Dissertation "Agriculture Cooperatives’ Contribution to Improvement of Community Life in Pangasinan"

1. Agriculture Cooperatives’
Contribution to Improvement of
Community Life in Pangasinan
Josefina B. Bitonio, DPA
Presenter, Co Author
Nenita Q. Cuison, CPA, MPA,DPA
Author

2. Background More than 12 % of humanity is part of
any of the three million cooperatives in the
world. Cooperatives contribute to the
sustainable economic growth with 1 billion
members across nearly 100 countries They
have a global turnover of 2.2 trillion USD
and providing jobs and work opportunities
to 280 million people across the globe.
(ICA,2020).
The United Nations
supports
cooperatives. There
is a growing
consensus among
international
agencies about their
importance.

3. • Hermida (2008), as cited in Aref (2011),
stated that agricultural cooperatives
encompassed the landscapes of Asian
countries for decades. The agriculture
cooperatives became an important part of
the social fabric and had an integral part in
the development of rural communities.
Cont.

4. This research explored and examined
the selected agriculture cooperatives'
contribution to improving community life in
Pangasinan. This research hopes to
contribute in practice the knowledge on
cooperative management, sustaining
cooperative development, and advancing
the communities' social and economic
development.
Cont.

5. Problems
of the
Study
1. What is the profile of the cooperatives in terms of
name, district, number of members, and assets?
2. What are the developmental interventions led by
the selected agriculture cooperatives?
3. What are the contributions of the agriculture
cooperatives to community life in terms of:
• adaptability;
• effectiveness;
• significance;
• financial viability; and
• sustainability?
4. How do cooperatives empower the marginalized,
especially its women members?

6. The study adopted the Theoretical
Bases of Cooperative Enterprise (Castillo,
2000) and Descriptive Theory on the
Inherent Structural Weakness in Farming
Business to strengthen this interest
(Deriada, 2005).
Theoretical
Framework

7. If the cooperatives have a
strong positive influence
and effective
developmental
interventions on their
members and empower
the marginalized, then this
can lead to community
development
If the cooperatives do not really
influence the lives of the people
and do not contribute to
community development and
empowerment of the
marginalized, then the
cooperatives have less
contribution in the community
development
positive
influence
negative
influence
Figure 1. Theoretical Framework of the Study

8. Conceptual
Framework
• As a guide in the conduct of the study, the
researchers used the the Social and Capital
Poverty Transitions, and Contribution of
Cooperatives in Agricultural Cooperatives
(Woodlock & Narayan, 2000, p. 322)
• This study focused on examining the cooperatives’
developmental interventions using the following
criteria: adaptability, effectiveness, significance,
financial viability and sustainability (Aref, 2011).

9. The degree to
which the
enterprise can
generate its income
sufficient to meet
its core operating
expenses and
financial obligations
and be able to
invest in its future
growth and
development.
The degree to
which the
initiative or parts
of it has been
successfully
adapted by
others
Adaptability Effectiveness
This refers to
how the
initiative has
achieved
tangible results
like an increase
in household
income or the
creation of jobs.
Significance
This is the
degree to
which the
program
addresses the
problem of
income and
poverty in a
community.
Sustainability
The degree to which the
enterprise will continue
to operate in the long
term; and able to
generate balance while
being concerned about
conservation, protection,
and restoration of the
environment; having the
organizational capacity
to continue to achieve
its enterprise goals.
Financial
Viability

10. This refers to:
• Project developed were supported by
loans or grants
• Project implemented was a creative
response to problems met
• Implementing a participatory system
targeting the poorest
• Provision of livelihood assistance to
members
• Scaling innovation through replication and
adaptation across several communities
Development
Interventions

11. Input
Process
Output
• Profile of the Respondents
• Development Intervention Criteria
Case Study: Interview
Contributions of the agriculture
cooperatives to improving community life
Research
Paradigm
Figure 2. Research Paradigm of the Study

12. Research Design
The researchers used a qualitative research
design to explore and understand a group of
participants qualified to the context through a case
study.
Sources of Data
The researchers interviewed members of
selected agriculture cooperatives with at least three
years of existence in the community with available
records like GMAR, SAR, AFS, etc., as the basis to
validate and assess their development
interventions.
Methods

13. Trustworthiness is one of the major
concerns in qualitative research. To ensure the
credibility and accuracy of the researchers’
interpretation, the data or results were returned
to the study participants for validation or
resonance of their experiences. This process is
called member checking.
Tools for Data Analysis
Cont.

14. • The RIMO conducted ethics reviews
from title defense, proposal and final
manuscript.
• Adhered to research ethics and observe
confidentiality of the data gathered.
Ethical
Consideration

15. Agriculture Cooperative District
Total
Number of
Members as
of (2018)
Total Assets
(2018)
1 Narra MPC 6 180 30,209,291.09
2 Evangelista Agrarian Reform
Cooperative
6 210 4,039,438.67
3. Saint Pascal Baylon Multi Purpose
Cooperative
6 604 44,516,207.95
4 Movers MPC 6 706 109,929,892.98
5 San Fabian PCWI MPC 4 180 25,382,992.92
6 Women’s Unity Agriculture MPC 3 180 8,2029,672.21
7 Albacopa Federation of Coops 6 528 104,203,203.498
8 Uniprimco 2 180 9,210,102.29
9 Aramal Tococ MPC 4 289 13,201,798.92
10 Compra MPC 6 179 6,384,093.09
11 Maawi Alos Farmers MPC 1 180 9,384,948.35
12 Maresma Multi-purpose
Cooperative
6 263 9,568,398.31
13 San Pedro Apartado MPC 5 206 10,203,394.10
RESULTS AND
DISCUSSION

16. A. Social interventions are those actions
made by the cooperatives for the growth of
their members and the community such as
tree and mangrove planting, coastal clean
up drives and various capacity-building
programs.
Developmental Interventions
• Developmental
interventions are
classified into social
and economic
The cooperatives have also adopted
programs relative to environmental
protection and sustainability. This is
particularly common to all the cooperatives
since they value the most important asset of
agriculture which is nature and the
environment.

17. Social
Protection
Insurance is offered for loans, crops, life,
and property. This plan protects both the
coop (lender) and the member (borrower).
Upon the borrower's death, the insurance
company will pay the borrower's insured
loan balance relieving the beneficiaries of
the financial obligation by taking care of the
loan.

18. Social Interventions
 Scholarship programs to the children of the less fortunate members
 Provided platforms for capacity and capability-building for their staff and
employees.
 Coordinated webinars conducted by NGAs, increasing their knowledge of
agriculture and its management.
 Conducted medical and dental missions in the community.
 Conducted actual drills and safety demonstrations on DRRM.
 Partnership with other organizations, like Rotary Club
 Insurance services
 Financial assistance to social activities/ gatherings of the community.
 Social support to the vulnerable sector of the elderly, Persons with Disabilities
(PWDs), youth, and indigenous peoples.

19. B. Economic interventions are those
initiatives of the cooperatives to
accumulate income to sustain their
operations and gather funds for their
projects towards their goals. These
interventions are similar to the aims of
livelihood and infrastructure categories
of interventions.

20. Economic ( Livelihood, and Infrastructure Interventions)
• Grocery stores in the barangay – This helps the cooperative maintain
and secure a source of income and offers convenience to the
community in terms of buying essential commodities due to its proximity.
• The San Roque Power Corporation has also helped one of the
cooperatives by providing employment opportunities.
• Members are employed in school and money transfer outlets, allowing
them to have a stable source of income.
• Another intervention comes in the form of product innovation and
development. An example would be the Maresma MPC, which primarily
consists of women members. The women were trained and are now
producing squash noodles for their livelihood.
• Establishment of Pasalubong Centers

21. Others
• Albacopa acted as a big brother and
accommodated Evangelista MPC to their capacity-
building programs.
• Some cooperatives do not have many
interventions due to a lack of personnel.
Evangelista MPC, for instance, needs to fill up
vacancies in the organization. Nonetheless, the
cooperative helped farmers through mechanized
harvesting by securing cooperation between and
among the members to ensure the implementation
of developmental interventions they

22. There are interventions that have been
adopted by other emerging cooperatives
like loan operations, membership
expansion program, human resource,
capital build-up, deposits, use of
community development fund, rebate
system, accounting system, internal control
system, linkages, and collection; employee
benefits and retirement fund.
Contributions of the Agricultural Cooperative to
Community Life
1. Adaptability

23. Most of the cooperatives stated that their
development interventions were effective
because their members could secure and
maintain a source of living due to such
interventions. The loan programs consisted of
MPL, salary, housing, real estate, emergency,
business capital, production loan, special, etc.
These services have increased members'
capacity to live well away from poverty.
2. Effectiveness

24. The products and services rendered by
cooperatives were considered significant because
they provided financial aid for the members who
wanted to study, work abroad, or even avail
properties. Members used the capital for small
businesses, thus indirectly providing employment
opportunities and additional income for the family.
The cooperatives facilitated the mobilization of their
less privileged members to improve their living.
3. Significance

25. • Movers MPC who has a money remittance,
pawnshop, and auto teller machines (ATMs)
stated that these businesses helped people
minimize their travel outside their town. Instead
of going to other neighboring municipalities or
city which costs more fare, the cooperative was
able to offer people more convenience, and thus,
significantly reducing their expenses. Moreover,
the cooperatives are also selling milled rice at a
price lower than the ones in the market.
Cont.

26. Based on the recorded assets of the
cooperatives in 2018, most of the
cooperatives show high potential for self-
sufficiency and financial viability. Some
have also expressed that their generated
income secures their current operations
and may also be utilized through
investment and other means to increase
the cooperative’s current financial status.
4. Financial
Viability

27. About 90% percent of the cooperatives expressed that
they are compliant with DOLE, BIR, Pag-ibig, PhilHealth,
:LGUS, etc. The following documents are also complied by
the cooperatives:
• Organizational chart
• The complete book of accounts
• Updated recording
• Internal control (accounting system, continuity/contingency
plan)
• Manual of operation (audit manual, accounting manual)
• Contract/certificate of employment
• Personal file
• Certificate of Compliance in CDA
5.Sustainability

28. • Some of the cooperatives have become avenues
for empowerment. One of the sectors which
benefited from their interventions are women. The
Women’s Unity Agriculture MPC, for instance,
provides capital for members to engage in catering
services, buy and sell, sari-sari stores, and meat
processing and selling of their women members.
Empowering
the
Marginalized
• Narra MPC shared that some of their interventions
and initiatives were adopted by other communities
such as offering loans for an electric sewing
machine for dressmaking, food processing,
nursery, and laboratory for banana tissue culture.

29. San Fabian PCWI MPC expressed that the
training and learning development programs
and business opportunities offered have
contributed significantly to the confidence and
teamwork of the women members. Due to
increased capacities, women members have
become more confident to contribute to
economic production, and thus, empowering
them as co-contributors of income in their
respective households.

30. This study has supplemented existing
evidence on the crucial role of agriculture
cooperatives in local communities' overall
social and economic development. Through
the conceptualization and implementation of
various development interventions, the
agricultural cooperatives in Pangasinan were
able to contribute to the increased capacity of
the marginalized members and their families
to secure and maintain decent living
conditions.
Conclusion

31. Recommendations
• First, it is recommended that a more stringent monitoring
and evaluation system for cooperatives be in place. During
the conduct of the study, the researchers encountered the
lack and/or insufficiency of reports relative to the evaluation
and monitoring of various programs, projects, and activities
of agricultural cooperatives in the province.

32. Cont. Second, cooperatives must develop a
comprehensive development plan to have a
clear direction of their respective programs. It
was noted that some of the projects were
relatively short-term in nature and only catered
to a small group. A well-developed plan could
ensure the implementation of sustainable
programs on agricultural development towards
poverty reduction.

33. Lastly, it is recommended that a strengthened
partnership and linkage with government and non-
government organizations be forged to help
agriculture cooperatives increase their chances of
securing more permanent income sources for their
members.
Cont.

34. THANK
YOU!