GUWAHATI, March 8 - The State Government will formulate a comprehensive policy for revival of the cooperative sector. Replying to a call attention motion in the Legislative Assembly today, Minister for Cooperation Himanta Biswa Sarma said that a new incentive-based policy would be formulated by August to revive the cooperative sector in Assam.
He said such a policy is essential to revive the cooperative sector but added that it will be applicable only to those cooperatives which still have a reasonable chance to be revived and not those which have already reached a stage where revival cannot be done.
Sarma said that as per the law, if any cooperative incurs losses for three consecutive years, the cooperative is liquidated and its assets are frozen so that the shareholders can have their shares back.
He said that without a proper plan for revival of such units, it will not be prudent to just provide financial assistance. Sarma pointed out that there is no provision to provide financial assistance from the Government to cooperatives.