Odisha Launches ‘Sambandh’ Farmer Cooperative Drive with Direct Profit Payouts

26 Sep 2026, 05:54 by Vinay Kakkad · KalingaTV

Bhubaneswar: Odisha has started a major push to reform its village cooperatives, offering farmers direct cash payouts, new local services, and financial aid for sugarcane growers.

Chief Minister Mohan Charan Majhi kicked off the “Sambandh” drive on Friday at the OUAT Krushi Siksha Sadan. The campaign urges farmers across the state to sign up as members of Primary Agricultural Credit Societies (PACS) and Large Area Multi-Purpose Cooperative Societies (LAMPCS).

Majhi stated that cooperative bodies should focus entirely on supporting farmers rather than serving as political tools. He explained that the new drive aims to build trust between rural families and the state government.

With this move, Odisha has become the first Indian state to set up its own Cooperative Policy 2026. The policy follows Prime Minister Narendra Modi’s “Sahakar Se Samriddhi” vision and guidance from Union Cooperation Minister Amit Shah.

What the Changes Mean for Farmers

Under the new policy, local societies are turning into one-stop hubs for village needs. In addition to receiving a minimum support price of Rs 3,100 per quintal for paddy, members can now get fertilizers, quality seeds, farm machines, banking services, crop insurance, and milk collection all in one place.

To back this up, Majhi opened several new facilities across the state:

185 updated crop markets (mandis)
250 common service centres (Jan Seva Kendras)
70 new society offices and storage godowns
60 consumer stores
50 farm tool rental centres
21 milk collection units inside local societies

He also laid foundation stones for four model markets and three grain warehouses under the World’s Largest Grain Storage Plan.

Direct Dividends and Sugarcane Support

For the first time, the state has started paying annual profits directly to farmer-members. Payouts for the 2024–25 financial year began across 322 societies, a program that will eventually cover over 8 lakh farmers across more than 500 cooperatives.

To revive the sugar industry, Majhi launched the “Promotion of Sugarcane Production in Cooperative Sugar Mill Areas” scheme. Cane farmers in the Asika and Badamba mill areas will receive an input subsidy of Rs 15,000 per acre. He also directed the Agriculture Department to supply high-sugar cane seeds to help boost crop yields and household income.

Digital Systems and New Hires

To keep transactions clean and fast, 300 societies were connected online through the National PACS Software (NLPS) for real-time banking.

The state also handed out job letters to 66 new recruits: 36 cooperative inspectors, 19 warehouse assistants, and 11 assistant superintendents for the Odisha State Warehousing Corporation.

Cooperation Minister Pradeep Bal Samanta said the goal is to have at least one person from every village home join a cooperative society, noting that these groups are now running as profitable units rather than loss-making offices.

Chief Secretary Anu Garg added that digital tools and strong cooperatives will be key as Odisha works toward its long-term growth plans for 2036 and 2047.

Top state officials were present at the launch, including Agriculture Secretary Sachin Ramachandra Jadhav, Handlooms Secretary Guha Poonam Tapas Kumar, Cooperation Secretary Rajesh Prabhakar Patil, and Registrar of Cooperative Societies Manish Agarwal.