NDDB in 2004: Beyond Operation Flood

The three phases of Operation Flood had ensured that farmers across the country recieved a fair price for their produce even as output increased; and the milk prices remained within the reach of the consumer. However, apart from Amul, none of the state federations recorded any significant profit. Indeed, several of them were in the red. Political interference, bureaucratic apathy, and a complete lack of knowledge of running cooperatives were some of the reasons cited for their failure. To address these problems, the government passed an act in the parliament giving them greater autonomy. The Cooperative Companies Act, 2002 gave operational freedom to cooperatives and allowed them to become professional companies...