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The membership of the Federation shall be open to :
  1. Cooperative sugar factories of the State registered under the U.P. Cooperative Societies Act and which have received the Letter of Intent or the Licence under the industries (Development & Regulation) Act, 1951, and-
  2. Government of Uttar Pradesh as provided for under section 17 (1)(c).
Every application for membership from the cooperative sugar factories shall be accompanied by a resolution of the committee of Management of the cooperative sugar factory authorizing the chairman or the Managing Direct to apply for affiliation to the Federation unless the bye-laws of the cooperative sugar factory concerned provide for automatic membership and affiliation to the Federation after registration along with the admission fee as provided in the bye-law No 9;
Provided that the membership of the State Government will be automatic and notwithstanding anything contained in any of these bye-law 6(ii) is rescinded, continue without any limit of time, free from any conditions of admission fee on subscription and other liabilities, and its nominees shall be immune from any of the disqualifications mentioned in the Act and Rules.

Membership of the Federation shall cease :
  1. (a) On winding up or dissolution of the member cooperative sugar factory.
    (b) On winding up or dissolution of the member cooperative sugar factory; Provided that in the event of its division into more that one society or its member or amalgamation with other society the membership shall cease from the date its registration in the old name is cancelled or deemed to be cancelled by the Registrar.
  2. A member cooperative sugar factory may be removed or expelled if it defaults, for three consecutive years or more, in making payment of its sub-scription and other dues etc. or fails to carry out any of its obligations to the Federation under these bye-laws, Act and the Rules or has mis-appropriated any funds or property or caused damage, or detriment to the interests of the Federation provided that before such removal or expulsion the aggrieved member shall be given an opportunity to explain its position within one month. After the explanation is received, the committee of management shall call a general meeting within 21 days to consider action to be taken, a copy of the agenda shall be forwarded to the member concerned to enable it to state its position in the meeting.
  3. The General Body, by a majority of 2/3rd of the members present and voting, may for reasons to be recorded in writing resolve to censure, suspend, remove or expel the member for a specified period or terminate its membership with or without any penal charge. A copy of the resolution passed will be sent to the member concerned by Registered post.
Each cooperative sugar factory shall pay an entrance fee of Rs. 1000/- with its application for membership.
Each member cooperative sugar factory shall in addition to the supervision fee as may be fixed by the registrar, pay to the Federation on the basis of the quantities of sugar produced in the previous season, an annual subscription at a rate as may be determined, from time to time by the committee of Management of the Federation. Provided that a member cooperative sugar factory shall pay a minimum annual subscription of Rs. 1000/- or such higher amount as may be fixed till it goes into production.
PROVIDED FURTHER THAT the Federation may require the member cooperative sugar factories to make additional contribution towards raising funds for incurring major iteme of capital expenditure, for paying the salary, provident fund and other charges in respect of the senior technical, administrative and accounting staff employed by it for their common benefit and for procuring such technical or other abvice or assistance as might be in their interest, and for publicity and propaganda on their behalf.