SANGAREDDY: Six years ago, the Primary Agricultural Cooperative Society (PACS) in Bokkasgaum village was burdened with a Rs 2 crore deficit. Today, it has an annual turnover of Rs 18 crore, a profit of Rs 2 crore and a 100% loan recovery record — an extraordinary turnaround that recently earned it the state government’s Best Society Award.
Located in Sirgapoor mandal along the Karnataka border, the once-struggling cooperative has emerged as a model for rural development by providing timely crop loans, supplying seeds and fertilisers, procuring paddy and jowar at the Minimum Support Price (MSP) and organising farmer awareness programmes across eight villages under its jurisdiction.
The transformation began in 2020 when advocate Gundu Venkataramulu was elected chairman during the cooperative elections. Bokkasgaum was the only PACS among 105 societies in the undivided Medak district to elect its governing body unanimously.
When Venkataramulu assumed office, the society was under SBI after slipping into a Rs 2 crore deficit. Subsequently, he facilitated the repayment of nearly Rs 5 crore in crop loans owed by farmers to SBI, enabling the society to shift to the District Cooperative Central Bank (DCCB). Since then, it has been extending timely crop loans to around 1,100 farmers while maintaining full recovery.
“The society’s turnover has grown from around Rs 5 crore in 2020 to Rs 18 crore. We have sanctioned Rs 11 crore in short-term loans, Rs 4 crore in medium-term loans and Rs 14 crore in long-term loans. From a Rs 2 crore deficit, the society now has a profit of Rs 2 crore,” Venkataramulu said.
He said the society not only sanctions loans on time but also procures paddy and jowar directly from farmers every year. It also conducts awareness programmes on climate-suitable crops. Over the past five years, the society has maintained a 100% loan recovery rate and earned nearly Rs 30 lakh through grain procurement.
Recognising its performance, NABARD sanctioned an interest-free loan of Rs 40 lakh for constructing a godown and waived Rs 20 lakh of the amount. A 500 metric tonne storage facility has since been built at Antargaum village on government-allotted land.
MPTC member Ramulu said the society functions like a commercial bank by providing online services with complete transparency. Farmer Mohan Reddy said the society directly purchases paddy and jowar from farmers, while Ravi Patil said timely loans and prompt repayments have eliminated financial difficulties. He added that the Centre credits the 3% interest subsidy directly into farmers’ bank accounts.
Bokkasgaum was presented the Best Society Award by Principal Secretary (Rural Development) Dana Kishore and NABARD Chief General Manager Uday Bhaskar during NABARD’s 45th anniversary celebrations earlier this month.