PACS may be authorized to sell petroleum products managed by PDS stores

New Delhi, Jul 4 (PTI) The Center has proposed to license Primary Agricultural Credit Companies (PACS) to undertake activities such as concession of petroleum products, management of PDS stores and development of hospital and educational facilities , in addition to their usual functions.
In this regard, the Ministry of Cooperation launched a draft “Model PACS Statutes” on which it invited state governments and other stakeholders to make suggestions by July 19.
The existing framework does not allow PACS to diversify into other areas outside of their core business.
The draft bylaws propose that PACS be allowed to operate as Bank Mitras and Common Service Centers (CSCs), provide cold storage and storage facilities, set up PDS stores in addition to allowing them to work in the dairy, fishing, irrigation and green energy sectors. sectors.
The draft also indicates that the PACS would be authorized to provide community services in the field of education, health, tourism and environmental and sustainable development activities.
The objective of the Society, according to the project, is to provide its members with timely and adequate credit in the short and medium term for development activities related to agriculture, loans for consumption or for medical purposes against financing in guarantee/pledge, maintaining the standards in the operational field.
The PACS, according to the draft, can “engage in service or commercial operations (such as the development of infrastructure, community centers/hospitals or educational institutions, the purchase of food grains, a fair price shop or any government program, …
“Dealer/agency/distribution or supply of LPG/gasoline/diesel/green energy/agricultural or household consumables/agricultural machinery, training of members for skills improvement, etc.) which can improve the facilities and income of the company or its members.”
Addressing a conference to commemorate the 100th International Day of Cooperatives on Monday, Cooperation Minister Amit Shah said the central government had presented draft model rules of procedure for the PACS and asked for suggestions from the governments of the States. The PACS falls within the domain of the States.
He said the computerization of PACS will bring transparency to their overall operation, including in accounting and bookkeeping.
The Center on Wednesday decided to computerize all 63,000 functioning Primary Agricultural Credit Societies (PACS) over the next five years with a budget outlay of Rs 2,516 crore to improve efficiency, transparency and accountability. of their operations.
The program, approved by the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi, will also help PACS to diversify their business and undertake multiple activities and services.
At present, the majority of PACS have not computerized their operation and are still operating manually, resulting in inefficiency and lack of trust.
PACS are the lowest level of three-tiered short-term cooperative credit in the country, comprising 13 million farmers as members. Currently, there are 63,000 PACS in the country and the Center aims to have 3 lakh PACS in place by 2025.
In addition to model statutes for PACs, the government is working on a new cooperation policy, the creation of a university and the development of a database of cooperatives. PTI MJH NKD CS MR

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