CS Directs diversification of PACS activities, professional reforms in Coop Banks

Jammu: Chief Secretary, Atal Dulloo Wednesday chaired a high-level meeting to review the performance of the Cooperative Department and assess the progress achieved in promoting cooperative activities and financial reforms across J&K.
The meeting was attended by Principal Secretary, Finance; Commissioner Secretary, Cooperatives; Regional Director, RBI; Managing Director, J&K Bank; Director General, Budget; Registrar, Cooperative Societies; representatives from NABARD and other banks, besides senior officers of the department.
At the outset, the Chief Secretary emphasized the vital role of cooperative institutions in rural development and directed for transforming Cooperative Societies into Common Service Centres (CSCs) to widen their service base. He called for modelling these societies on sound business lines, enabling them to diversify into various rural business activities such as the sale of seeds, seedlings, cattle and poultry feed, and fisheries supplies.
He further directed the department to explore collaboration with the Ayush Department for vending popular wellness products and securing vending machines for installation at high-footfall locations. He stressed on enhancing credit linkage for cooperative entities and strengthening their financial base through sustainable business operations.
While reviewing the financial status of cooperative banks and the performance of Super Bazars, the Chief Secretary asked J&K Bank to extend advisory support in matters related to Non-Performing Assets (NPAs) and other financial issues to help Cooperative Banks address them in legally sound and professionally managed ways.
He also instructed the department to constitute a panel of retired bankers of high integrity, in consultation with RBI, to assist in the appointment of Managing Directors and professional management bodies, aimed at placing Cooperative Banks on modern, transparent, and performance-driven lines.
Commissioner Secretary, Cooperatives, Babila Rakwal, informed that the UT’s cooperative sector is witnessing a major transformation with the adoption of the Multi-Purpose Primary Agricultural Credit Societies (M-PACS) model and a range of reforms for growth and financial stability. She apprised that all 537 PACS have adopted common byelaws to function as M-PACS, allowing diversification into allied sectors such as dairy, fisheries, and horticulture.
The computerization of PACS is also progressing rapidly, she added, with all 537 PACS having completed their Dynamic Day-End process, thus functioning as e-PACS. Each PACS is availing a 40-year term loan facility of Rs63,000 for hardware and software upgrades under the digital transformation initiative.
Highlighting the integration of cooperatives with citizen services, it was revealed that 515 PACS are functioning as Common Service Centres (CSCs), generating a monthly transaction value of Rs3.10 lakh, while 154 PACS have been upgraded as Pradhan Mantri Kisan Samman Nidhi Kendras (PMKSKs) to facilitate agricultural services.
It was further given out that under the White Revolution 2.0, the cooperative sector has achieved remarkable expansion, forming 2,232 Dairy Cooperative Societies (DCSs), of which 1,692 have been strengthened, benefiting over 1.06 lakh women members. The initiative has resulted in an impressive milk procurement of 3 Lakh Litres Per Day (LLPD) through new and strengthened DCSs.
Additionally, M-PACS are operating medical stores functioning as Pradhan Mantri Jan Aushadhi Kendras (PMJAKs) contributing to affordable healthcare delivery across the far off areas in the UT. So far, 52 drug licenses and 50 stores have been operationalized, with a monthly transaction value of Rs8.78 lakh.
The J&K State Cooperative Bank has adopted several modern banking practices, including migration to Finacle 10, automation of loan schemes, and promotion of financial literacy among stakeholders.
Meanwhile, the Super Bazar chain has demonstrated encouraging progress, clearing Rs4 Cr in GST dues (FY 2020-21) and settling Rs28 lakh in gratuity and CPF dues of former employees. Presently, 16 PACS have been enrolled as new Super Bazar outlets, with renewed focus on capacity building, marketing push, and expansion into high-demand urban markets.
The Chief Secretary further directed for sustained momentum towards professionalization, digital empowerment, and grassroots financial inclusion through the cooperative movement in Jammu and Kashmir.