Empowerment is a process of awareness and capacity building, leading, self-reliance to a greater participation, to greater decision making power and control and transforms action. Women empowerment tries to ensure participation of women in the key areas of development like economy, society, politics and culture and involvement in decision making process, which will enable them to control their lives Women of rural Bihar is most illiterate with high levels of unemployment. Bringing better prospects in rural areas is possible only by women and dairy co-operative societies located at the grass root level. The policies, programmes and plans of governments and international organisations reflect that their major development agenda is women empowerment and development. Most of the rural women farmers depend on dairy co-operatives for their survival.  Dairy cooperatives are defined as the group of milk producing farmers who deliver milk to the consumers or to the processors. The main aim of the co-operatives is to provide service and generate income collectively. The better performance of dairy co-operatives is required to expand and encourage the production and marketing of milk and milk products, on the one hand, the people attached with poor farm sector are in dire need of getting suitable remunerative occupation and, on the other hand, urban dwellers are presenting daily-demand for standard quality of milk for development of dairy sector in Bihar. COMFED was constituted by the Government of Bihar in 1983. COMFED’^s role has been organizing farmers to forms dairy cooperatives and making available remunerative market for their milk round the year. Its mission is to transform rural economy through dairy cooperatives in which the farmers are made instrumental for their own development. Thus, Dairy Cooperatives is directly helpful in social and economic empowerment of rural women farmers and workers of Bihar engaged in dairy-farming.

KEYWORDS: Dairy Cooperatives, Women Empowerment, COMFED, Economic System.