Nagaland to deregister defunct cooperative societies, says Minister Jacob Zhimomi

KOHIMA — Minister for PHED and Cooperation, Jacob Zhimomi, has announced that the state government may soon begin deregistering non-performing and debt-ridden cooperative societies as part of a major reform move.

Speaking at the International Cooperative Day (COOPSDAY) celebration on the theme ‘Driving inclusive and sustainable solutions for a better world’, held at the Registrar of Cooperative Societies (RCS) office in Kohima on Saturday, Zhimomi said that only 2,163 of the 8,028 registered cooperative societies are currently functional in Nagaland.

He said that a screening process will begin soon to identify and take action against defunct societies. Intimations will be sent both personally and through media channels, he said, adding that the government wants results—for the societies themselves and for the state.

The minister warned that performance will be the key metric for continued registration and government assistance.

Zhimomi added that digitisation and technology interventions have helped distinguish performing societies from non-performing ones. While initial hurdles existed, he expressed confidence that the department will now function in a more efficient and transparent manner.

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He highlighted that the department has also approached the Centre to provide more projects funded through the National Commission for Backward Classes (NCBC) to bridge economic disparities and uplift well-performing cooperatives.

He noted that some societies are applying for registration only to obtain subsidies. Going forward, applications must come through the District Planning Board and be supported with a vision document. For renewals, the past three years' financial data—including operations, profits, and losses—will be required.

While appreciating the success of several multipurpose cooperative societies, Zhimomi reiterated the government's commitment to support them fully. However, he warned that the era of random or passive registration is over.

He also made a critical reflection on the socio-economic trajectory since Nagaland attained statehood in 1963. ‘We are the 16th state in India and the second in the Northeast, yet our people have not progressed fully. It must begin with our social habits,’ he said.

He reminded young entrepreneurs that there are no overnight profits in cooperatives. ‘Few families are doing well, but 90% of Nagas need to be mentally prepared to persevere,’ he said, while requesting the Centre to allow more flexibility in financial models tailored to Nagaland’s needs.

Youth-centric cooperatives

Zhimomi underscored the urgent need to involve youth in the cooperative sector. With a youth population of 6.82 lakh (30% of the state's total), he said that this demographic dividend must be tapped to build agile and socially responsive cooperatives.

Citing national trends, he noted that India’s labour force is expected to grow by over 8 million annually, largely driven by youth. He encouraged them to participate particularly in eco-tourism, an emerging sector expected to make up 20% of India’s tourism market.

Digital push

Orenthung Kotha, Commissioner and Secretary of Cooperation and IPR, shared that 231 Primary Agricultural Credit Societies (PACS) have been computerised with support from the Ministry of Cooperation. Online registration for societies is expected to be launched within this year.

Deputy Registrar Akang Jongshi reported that 5,862 societies are inactive. He said that 150–200 more PACS will be proposed for digitisation under the 2026–27 plan.

The department also aims to establish new multipurpose cooperatives to enhance market linkage, credit access, and essential services at the village level.