The Bill seeks to amend the National Co-operative Development Corporation Act, 1962.
Key Changes in the NCDC (Amendment) Bill, 2026
Area | 1962 Act Provision | Proposed by Bill |
| Mandate | NCDC financed programmes in specified sectors/commodities. | Expands mandate to promote and finance co-operative development, directly or through intermediaries. |
| Foodstuffs | Included items such as milk, meat, eggs and vegetables. | Adds processed food, other edible products and notified food items. |
| Industrial goods | Covered specified co-operative and allied industries located in rural areas. | Removes the rural-area restriction. |
| Loans and grants | Direct assistance largely limited to national and multi-State co-operatives. | Extends assistance to eligible co-operatives and entities engaged in co-operative development, including at the State level. |
| Equity participation | Limited to national and multi-State co-operatives. | Permits investment in State-level co-operatives and eligible entities, with Central Government approval. |
Need for the Bill
- Expanding co-operative sector: To respond to the growing and diversified needs of the co-operative sector.
- Limited funding scope: Existing law restricted direct financial assistance mainly to registered co-operative societies.
- Support for allied entities: Infrastructure, technology, processing and other specialised entities supporting co-operatives could not be directly financed.
- Greater institutional flexibility: To broaden NCDC’s mandate and strengthen its ability to support co-operative development through diverse institutional channels.
