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Brief History of COOPERATIVE MOVEMENT and COOPERATIVE in the Philippines

RCOC Partner's Credit Cooperative

Industrial Revolution

A period of major industrialization and innovation during the late 1700s and early 1800s

COOPERATIVE MOVEMENT

Industrial Revolution

  • began in earnest in Britain (19th Century)
  • response to industrial revolution and economic transformations that were threatening the livelihoods of many workers

1796

First documented consumer cooperative in Fenwick, East Ayrshire (Fenwicks Weavers’ Society)

1796

1844

First modern Cooperative - 28 weavers of Rochdale started the ‘Rochdale Society’ in London

  • To correct socio economic problem due to low wages
  • Rising cost of living, unemployment & unequal distribution of wealth

1844

Robert Owen (1771 - 1858)

  • Welsh Philanthropist
  • Cooperative theorist and credited with inspiring the Rochdale Pioneers.

1862

First Credit Union in Germany

Friedrich Wilhelm Raiffeisen

(1818 - 1888)

1862

  • A leading figure in the development of financial cooperatives, both in Europe and around the world
  • Inspired many pioneers who set up banks or credit unions at the beginning of the 20th century.
  • Created the first credit union in 1862 and went on to inspire many others across the world.

1887

Father Jacques Mellaerts (catholic priest) decided to organize the farmers in his village Heist-Goor in Belgium called "Farmer's Guild"

He noticed that his farmer parishioners were:

  • cheated by buyers and sellers
  • had no insurance to cover losses
  • had no source of credit to modernize their work
  • defenseless against disasters

1887

Cooperative in the Philippines

BAYANIHAN

  • One of the early forms of cooperative in the Philippines
  • help is extended without expecting anything in return
  • Famous example is "Lipat-bahay" where a community helps relocate a community member's nipa hut

COOP in the PH

Early Stages (1896 - 1941)

  • Pre-formation/germination of cooperatives by Revolutionary Illustrados
  • U.S. missionaries, teachers and western-educated filipinos introduced agri based coop to the country
  • State-initiated farmer cooperatives

1896

Dr. Jose P. Rizal (1861 - 1896) organized a farmer's marketing cooperative while in excile in Dapitan.

While in Excile in Dapitan, Rizal had his ideas in cooperation partially fulfilled.

  • Put up a school for the poor community on a purely cooperative basis.
  • Established a cooperative store with the help of his pupils.

One noteworthy group organized by Rizal was the La Sociedad de los Abacaleros (Society of Abaca Producers). This functioned for only one year. Rizal returned the members share capital without any loss.

1896

1907 - 1914

Sen. Teodoro Sandico (1860 - 1939)

"Father of Cooperation"of the Philippines

1907 - 1914

During the American Regime, Sen. Teodoro Sandico and Rafael Corpus filed the Rural Credit Law and was approved by the American Commission

Republic Act 2508 or the Rural Credit Law, the “Act Regulating the Creation and Operation of Rural Agricultural Cooperatives Association, and for Other Purposes”

1916

The first consumers' cooperative established in the Philippines is the College Consumers' Cooperative. It was organized on 20 October 1916 by administrators, professors, employees, and campus residents of the University of the Philippines College of Agriculture in Los Baños, Laguna. It was initially named the Agricultural Cooperative Company and started with a paid-up capital of P4,000.

1916

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