Farmer's Cooperatives for Rural Prosperity in Punjab: A Cross-Sectional Analysis

The rural prosperity depends upon agricultural and rural development which again relies on the system of related functions i.e “rural social system”. This system comprises of six major functional components: production, supply, marketing, governance, research and education/extension. At this juncture it is appropriate to bring out the role of cooperatives in this system which is the revolutionizing tool for the “rural prosperity”. According to International Co-operative Alliance (ICA), it is an autonomous association of persons united voluntarily to meet their common economics, social, and cultural needs and aspirations through a jointly-owned and democratically-controlled enterprise. An agricultural Co-operative, also known as a farmers’ co-operative, is a co-operative where farmers pool their resources in certain areas of activity. Agriculture in Punjab has been blessed with many such cooperatives which have brought about the integrated agricultural development. The cooperatives in the light of the rural social system can be the producers cooperatives, supply cooperatives, marketing cooperatives, research and extension cooperatives. Agricultural production co-operative society is formed by farmers who produce similar agricultural product. They organize co-operative production and undertake joint marketing of the product on wholesale or retail basis. Punjab has such cooperatives viz. MILKFED, MARKFED, etc. Supply cooperatives basically deal with the supply to the production component i.e. its input, such as seeds, fertilizers and pesticides and the credit or the other financial arrangements that make it possible for supplies to flow. The state has several non –credit cooperative structures which involve in marketing and processing are MARKFED MILKFED and SUGARFED. The success of the cooperatives has been seen both in the supply and marketing sector. If the well organised producers cooperatives are formed in the state, then the research function can be well undertaken by the cooperatives. Punjab Cooperative Sugar Mills are providing technical knowhow for cane development to the farmers pertaining to introduction of sugarcane varieties having high sugar and yield with the consultation of PAU, Ludhiana and other National level Institutions of Sugarcane. The point of summarization is that intervention of the cooperatives and their integration is needed at the producer, research, extension/education and governance level which can in integration bring out the development leading to prosperity of the rural society of Punjab.