Half of Punjab’s primary agri societies in financial distress: Cheema

Almost 50% of the 3,500 primary agricultural credit societies (PACS) in Punjab are facing financial challenges and need to be strengthened, said finance minister Harpal Singh Cheema on Tuesday

Chandigarh : Almost 50% of the 3,500 primary agricultural credit societies (PACS) in Punjab are facing financial challenges and need to be strengthened, said finance minister Harpal Singh Cheema on Tuesday.

Almost 50% of the 3,500 primary agricultural credit societies (PACS) in Punjab are facing financial challenges and need to be strengthened, said finance minister Harpal Singh Cheema on Tuesday.

Cheema, who was speaking at an event organised to celebrate NABARD’s 44th foundation day, said out of 3,500 PACS in the state, around 1,800 are currently operating profitably, while others face financial challenges.

He urged the farmers of Punjab to focus on strengthening the PACS network across the state. The finance minister, who spoke at length on the current state of agricultural credit societies, lauded the significant contributions of the National Bank for Agriculture and Rural Development (NABARD) in fostering the growth of agrarian economy in the state.

He also emphasised the institution’s crucial role in empowering the state’s farmers and strengthening its cooperative banking network, specifically highlighting the low-interest-rate loans provided by NABARD to cooperative banks and societies.

Cheema said these accessible financial resources enable these institutions to, in turn, offer affordable credit to farmers, a cornerstone of agricultural development in the state.

The minister also underscored the vital role of multi-purpose cooperative agricultural service societies (MPCASS) in the state’s progress. In a testament to the success stories within Punjab’s cooperative sector, he invited representatives from The Lambra Kangri MPCASS Ltd., Hoshiarpur, established in 1920, to share their journey with the attendees. The minister also distributed awards to outstanding MPCASS in various categories. RBI’s regional director Vivek Srivastava, NABARD chief general manager (CBM), Punjab, VK Arya, and NABARD CGM, Haryana, Nivedita Tiwari were among those present.