Government urged to provide support systems for co-ops

The Philippine Cooperative Center (PCC), an umbrella cooperative organization, is urging government to provide support systems critical to the survival of cooperatives.

"Current efforts are not enough to address the issues of cooperative movements which is why poverty still stalks members of these organizations, especially in the countryside," said PCC chairman and former Agriculture Secretary Senen Bacani.

He noted that cooperatives nationwide are languishing because of policy and market bottlenecks.

For instance, existing cooperatives that want to go into retail lending are required to register anew with the Cooperative Development Authority (CDA).

Bacani said the additional fees required to register for expanding functions such as lending are too prohibitive for most small and medium-sized co-operatives. Because of this, a large number of cooperatives remain unviable, he said, adding that there is a need to further strengthen co-op education and training through co-op federations, councils and unions, NGO training centers, state colleges and universities.

PCC which will lead the 8th National Cooperative Summit from Oct. 4 to 6 this year in Puerto Princesa, Palawan, will present to President Arroyo, a blueprint proposing measures to improve the plight of Philippine cooperatives.

Bacani said that during the summit, the PCC will sign separate memoranda of agreement (MOAs) with the different concerned government agencies and cabinet secretaries that would define programs to address the concerns of cooperatives.

He noted that over the years, co-ops have considerably weakened with globalization and liberalization. Most small, medium and big co-ops like those in the electric, manufacturing, multi-purpose, agricultural and non-agricultural, co-op banking, consumers and trading coops are exposed to strong competition. – Rocel Felix