India has long nurtured a vibrant cooperative movement, empowering farmers, artisans, weavers, and small entrepreneurs through collective ownership and democratic control. While cooperatives have significantly shaped rural development, **cooperative education has not received institutional focus until now. With the announcement of the country’s first cooperative university, a long-standing gap is finally being addressed. But to understand its true significance, it is important to also examine the legal foundation of cooperative societies in India.
What is a Cooperative Society?
A cooperative society is a voluntary and autonomous association of individuals formed for their mutual economic, social, and cultural benefit. It operates on democratic principles and emphasizes equality, self-help, and collective decision-making. Cooperative societies in India are governed by a combination of central laws, state law, and now also the Constitution. Below are the key legal components:
The Cooperative Societies Act, 1912
* This was the first comprehensive legislation in India to regulate cooperative societies.
* It provided a legal structure for registration, membership, liability, and functioning.
* It mostly governs societies operating in more than one state, or where no state-specific law exists.
State Cooperative Societies Acts
* Since cooperatives are a State Subject (Entry 32 of the State List in the Seventh Schedule), each state has its own Cooperative Societies Act.
* These laws regulate intra-state cooperative societies, covering aspects like elections, audits, member rights, and dispute resolution.
The Multi-State Cooperative Societies Act, 2002
* Governs cooperative societies operating across more than one state.
* Administered by the Central Registrar of Cooperative Societies, under the Ministry of Cooperation.
* Provides for democratic functioning, regular elections, financial accountability, and professional management.
* Emphasizes autonomy and insulation from political interference.
97th Constitutional Amendment Act, 2011
This amendment gave constitutional status to cooperative societies, ensuring democratic functioning and autonomy. This Inserted Article 43B into the Directive Principles of State Policy which states that ”The State shall endeavour to promote voluntary formation, autonomous functioning, democratic control and professional management of cooperative societies.”. Further this amendment added Part IXB (Articles 243ZH to 243ZT) to the Constitution, which ensure , Democratic, time-bound elections to cooperative societies, Fixed term of board members (5 years), Regular audits and transparency, Reservation of seats for women and SC/ST members
The Supreme Court in Union of India v. Rajendra N. Shah (2021) held that Part IXB is applicable only to multi-state cooperative societies, not to state-specific cooperatives unless ratified by states.
India’s First Cooperative University
India’s cooperative movement has long played a transformative role in shaping rural economies and empowering grassroots communities. From dairy giants like Amul to the thousands of Primary Agricultural Credit Societies (PACS) operating in every state, cooperatives have helped democratize finance, trade, and employment. Yet, despite their economic importance, there has been a persistent vacuum in formal education, training, and research for this sector. This gap is finally being addressed with the establishment of **India’s first national cooperative university a visionary step toward professionalizing and expanding the cooperative ecosystem.
On July 5, 2025, the foundation stone for Tribhuvan Sahkari University was laid by Union Home and Cooperation Minister Amit Shah in Anand, Gujarat the very birthplace of the cooperative dairy revolution. Named after Tribhuvandas Kishibhai Patel, the founding chairman of Amul, this university represents more than just a tribute to India’s cooperative legacy; it is a forward-looking institution aimed at creating a highly skilled workforce for the cooperative sector. The university will be built on 125 acres with an estimated investment of ₹500 crore. According to the Ministry of Cooperation, it is expected to train over 20 lakh cooperative professionals in the next five years.
The academic structure of the university Is designed to cover a wide spectrum of disciplines relevant to cooperative functioning. It will offer Ph.D., postgraduate, undergraduate, diploma, and certificate courses** in cooperative law, finance, marketing, rural development, dairy, fisheries, and multi-state cooperative regulation. The goal is to provide young people especially those from rural, tribal, and underrepresented communities with education that is practical, inclusive, and employment-oriented. The university will also house a national research and development council, dedicated to policy innovation, digital cooperatives, and governance reforms in the sector.
This institutional development is supported by a strong legal foundation. In 2025, the Indian Parliament passed the Tribhuvan Sahkari University Bill, which officially conferred the status of a university on the institution and granted it the powers to affiliate colleges, conduct research, and standardize cooperative education across the country. It has been declared an **Institution of National Importance**, similar to AIIMS or IITs, ensuring funding, autonomy, and academic freedom. The bill was first introduced in the Lok Sabha in February 2025, passed in March, and approved by the Rajya Sabha in April 2025.
During the foundation ceremony, Amit Shah emphasized that the university would put an end to nepotism and favoritism in cooperative job recruitment. Currently, many cooperative bodies operate without trained personnel, relying instead on local networks or political appointments. This university aims to professionalize the sector by ensuring that leadership positions are held by **qualified, certified individuals**, creating a meritocratic pipeline of cooperative talent. Additionally, plans are underway to introduce cooperative education at the school level, particularly in CBSE and state syllabi from classes 9 to 12, to cultivate awareness and interest in cooperation from a young age.
The university Is envisioned not just as an educational institution but as a national think tank for cooperative development. It will work with over 200 cooperative institutions to create a unified academic curriculum, enable digital transformation, and offer consultancy services to societies in need of legal, financial, or management assistance. As India moves toward its vision of Atmanirbhar Bharat (self-reliant India), Tribhuvan Sahkari University symbolizes the country’s commitment to inclusive, localized, and sustainable development** through education and empowerment.
Sources:
- https://pib.gov.in
- https://www.indiatoday.in/education-today/news/story/indias-first-cooperative-university-to-come-up-in-gujarat-says-amit-shah-2752471-2025-07-08
- https://www.indiancooperative.com/from-states/shah-launches-co-op-varsity-eyes-india-as-global-capital-of-cooperation
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