CONTENTS

PAGE

INTRODUCTION TO
COOPERATIVES

TYPES OF COOPERATIVES

Guidelines for Successful Cooperatives

CASE STUDY I SUCCESSFUL
COOPERATIVES
Shri Mahila Griha Udyog

CASE STUDY I SUCCESSFUL

COOPERATIVES
Shri Mahila Griha Udyog
Krishak Bharati Cooperative Ltd.
(KRIBHCO)
Shamrao Vithal Co-operative Bank
(SVC)
Krishak Bharati Cooperative Ltd.
(KRIBHCO)

Shamrao Vithal Co-operative Bank

(SVC)
Kolar District Cooperative Milk Union

11

10

17

Recommendation/Suggestion
References

19

Successful Cooperatives

Introduction to Cooperatives
The cooperative movement in India owes its origin to agriculture and allied sectors. Towards the
end of the 19th century, the problems of rural indebtedness and the consequent conditions of
farmers created an environment for the chit funds and cooperative societies.
The farmers generally found the cooperative movement an attractive mechanism for
pooling their meagre resources for solving common problems relating to credit, supplies of
inputs and marketing of agricultural produce.
The experience gained in the working of cooperatives led to the enactment of Cooperative
Credit Societies Act, 1904. Subsequently, a more comprehensive legislation called the
Cooperative Societies Act was enacted.
In order to cover Cooperative Societies with membership from more than one province, the
Government of India enacted the Multi-Unit Cooperative Societies Act, 1942. This Act
was an enabling legislative instrument dealing with incorporation and winding up of cooperative
societies having jurisdiction in more than one province.
After India attained Independence in August, 1947, cooperatives assumed a great significance in
poverty removal and faster socio-economic growth. With the advent of the planning
process, cooperatives became an integral part of the Five Year Plans.
As a result, they emerged as a distinct segment in our national economy. In the First Five Year
Plan, it was specifically stated that the success of the Plan would be judged, among other things,
by the extent it was implemented through cooperative organizations.
The All-India Rural Credit Survey Committee Report, 1954 recommended an integrated
approach to cooperative credit and emphasized the need for viable credit cooperative
societies by expanding their area of operation, encouraging rural savings and diversifying
business. The Committee also recommended for Government participation in the share capital
of the cooperatives.
In view of these recommendations, different States drew up various schemes for the
cooperative movement for organizing large-size societies and provision of State partnership and
assistance. During 1960s, further efforts were made to consolidate the cooperative societies by
their re-organization. Consequently, the number of primary agricultural cooperative credit
societies was reduced from around two lakh to 92,000.

The following are the main types of cooperative enterprises:

i.

Producer Cooperative Societies

These are formed to eliminate the middlemen and capitalist groups from the industrial
production. Its main purpose is to produce goods for the requirements of its members. Surplus
productions are also supplied to out riders in the open market at profit. All the necessary
activities .as production, management and marketing are performed by the members
themselves. Its members get dividend on the basis of the capital invested by them.
Objects
(a)

To purchase the raw materials and other factors at most economical prices.

(b)

To produce the goods at the most economical level.

(c)

To supervise the production most efficiently and effectively.

(d)

To dispose of the surplus production to non members at maximum prices.

ii.

Consumer Cooperative Societies

The society is the voluntary association of ordinary people formed with the object of obtaining
daily requirements of the members. It directly purchases the goods at large scale from the
producer or wholesalers at whole sale price. It thus eliminates capitalists, retailers and other
middlemen from the channel of distribution and members are in a position to make their
purchase at cheater rate. Anyone can become member by purchasing one share of the society.
Sometimes goods are also supplied to non-members but they do not share in the profit of the
society. Profit earned by the store are distributed among the members according to the value of
the purchases conducted by the manager who is elected by the members. Generally its two types
are popular in the world.
(a)

Retail cooperative store.

(b)

Wholesale cooperative store.

Objects
1.

To eliminate the retailers, capitalists and wholesalers.

2.

To promote the welfare of the members.

3.

To supply the daily necessities of life to its members at market price.

4.

To increase the purchasing power an standard of living of the members of the society.

iii.

Marketing Cooperative Society

It is the voluntary association of producers formed for the object of arranging the disposal of
their output. It pools together the output of the individual members and arranges to supply the
product at highest possible price. The profit of the sale of the ~ products is distributed among
the contributing producers according to their individual contribution to the pool. This kind of
society is particularly useful for the small producers and agriculturists. It can be formed in two
organisation according to the local condition of the country i.e.

(a)

Single purpose society

(b)

Multi purposes society

Objectives
1.

To eliminate the middlemen who are liable of the high cost of marketing.

2.

To pool together the output of the individual members.

3.

To grade and process of the pooling products of the members.

4.

To dispose of the product at the maximum price.

iv. Insurance Cooperative Society

This type of cooperative society is formed for the objects of providing group insurance facilities
to its members. It makes the contract with sound insurance company on collective terms and
conditions and thus pay lower premium rate to insurance company as compared with ordinary
policy holders. These are other two forms of cooperative Insurance i.e.
1.

Mutual office

2.

Self concern.

In the Mutual office, the policy holders are the owners and the profit of the insurance company
is utilized in the following ways:
(a)

To strengthen the financial position of the company.

(b)

To decrease true amount of premium.

(c)

To distribute bonus to its members.

Self concern
Cooperative society is organized to provide insurance facilities like the private insurance
company and issued policy to its members for reasonable amount.
Objectives

v.

1.

To provide insurance facilities to its members.

2.

To charge the low rate of premium.

Housing Cooperative society

It is an association of middle and low income groups of people. Generally it is formed in urban
areas. The main purpose of this form of society is to protect its members against exploitation by
landlords. It not only grants financial assistance to its members but also achieve the economics
of purchase of building material in bulk. In order to become a member of the society one must
buy at least one share of the society. The liability of the member is limited to his capital
contributed. It is also called "Building Society" and may be divided into three types i.e.
(1)

Housing Building Society

(2)

Land Society

(3)

Finance Society

Objectives

1.

To receive deposits from its members.

2.

To make loans to its members for the construction of house at low rate of interest.

3.

To render technical services for its members.

vi. Cooperative Farming Society

This form of Society is formed with the object of obtaining the benefits of large scale farming
and maximizing agricultural products. It is basically agricultural. cooperative which is confined
to agricultural countries. Its members generally relate to the formers including those owing
land. The cooperative forming are of the following types:
1.

Cooperative collective farming Society.

2.

Cooperative joint farming society.

3.

Cooperative better farming society.

4.

Cooperative tenant farming society.

Objectives
(a)

To consolidate holding.

(b)

To introduce new technique of cultivation.

(c)

To improve the irrigating system.

(d)

To increase the area under agricultural operations.

vii. Credit Cooperative Society

Credit cooperative society is the voluntary association of .the financially weak persons organized
with the object of providing short term financial requirements to them. This society performs
important role in the rural areas where the dishonest money lenders have been exploiting
simple villagers by charging high rate of interest. The Funds of the society consist of (a)
Membership fees, (b) Dispose of shares (c) Deposits from members and non-members (d) Loan
from govt. and semi govt.
The liability of members is unlimited. This assists the society in raising funds and ensures that
every member will take keen interest in the activities of the society. The society prefers the
poorer members in granting loan and charges low rate of interest from them. Generally the
society advances the amount for productive purposes but some loans are also given to members
for unproductive purposes. Credit cooperative society may be divided into two types:
(1)

Agricultural Credit Society

(2)

Non-agricultural credit Society

Objectives
(a)

To get rid of the pressure of money lenders.

(b)

To provide the financial facilities for short term to its members.

Guidelines for Successful Cooperatives

The successes of the Maleny cooperatives have been achieved through great struggles over the
last two decades. Proutists there, in consensus with other members of the management
committees, have drawn up guidelines they consider important in building successful
cooperative enterprises:
1.

Fulfill a need. People have to come together in order to fulfill a genuine need in the
community. No matter how good the idea, if there is not a community need, the enterprise
will not succeed.
2.
Establish a founding group. A few committed people have to take on the responsibility of
developing the initial idea through to inception. Usually, however, one person will need to
provide the leadership.
3.
Commit to a vision. Commit to the ideals and values implicit in cooperative enterprises,
and try to ensure that both the members and the management are honest, dedicated and
competent.
4.
Conduct a feasibility study. Objectively evaluate the perceived need, and determine
whether the proposed enterprise can fulfill that need by conducting a feasibility study.
5.
Set out clear aims and objectives. The members of each enterprise must formulate clear
aims and objectives through con- sensus. These will help direct everything from the
founding groups initial focus to promotional strategies and budgetary processes in the
years to come.
6.
Develop a sound business plan. The enterprise will require capital, have to manage its
finances efficiently, and at some point will have to make effective decisions about loan
repay- ments and profit allocation.
7.
Ensure the support and involvement of the members. The members own the enterprise
at every step their support and involvement are essential.
8.
Establish a location. Secure adequate operational premises for the enterprise, in the best
possible location in the community.
9.
Get skilled management. From within the community, bring into the enterprise people
who have the necessary management, business, financial, legal and accounting skills.
10. Continue education and training. Ideally, the members will have the skillsparticularly
the communication and interpersonal skillsnecessary to run the enterprise successfully.
11.
If not, they will either have to develop such skills or bring in new members who have
them.
In essence, successful cooperative enterprises transform a community by establishing
economic democracy. Cooperative enterprise is the socio-economic system of the future. With
global capitalism terminally ill, developing cooperatives as independent alternatives makes a
lot of sense. In Mondragn, in Maleny, and in Venezuela, that future is unfolding now.

I SUCCESSFUL COOPERATIVES
Krishak Bharati Cooperative Ltd. (KRIBHCO)
It was incorporated on 17th April 1980 and is a Multi-State Cooperative Society deemed to be
registered under the Multi-State Cooperative Societies (MSCS) Act, 2002.
KRIBHCO is primarily a fertilizer production cooperative having production unit at Hazira
(Surat) in the state of Gujarat. The Government of India through the Department of Fertilizers
was a member of KRIBHCO but its equity holding was reduced to NIL on 4th July 2013 under
the provisions of the MSCS Act 2002. KRIBHCO is not owned nor controlled nor financed
by the Government of India / Any State Governments.
The Plant has been revamped to produce additional quantity of 4.65 Lakh MT of Urea. The
enhanced capacity of the Revamped plant now stands at 21.65 Lakh MT of Urea.
KRIBHCO had also entered into:
Logistics Business,
Oman India Fertilizer Complex (OMIFCO),
Diversification into Power Sector,
Insurance Sector etc.

OMIFCO is the first overseas JV project of the company in which KRIBHCO holds 25 %
equity. Besides, KRIBHCO has also made realignment in its corporate strategy and internal

operations revamping to meet the challenges in the liberalized/globalized economy. Illustration

for this is; turn-around of loss making Krishak Bharati Seva Kendra (KBSKs) and Seed
Processing Units (SPUs) into profit centers.
Some facts about KRIBHCO:

Marketing Division of the society, besides marketing about 18.00 Lakhs MT of urea
produced annually at our plant in HAZIRA since commencement of production in 1986,
is also handling and marketing about 10.00 Lakhs MT of Urea produced by OMIFCO
( KRIBHCO is one of the promoter of the company) annually since 2005-06.

In 2006, KRIBHCO also acquired Sahajanpur Fertiliser Complex through its joint
venture company KSFL (KRIBHCO holds 85% of the share in the JV), and about 10.00
Lakhs MT of urea produced annually by this plant is being marketed by KRIBHCO since
2006.

At present KRIBHCO is marketing about 38.00 Lakhs MT of urea annually which is

about 14% of the total urea consumption of the country. The marketing division of the
society is fully geared up to market the likely additional quantities of about 5.00 Lakhs
MT of urea from next year after revamp of our plant at HAZIRA.

Encouraging response of farmers towards KRIBHCO Seed has prompted the Society to
expand its activities in 6 States and have 14 production units. The Society stepped
up production programme from 2926 Qtls. in 1991-92 to 2.29 lakh Qtls. in 2009-10.
KRIBHCO has plan to almost double the certified seed production and marketing in next
3-5 years.

Keeping in view importance of the Quality Seeds in enhancing the agricultural production,
KRIBHCO initiated Seed Multiplication Programme in the year 1990-91 to provide
quality seeds of the crops and varieties of Public Hybrid (Public Varieties) to the farmers
through KBSKs in the State of UP, Punjab and Haryana.
To promote the organic agriculture in the country, Government has initiated several initiatives
like promotion of use of bio-fertilizers, bio-compost etc. KRIBHCO has been promoting the use
of bio-fertilizers since many years. The society has three units to manufacture bio-fertilizers at
Hazira (Gujarat), Varanasi (Uttar Pradesh) and Lanjha (Maharashtra). All four
popular bio-fertilizers i.e. Rhizobium, Azotobactor, Azossprillium and Phosphate Soluble are
produced and marketed by KRIBHCO. The Society has plans to sell around 1000 MT of biofertilizers during 2010-2011, which is likely to increase to about 1200 MT in next 3-5 years.
Organic Agriculture has emerged as a feasible option to concern relating to land degradations.
As per the GOI directives, all fertiliser suppliers are expected to promote the use of Bio-Compost
by involving actively in the marketing of the product. KRIBHCO has sufficient human resources
and credible brand image to market Bio-compost. This will also help the society to generate
additional margins. During the year 2010-2011 they plan to market about 19,000 MT of biocompost which is expected to increase to about 50,000 MT in next 3 years.

In a nut shell KRIBHCO, worlds premier fertilizer producing cooperative has an outstanding
track record to its credit in all spheres of its activities. KRIBHCO has fully imbibed the
cooperative philosophy and has made sustained efforts towards promoting the cause of modern
agriculture and cooperatives in the country. Kribhco stands for commitment sincerity and high
standards of excellence. In our endeavor towards achieving our goals they are impelled by the
ideals set by our predecessors and the devotion and dedication of our employees.
Vision
To become a world class organization that represents the farmer community and maximizes
their returns through specialization in agricultural inputs, rural need based products and other
diversified businesses that maximize stakeholders value.
Mission
To act as a catalyst to agricultural and rural development by selecting, financing and managing
projects that are both socially desirable and commercially profitable.
Objectives
1.
2.
3.
4.
5.
6.

To strengthen cooperative system

To enhance the urea installed capacity and increasing its market share
To ensure optimum utilization of existing plant and machinery
To diversify into other core sectors like Power, Port, Infrastructure, Rural Retail, etc
Transfer of technology for modern farming and improving farmers livelihood
To educate and train farmers, provide free testing facilities for soil nutrients and
irrigation water

Physical Performance
PRODUCTION - KRIBHCO

Unit

2010-11 (up to Dec.10) 2009-10 2008-09

Ammonia

Lakh MT 8.90

11.10

10.85

Urea

Lakh MT 14.15

17.80

17.43

Bio-Fertilizer

MT

953

865

804

Capacity
Ammonia

Lakh MT 10.03

10.03

10.03

Urea

Lakh MT 17.29

17.29

17.29

Bio-Fertilizer

MT

550

550

550

118.24

110.65

108.11

CAPACITY UTILISATION %
Ammonia

PRODUCTION - KRIBHCO

Unit

2010-11 (up to Dec.10) 2009-10 2008-09

Urea

109.14

102.94

100.83

Bio-Fertilizer

195.00

173.25

157.3

ENERGY CONSUMPTION
Ammonia

Gcal/MT 8.301

8.276

8.208

Urea

Gcal/MT 5.955

5.932

5.933

Financial Performance
PARTICULARS

Unit

2010-11 (Upto
Dec.10)

200910

200809

TURNOVER/OPERATING
INCOME

Rs. Cror
e

2596.14

2597.08

2559.12

Profit-(PBDIT)

Rs. Cror
e

200.31

288.57

307.25

DEPRICIATION

Rs. Cror
e

22.42

30.62

27.53

INTEREST

Rs. Cror
e

14.08

5.18

10.38

Profit-(PBT)

Rs. Cror
e

163.81

252.77

269.34

TAX

Rs. Cror
e

39.18

24.60

19.21

PROFIT AFTER TAX

Rs. Cror
e

124.63

228.17

250.13

SHARE CAPITAL

Rs. Cror
e

390.28

390.67

390.67

RESERVES & SURPLUS

Rs. Cror
e

2469.88

2306.46

2158.68

NET WORTH

Rs. Cror
e

2860.16

2697.13

2549.42

How it began?
It all began on 15th march 1959, which was a warm summer day with the sun shining brightly
in the cloudless sky. A majority of the women inhabitants of an old residential building in
Girgaum (a thickly populated area of South Bombay), were busy attending their usual domestic
chores.
A few of them, seven to be exact, gathered on the terrace of the building and started a small
inconspicuous function. The function ended shortly, the result - production of 4 packets of
Papads and a firm resolve to continue production. This pioneer batch of 7 ladies had set the ball
rolling.
As the days went by, the additions to this initial group of 7 was ever-increasing. The institution
began to grow.The early days were not easy. The institution has its trials and tribulation. The
faith and patience of the members were put to test on several occasion - they had no money and
started on a borrowed sum of Rs. 80/-.
Self-reliance was the policy and no monetary help was to be sought (not even voluntarily
offered donations). So work started on commercial footing.
With quality consciousness as the principle that guided production, Lijjat grew to be the
flourishing and successful organization that it is today.
Shri Mahila Griha Udyog Lijjat Papad is a Women's organization manufacturing various
products from Papad, Appalam, Masala, Gehu Atta, Chapati, SASA Detergent Powder,
SASA Detergent Cake (Tikia), SASA Liquid Detergent.

The organization is wide-spread, with its Central Office at Mumbai and its 81 Branches and 27
Divisions in different states all over India.
Membership has also expanded from an initial number of 7 sisters from one building to over
43,000 sisters throughout India.
The Institution will always and ever be grateful to "Pitamaha" Late Shri Dattanibapa
(Shri Purshottam Damodar Dattani) for his contributions towards the Institution who
showed the correct path and guided the Institution till his last breath.
The turning point of their Institution was in 1966 when it was registered under the Bombay
Public Trust Act 1950 and also registered under Societies Registration Act, 1860 and got
recognition from Khadi & Village Industries Commission as a village industry.

The objective of the Institution is to provide employment to the ladies to enable them to
earn decent and dignified livelihood.
Any women who can render physical work in this Institution without distinction of caste, creed
and color and agrees to abide by the objective of the Institution can become a member of the
Institution from the date on which she starts working. Papad production work starts at early
hours in the morning i.e. 4.30 a.m. They have a mini bus which picks the members from the
closest point of residence to the branch and back home.

All the branches are autonomous units and the income or loss as the case may be of such unit is
borne by the owner sister members of that branch by increasing or decreasing their rolling
charges accordingly. The credit for rapid progress goes to the constant vigilance on the part of
sister members maintaining the quality of Lijjat Papad with their hard work.
Besides Lijjat Papad the Institution has other products like Masala, Chapaties,
and Detergent Powder & Detergent Cakes.
The exports are made through Merchant Exporters to countries like UK, USA, Middle
East Countries, Thailand, Singapore, Hongkong, Holland, Japan, Australia and other
Countries.
'Lijjat' provides scholarships to the children of the papad roller sister members who
pass out in 10th and 12th standard every year so as to enable the Lady Members to
encourage their children for education.
The Institution has received an award from Khadi & Village Industries Commission as
a "Best Village Industry" for the period 1998-1999 to 2000-2001.

Some Facts:
On 6th September 2002 the Institution has received the Economic Times Award of
Businesswomen of the Year 2001-02 for Corporate Excellence".

 In January 2003 they received the award for 'Best Village Industries' at the hands of
Hon'ble Prime Minister Shri Atal Behari Vajpayee at New Delhi.
On 21st December 2005 the institution has received the 'Brand Equity Award' at the
hands of Hon'ble President of India, Dr.A.P.J. Abdul Kalam being presented by PHDCCI
at Vigyan Bhavan, New Delhi.
Lijjat Papad has been chosen as a Power Brand 2010-2011 by the Indian Consumer
and received the Award on 4th February 2011 in New Delhi.
Khambatta Lifetime Achievement Award for 2010 was conferred on Smt. Swati R.
Paradkar, President of Shri Mahila Griha Udyog Lijjat Papad by All India Food
Processor's Association, New Delhi. The Award was presented by Shri Harish Rawat,
Hon'ble Minister of State for Agriculture & Food Processing Industries, Government of
India on 16th December 2011 at New Delhi.
'Outstanding Service Organization Award-2012' was conferred on Smt. Swati R.
Paradkar, President of Shri Mahila Griha Udyog Lijjat papad, by National Institution for
Quality and Reliability (NIQR), Chennai. The Award was presented by His Excellency
the Governor of Tamil Nadu, Dr. K. Rosaiah on 21st April 2012.
Lijjat was featured in various T.V. Channels, which include BBC World in the
programme Business Bizarre".
The Institution, over the years, has paved the way for women to become self-reliant and
self-confident. Lijjat has provided them the right platform to improve their status in
society.

Branding and Commercialization

Lijjat has developed its branding and commercialization strategy by raising production
standards, developing a niche market identity, and creating a variety of products. To maintain
standards, a quality control team at Lijjats headquarters receives samples daily of the
cooperatives products, which are then tested for quality samples and batches (which are
received from each branch) that do not meet standards are destroyed.
Sisters at the organization, moreover, not only ensure personal hygiene when preparing food
products; they also make sure that all work surfaces are kept to established standards of
cleanliness. As part of its quality assurance, Lijjat has maintained tried and tested traditional
manufacturing and production methods based on handmade goods.
In addition to instituting quality in its production processes, the cooperative has branded itself
within the niche market of enterprises that are run by women for the empowerment of women.

As a result, Lijjat prioritizes the financial and social welfare of a sector of producers that have
traditionally been at the margins of the Indian economy low income but skilled female
workers.
To this end, the organization has relied on a number of slogans that capture its ethos including
A unique organization of women, by women, for women, which appears on Lijjats corporate
website. Lijjat has also utilizes the slogan SASA: Symbol of Womens Power, which
appears on the organizations product sleeves.
Indeed, the cooperatives trade name Shri Mahila Griha Udyog Lijjat encapsulates its
women-orientated, quality-driven and tradition-inspired business ethos. In English, Shri can
translate as Mrs. or Ms. mahila as women, griha as home, udyog as industry, and lijjat as tasty.

Papad is usually served as an accompaniment to a meal

More Details About Products:

Having carved out an ethical niche in the market for its quality goods, the cooperative has
diversified its portfolio of products beyond papad (which is commercialized in 14 varieties and a
number of flavors) and thereby entered new markets. As early as 1974, Lijjat expanded its
operations to include khakhra a cracker made of moth bean (Vigna aconitifolia, a herb grown
in South Asia that produces edible beans).

Soon thereafter, Lijjat consolidated its presence in the traditional foods market of India. The
organization launched a number of new products including masala (a variety of mixed spices;
launched in 1976), vadi (a fried or steamed snack made of dill and chickpea flour) and
wheat atta (a flour used to make flat breads such as chapatti).

Other product lines and divisions include: a product packaging and household goods
manufacturing branch for items such as matchsticks (1979) and incense sticks and a division for
making washing detergents or soaps (1988).
Lijjats brands of soap (SASA Detergent Cake, SASA Detergent Powder and SASA Liquid
Detergent), moreover, have become some of the organizations most popular products.
The cooperative also operates a bakery division (started in1979) and a printing and advertising
division (1977) this division produces Lijjat Patrika, an informative in-house publication sold
at a nominal fee.
In order to distinguish its many brands and products in a competitive market, Lijjat has
developed distinct product sleeves with iconic images and colors that have resonated with
consumers especially in India.
Two characters have appeared on the cooperatives product jackets: the image (in black and
white) of a young child called Babla a boy who is always shown eating papad; and an image
(in pink) of a bunny rabbit, also seen with papad in hand. Both Babla and the pink rabbit have
become iconic images of the Lijjat brand the rabbit featured in a well-known TV campaign for
the organization that was first aired in the 1980s.

Indeed, since that period Lijjat has produced a number of memorable product promotion
campaigns via local language newspaper advertising, TV and radio campaigns, and through

industry events and fairs. With each division of the organization making proportional
contributions for financing such campaigns, Lijjat has been able to reach a nationwide
catchment of customers and clients.
The cooperative, furthermore, has sought to gain an advantage on rivals via competitive product
pricing. Set by headquarters, Lijjats products are priced so that they are affordable for middle
and low income customers.
Further to its product branding, diversification and pricing strategy, the organization has relied
on a wide network of local, national and international distributors and dealerships in order to
enter the national, regional and global marketplace.

Trademarks
In order to protect its hard-won identity while distinguishing its brands and products in a
competitive global marketplace, Lijjat has relied on the intellectual property (IP) system. To this
end, the organization registered a trademark for Lijjat (1967, 1976, 1977, 1981, and 1991) and
Lijjat Papad (1973, 1993) via the Controller General of Patents, Designs and Trademarks
(CGPDT) Indias IP office.
Further to this registration, Lijjat has protected its trade name and identity as a supporter of the
rights and causes of women by registering a trademark for Shri Mahila Griha Udyog Lijjat Papad
(2005) and Symbol of Womans Strength Lijjat Papad (2012), also via the CGPDT.
Indeed, the organization has over 40 trademarks for a number of products registered at the
CGPDT including Lijjat Atta (1998), Lijjat Fishmasala (2000), Lijjat Sunday Special Masala
(2000) and Lijjat Meatmasala (2000).
Keen to expand into the lucrative North American market, the organization registered a
trademark for Symbol of Womans Strength Papad (2012) in the United States of America (USA)
at the United States Patent and Trademark Office (USPTO).
In addition to securing its identity in India and the USA, Lijjat secured its reputation in yet
another lucrative market, the EU, via a trademark registration for Symbol of Womans Strength
Lijjat Papad (2012) at the Office of Harmonization for the Internal Market.
With IP secured assets in India, the EU and the USA, the womens only organization has been
able to grow with confidence into new markets around the world

Lijjat's trademark; a symbol of women's strength (Image: USPTO)

It Takes a Village and a City
Lijjat has blazed a trail for cooperative business models that are also professional, ethical and
economically sound. In the process, the womens organization has created generations of
employees who are not just self-sufficient; they are also enriching their own lives and those of
others in their communities.
As one of Lijjats original founders, who is in her eighth decade of life, said: We were semiliterate, which restricted our chances to get jobs; butthey realized our papad-making expertise
could be used to earn small amounts of money In retrospect, the organization is fulfilling a lot
more than its original, modest goals.

II OTHER SUCCESSFUL COOPERATIVES

Shamrao Vithal Co-operative Bank (SVC)
The Shamrao Vithal Co-operative Bank Limited was founded when co-operation was just
beginning to gain ground in the country. It was set up with the primary objective of
assisting the less fortunate members of the community in its economic enterprises, to
encourage savings and to create funds for providing financial aid to deserving members.
The Shamrao Vithal Co-operative Bank Limited (SVCB), established in 1906, is currently
operating in three states: Maharashtra, Karnataka, and Goa. SVCB conducts banking
operations through 38 networked branches, five extension counters, and 33 ATM
centres, including an off-site ATM.
Rao Bahadur Shripad Subbarao Talmaki, the Maharshi of Co-operation, was the main
architect of the Bank. The Bank was originally registered as a Co-operative Credit Society
on 27th December 1906.
Thus inspired by lofty ideals for the betterment of the economic, moral and material
well-being of the Community, the Bank was brought into existence with modest
beginnings.
Some facts:
SVCB has a share capital of over US$689.69 million (INR 29,270 million) with over
70,220 members. In 20042005, the business grew by 12.5 percent and the operating
profits by 35 percent.

Milestones
Fixed Deposits, Savings Bank Deposits and Cumulative Deposits Scheme introduced in

1907.
First Co-operative Stores in 1910.
Facilities for remittance by Draft made available to Members in 1911.
Education Fund in 1911.
Cash Credit Loan Scheme in 1913.
First Co-operative Housing Society in Bombay in 1915.
Fidelity Guarantee Fund in 1927.
Distress Relief Fund in 1931.
Staff Gratuity Fund in 1954.

Facilities thrown open to all communities in 1956.

Introduction of Safe Deposit Vaults in 1964.
Industrial Financing in 1966.
Introduction of Cash Certificates in 1975
"Scheduled Bank Status" conferred on the Bank in 1988
Deposits cross 1000 crores in 2000
Setting up of Corporate Office - SVC Tower at Vakola in 2002
Implementation of Genius I Core Banking Solution in 2003 across all the branches
SVC Bank is offered AD-I License in
SVC Bank is permitted to sell Core Banking software services to smaller co-operative

Banks
1st Software sale successful in 2006
SVC Bank crosses Software sales services to 25 Banks in 2010
SVC Bank opens 100th Branch at Bibwewadi

VISION
Founded in 1906, this unique financial institution rests on the pillars of thrift,
fellowship, character, accommodation and the selfless service of all individuals and
organisations who wish to help themselves progress. We see ourselves as a family of
honest, loyal and committed professionals, harmoniously employing technology,
innovation and the human touch to achieve customer satisfaction and goodwill-the
corner- stones of our success and the focus of all our efforts.
The prosperity of our customers is the engine of our success and they will find in us a
fast, timely, flexible, co-operative and competitive partner in their progress. We shall
reach out to our customers anywhere and at any time to make their dealings with us a
pleasure. We shall warmly welcome them into our aesthetic surroundings or take our
services to their doorsteps. We are committed to approachability, simplicity and
transparency in our dealings with all our stake holders and shall be a temple of their
trust.
We shall use our employee involvement and sense of togetherness to generate high levels
of teamwork, efficiency, excellence and profits. We shall mobilize aggressively, invest
wisely, disburse prudently, recover assiduously, reduce costs and create a learning
organisation that offers products and services in tune with and ahead of the times.
VISION AND MISSION ARE THE SAME

SSION

Kolar District Cooperative Milk Union

NO WATER SO THEY MAKE MILK

Kolar Chikabbalpur is a parched region in eastern Karnataka. It has 2,919 villages, none of
which has anything in the name of irrigation. Except rains, which are erratic. The region was
declared drought-hit in each of the last five years.
If only the fields could be irrigated with milk without anyone being called crazy for the suggestion.
For, the 1,674 milk cooperatives in the area pick up no less than 925,000 litres every day.
Organized under the Kolar District Cooperative Milk Union, they pay Rs 18 for each litre.
About 24,000 litres of this is consumed locally, and the rest sent to Bangalore, and places in
Andhra Pradesh and Kerala, which pay between Rs 22 and Rs 23 for each litre. Bangalore region's
three districts have a dairy network of their own, which squirts 1.1 million litres a day.
All told, the dairies of Karnataka - there are 12,000 of them - defy the hardships to keep the
wheels of the state's rural economy turning and have made Karnataka the second-largest milk
producer among states after Gujarat.
Gujarat's dairies make the state No.1 by a fair distance, with procurement at more
than twice that in Karnataka. Amul, the brand owned by Gujarat Cooperative Milk
Marketing Federation, is Asia's largest dairy brand.
In many ways, Karnataka follows in the footsteps of Gujarat, which, under Verghese Kurien, put
the country on course for the White Revolution. But Karnataka' story stands out because the state
is less fortunate than Gujarat in industrial development and economic growth. Just 100 km from
Bangalore, Kolar-Chikkaballapur remains untouched by the big city's industrial and corporate
glitz.
Karnataka's per capita income - in 2009/10 prices - was Rs 52,097, compared to Rs 63,961 for Gujarat.

It has been a decade and a half since India overtook the US to become the world's largest milk producer.
At the time, India's production was 70 billion litres a day. Today, India accounts for 17 % of the global
milk output. And there is more to come.
Successful cooperative enterprises transform a community by establishing economic
democracy.
All the basic factors for success in any business also apply to co-ops, as would be expected: there has to be
a real demand for the product; planning has to be thorough and realistic; and the enterprise has to make
money. There are also clear differences between consumer and producer co-ops, making their factors for
success also somewhat different. For example, widespread community support of a consumer food co-op
is essential, because without thousands of regular customers it will have to close. On the other hand, a coop that manufactures custom automation solutions for industry is much less dependent on community
support

Recommendation/Suggestion:

REFERENCES
https://www.cambriapress.com/cambriapress.cfm?template=4&bid=326
http://en.wikipedia.org/wiki/Cooperative
http://dspace.iimk.ac.in/bitstream/2259/382/1/91-102.pdf
http://archive.is/8ota
http://books.google.co.jp/books?
id=HZd6vu8qVj0C&pg=PA47&dq=Lijjat&hl=en&sa=X&ei=FIZBUaHEMjOkAW13oBg&redir_esc=y#v=onepage&q=Lijjat&f=false

http://books.google.co.jp/books?
id=ihSAxpz1e4EC&pg=PA51&dq=Lijjat&hl=en&sa=X&ei=FIZBUaHEMjOkAW13oBg&redir_esc=y#v=onepage&q=Lijjat&f=false
http://books.google.co.jp/books?
id=RMdQoW3v9QgC&pg=PA133&dq=Lijjat&hl=en&sa=X&ei=FIZBUaHEMjOkAW13oBg&redir_esc=y#v=onepage&q=Lijjat&f=false
http://mofpi.nic.in/EDII_AHMD/Cereal_Pulse/09%20Papad%20Mfg.pdf