperatives strong and useful for development.
According to the International Cooperative Alliance (ICA), cooperatives are owned and run by their members. Members make decisions together and work for shared goals.
The United Nations declared 2025 as the “International Year of Cooperatives” under the theme “Cooperatives Build a Better World”. This recognizes how cooperatives help solve global problems and support the UN Sustainable Development Goals.
In India, cooperatives started before Independence with the Cooperative Credit Societies Act, 1904 and grew after 1947. Institutions like NCDC and NABARD helped make rural credit systems stronger. In 2021, India formed a Ministry of Cooperation to focus fully on this sector.
Cooperatives work in many areas like farming, banking, housing, dairy, and women’s welfare. They serve millions of members in villages and towns across India. India has one of the largest cooperative movements in the world.
The Indian government is working to improve cooperatives by:
- Expanding cooperatives to every village
- Updating rules for better management and transparency
- Using digital tools to modernize services
- Linking cooperatives with national schemes to help farmers and villagers
- Training members and leaders for better skills
These steps help cooperatives support economic growth, community welfare, and inclusive development in India.