Punjab to Lift Restrictions on Cooperative Societies

Chandigarh, Sep 25 (PTI) Punjab Chief Minister Bhagwant Mann on Thursday said the state government has decided to lift restrictions on the creation of new cooperative societies, including milk and labour societies.

The cooperative movement in India is built on the principles of voluntary association, democratic member control, and open access, he added.

He emphasised that the cooperative sector in Punjab must be strengthened, expanded, and made more inclusive so that it directly benefits farmers, workers, and rural communities.

Mann said the state government is in the process of formulating its own state cooperative policy.

The aim is to make cooperatives a central pillar of Punjab's rural and economic development, a statement quoted Mann as saying.

He said previous instructions of preventing registration of a new society, where one already exists, rigidly defined areas of operation, and imposing a minimum distance (like 8 km for labour societies) were against the spirit of the Punjab Cooperative Societies Act, 1961, and the very idea of the cooperative movement.

Mann said these conditions discouraged voluntary participation and created monopolistic situations, limiting the choice of members.

He stressed that Punjab must lead in giving every farmer, worker, and entrepreneur the freedom to join or form a cooperative of their choice.

Taking forward this vision, he said the state government has now withdrawn all such restrictive instructions with immediate effect.

Registration of new societies will be carried out strictly as per the Act, without artificial barriers, he added.

Further, the chief minister said the state government is also reducing registration fees for PACS (primary agricultural cooperative societies), dairy, and fishery cooperatives so that small farmers and weaker sections can join and benefit.

This reflects the commitment of the state government to revitalise the cooperative movement in Punjab, ensuring inclusivity, competition, and empowerment at the grassroots, he added.