Ministry of Cooperation hosted a national workshop on "Emerging Technologies in PACS" in New Delhi on July 01, 2025, drawing participants from 12 states and key cooperative bodies. Addressing the inaugural session, Dr. Ashish Kumar Bhutani, Secretary, Ministry of Cooperation, urged Primary Agricultural Credit Societies (PACS) to rapidly embrace technology or risk being left behind.
Held at the PHD House, the workshop saw the participation of 122 PACS members and officials from NABARD, NCDC, IFFCO, KRIBHCO and other major cooperative and financial institutions. Discussions focused on themes like Digital India, precision agriculture, AI, IoT, and policy innovations aimed at transforming grassroots credit societies into multi-functional hubs.
“PACS are the oldest institutions in the rural financial landscape. Yet, they haven’t been able to keep pace with technological developments,” said Dr. Bhutani. Citing figures, he said while the overall share of cooperative credit institutions in short-term lending has dropped to 15%, PACS have expanded their reach, now servicing 42% of the beneficiaries—highlighting their critical role in supporting small and marginal farmers.
He stressed that of nearly 2,000 banking licenses in India, around 1,900 belong to cooperative banks, but many remain limited in functionality due to outdated systems. “With active support from the RBI, Finance Ministry, and Income Tax Department, we are working to remove roadblocks. But PACS must now adopt new technologies and improve transparency if they want to survive,” he added.
Dr. Bhutani outlined three key steps taken by the Ministry since its formation in July 2021. First, the launch of Model Bye-Laws allowing PACS to diversify into 26 different sectors, beyond just agriculture credit. Second, the creation of a National Database of Cooperatives to identify gaps and development needs. And third, the Rs 3,000 crore PACS computerisation drive aimed at turning 80,000 societies into tech-enabled rural service centres.
Drawing parallels to railway ticketing digitisation, he said, “Technology will make PACS transparent, viable, and relevant for future needs.” He also underscored the importance of integrating services like weather forecasts, pest advisories, and disaster warnings to support rural livelihoods more effectively.
As part of the PM’s “Ek Ped Maa Ke Naam” campaign, Dr. Bhutani planted a sapling during the event. The workshop also featured three technical sessions, shared success stories from Tamil Nadu, Jammu & Kashmir and Mizoram, and ended with certificate distribution for the participating PACS members.
