Emerging Trends

The necessity for making this kind of stop-gap arrangement lies in the markedly uneven development of the co-operative movement in different States. As is well known, co-operatives have shown remarkable progress in some States, notably Maharashtra, Gujarat and Madras. In others like Assam, Bihar, Orissa, Rajasthan and West Bengal, their progress has been extremely poor. A majority of the villages have been covered by co-operatives in almost all States, but in effectiveness there are sharp variations. This is clear from inter-State comparisons. The proportion of borrowing members to total membership was as low as about one-tenth in Assam and one-fourth in Bihar, compared to more than one-half in Maharashtra and Gujarat. Similarly, average working capital per member was about Rs 60 in Assam and Bihar and Rs 150 in Rajasthan and West Bengal against about Rs 500 in Gujarat and Maharashtra. Average loan per member was, Rs 100 or less in the former States, while it was more than four times as much in the latter. Not surprisingly, the former States are burdened with a high proportion of dormant societies (70 per cent in Assam) and overdues (95 per cent in Assam).