Home News Manipur’s Cooperative Sector Faces Revival Challenge as Over 6,000 Societies Remain Inactive
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Manipur’s Cooperative Sector Faces Revival Challenge as Over 6,000 Societies Remain Inactive

by NE Dispatch - Jul 30, 2026 09:46 PM

Manipur has 11,655 cooperative societies but over 6,000 remain inactive. Active cooperatives show strong profitability, highlighting revival opportunities.

Manipur's  Cooperative Sector Faces Challenges

Imphal, July 30: Manipur’s cooperative sector stands at a critical stage, with thousands of registered societies remaining inactive even as operational cooperatives show a strong record of financial performance, according to data from the National Cooperative Database (NCD) presented in the Rajya Sabha by Union Home Minister and Minister of Cooperation Amit Shah.

The latest NCD figures, updated till July 15, 2026, show that Manipur has 11,655 registered cooperative societies, making it one of the largest cooperative networks in the Northeast. However, the data also reveals a sharp divide between registered entities and those actively contributing to the economy.

Of the total registered societies in the state, only 5,330 are classified as functional, while 6,032 are listed as non-functional. Another 293 societies are under liquidation.

The figures indicate that more than half of Manipur’s registered cooperative societies are currently inactive, raising questions over the sustainability, management and economic utilisation of these grassroots institutions.

At the same time, the performance of active societies presents a different picture. Nearly seven out of every ten functional cooperatives in Manipur are reported to be operating in profit, placing the state above the national average in terms of profitability among active societies.

A cooperative network with a dormant majority

Cooperative societies have traditionally played an important role in strengthening rural economies by bringing together farmers, artisans, traders and community groups to collectively access markets, credit and resources.

In Manipur, thousands of such societies were registered across different sectors over the years, creating a broad institutional network. However, the latest NCD data suggests that registration has not always translated into sustained economic activity.

Among the 11,655 registered societies in the state, 6,032 have become non-functional. This means inactive societies outnumber operational ones.

The reasons behind this situation may include challenges related to financial sustainability, management capacity, market access, infrastructure limitations and changing economic conditions. While the NCD data identifies the status of these societies, it does not provide a detailed sector-wise explanation for why individual units became inactive.

The large number of dormant societies represents both a challenge and an opportunity. Unlike societies that have entered liquidation, many non-functional units remain legally existing entities that could potentially be revived through restructuring and targeted support.

Active cooperatives show strong financial performance

Despite the large number of inactive societies, Manipur’s functional cooperatives have recorded a comparatively strong performance.

According to the NCD figures, out of 5,330 functional societies:

3,710 societies are in profit

1,237 societies are in loss

Information for 383 societies is unavailable

This means nearly 70 per cent of functional cooperatives in Manipur are reporting profits.

The performance is higher than the national average. Across India, around 3.56 lakh of the 6.63 lakh functional cooperative societies are reported to be in profit, accounting for roughly 53.6 per cent.

The figures indicate that while maintaining a cooperative society remains challenging in Manipur, those units that have remained active have demonstrated considerable financial resilience.

The contrast between a high number of inactive societies and the profitability of active ones presents a key question for policymakers: whether existing dormant cooperatives can be restored to productive activity.

Manipur’s position in Northeast India

Within the Northeast, Manipur has one of the largest cooperative networks.

The state ranks second in the region in terms of the number of registered cooperative societies, behind Assam.

Assam has 12,838 registered societies, of which 8,071 are functional. This gives Assam a functional rate of around 63 per cent.

Nagaland, which has 7,497 registered societies, has only 1,943 functional units, while 5,504 are listed as non-functional.

Smaller states such as Mizoram and Sikkim have fewer registered societies but comparatively stable cooperative networks. Mizoram has 1,274 functional societies, while Sikkim has 1,398.

The comparison shows that Manipur’s challenge is not the absence of cooperative institutions but the gap between the number of registered societies and their continued operation.

National cooperative landscape

At the national level, India has 8,53,430 registered cooperative societies, according to the NCD data.

The cooperative sector remains concentrated in states with strong historical cooperative movements. Maharashtra leads with 2,27,177 societies, followed by Gujarat with 88,119 societies.

Manipur’s 11,655 societies account for around 1.36 per cent of India’s total registered cooperative network.

However, unlike some states with large numbers of societies under liquidation, Manipur has a relatively smaller number in that category. Only 293 societies in the state are currently under liquidation.

This suggests that the larger issue for Manipur is not widespread closure through legal dissolution but the existence of thousands of societies that have stopped functioning without reaching final closure.

Sector opportunities for revival

The national cooperative data also highlights sectors where cooperatives have developed significant economic activity.

Across India, housing cooperatives form the largest category with 1,95,411 societies, followed by dairy cooperatives with 1,58,216 societies and Primary Agricultural Credit Societies (PACS) with 1,06,126 units.

Other important sectors include fisheries cooperatives and women welfare cooperatives.

For Manipur, sectors such as fisheries, agriculture, handloom, handicrafts and women-led enterprises could provide opportunities for strengthening cooperative-based economic activity, given the state’s existing community networks and local production systems.

However, successful revival would depend on factors such as access to finance, professional management, market connectivity and institutional support.

Government push for cooperative revival

The Ministry of Cooperation has announced several measures aimed at strengthening and expanding cooperative institutions across the country.

One major initiative involves transforming PACS, dairy cooperatives and fisheries cooperatives into multipurpose cooperative societies.

The objective is to allow cooperatives to engage in multiple economic activities rather than depending on a single sector. The ministry has stated that such diversification can improve financial sustainability and reduce the risk of closure.

The government has also used the National Cooperative Database to identify geographical and sectoral gaps and support the formation of new multipurpose cooperatives where required.

For struggling societies, the Co-operative Rehabilitation, Reconstruction and Development Fund established under the Multi-State Cooperative Societies (Amendment) Act, 2023 provides financial assistance for revival and infrastructure development.

These initiatives are aimed at shifting the focus from simply registering cooperatives to ensuring that they remain economically active.

The road ahead for Manipur

The NCD data presents a mixed picture of Manipur’s cooperative sector.

On one side, more than 6,000 registered societies remain inactive, representing unused institutional capacity and lost economic opportunities. On the other, the state’s functional cooperatives show that successful cooperative enterprises can remain profitable despite difficult operating conditions.

The immediate challenge for Manipur is not merely creating new cooperative societies but strengthening existing ones through revival programmes, improved governance and access to markets.

If dormant societies can be effectively reactivated, the state could expand the economic role of cooperatives in agriculture, fisheries, rural enterprises and community-based businesses.

For now, Manipur’s cooperative movement remains a sector of untapped potential — with a large inactive base and a smaller but financially stronger group showing what these institutions can achieve when they remain operational.