BIBLIOGRAPHY TOPE, FERLIN N. APRIL ...
BIBLIOGRAPHY
TOPE, FERLIN N. APRIL 2011. Perception of Farmer Members of Benguet Traders
Multipurpose Cooperative in Establishing a Farm Supply Cooperative Store. Benguet State
University, La Trinidad, Benguet
Adviser: Jovita M. Sim, MSc.
ABSTRACT
The study was conducted to determine the perception of Benguet Traders Multipurpose
Cooperative in establishing a farm supply cooperative store. The respondents of the study were
the manager, management staff and the members of the cooperative. A total of one hundred
served as respondents.
Results showed that farming is the main source of livelihood by the respondents and the
income was very low. Most of the respondents availed loan and agricultural loan was the most
availed service of the cooperative by the member respondents. The loan availed by the member
respondents were used to purchase farm inputs and other materials needed in agricultural
production.
The respondents perceived that a farm supply cooperative store is a farm inputs similar
with a private farm supply store, but members of the cooperative could purchase on credit terms,
price is lower, and patronage refund is received at the end of the year the farmers patronized the
store.
The major advantage and benefits that members could derived from a farm supply
cooperative store are; price of inputs is cheaper, patronage refund if members will purchase from
the cooperative store and can purchase farm supplies in credit terms. Majority of the respondents
were in favor of establishing a farm cooperative store at Benguet Traders Multipurpose
Cooperative and the needs of the members that could be supplied by the cooperative are
fertilizers, pesticides, feeds and other farm inputs. However, it is recommended that the Benguet
Traders Multipurpose Cooperative should conduct a survey to all the members and determine if
majority of the members are in favor of the farm supply cooperative store. The cooperative
should also determine the feasibility or profitability of putting up the store.
TABLE OF CONTENTS
Page
Title Page………………………………………………………………………
i
Abstract …………………………………………..............................................
i
Table of Contents ………………………………………………………………
iii
INTRODUCTION………………………………………………………………
1
Rationale………………………………………………………………….
1
Importance of the Study………………………………………………….
2
Statement of the Problem………………………………………………...
2
Objectives of the Study…………………………………………………...
2
Scope and Delimitation of the Study…………………………………….
3
REVIEW OF LITERATURE …………………………………………………..
4
Cooperativisim Defined ……….…………………………………………
4
Farm Supply Cooperative Defined ………………………………………
4
Why Farmers Form Cooperative …...……………………………………
5
Perception …………………..……………………………………………
6
Benefits of Farm Supply Cooperative …………………………………...
6
Purpose of Cooperative ………………………………………………….
7
Practices that can Contribute to
Cooperative Success……………………………………………………...
7
Definition of Terms ...................................................................................
8
METHODOLOGY ……………………………………………………………..
10
Locale and Time of Study..........................................................................
10
Respondents of the Study..........................................................................
10
Collection of Data ………..........................................................................
10
Data Gathered…….....................................................................................
10
Data Analysis..............................................................................................
10
RESULTS AND DISCUSSION………………………………………………..
11
Profile of Respondents ………………………………………………….
11
Source of Income and Income
per Month……………………………………………………..…………
12
Availment of Loan and Purpose
of Availing Loans……………………………………………………….
14
Inclusion of Farm Materials on the Loan
Availed from the Cooperative
and Reasons for Inclusion……………………………………………….
16
Perception of a Farm Supply
Cooperative Store ………………………………………………………
17
Perceived Benefits and Advantage of a
Farm Supply Cooperative Store…………………………………...........
18
Perceived Needs that could be Supplied
by a Farm Supply Cooperative
Store …………………………………………………………………….
18
Acceptability of Respondents on the
Establishment of a Farm Supply
Cooperative Store at Benguet
Traders Multipurpose
Cooperative……………………………………………………………..
19
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS……………….
21
Summary ………………………………………………………………..
21
Conclusions ……………………………………………………………..
22
Recommendations ………………………………………………………
23
LITERATURE CITED………………………………………………………….
24
APPENDIX ……………………………………………………………………..
25
A. Letter to the Respondent.......................................................................
25
B. Survey Questionnaire.............................................................................
26
INTRODUCTION
Rationale
Farmer’s play very important role in the Philippine economy, they are providing
agricultural products for consumption and used as a raw materials for processing and
manufacturing companies. However, most farmers belong to the poorest category and
few are rich.
Most of the people in Benguet are engage in farming and requires huge amount
of capital for farm inputs, thus farming is very costly. In relation to this, establishing
farm supply cooperative may help small farmers to reduce high cost of inputs for the
farm.
The Benguet Traders Multipurpose Cooperative (BTMPC) was before a branch of
Benguet Rural Peoples Multipurpose Cooperative in the year 2004 until BTMPC was
registered on February 13, 2009 with the Cooperative Development Authority (CDA) in
accordance with the cooperative Code; because BTMPC generates more income than the
Benguet Rural Multipurpose Cooperative they decided that BTMPC stands as one
cooperative. The theme of BTMPC according to the founder and at the same time
manager is “We help ourselves and help others; we help others to help ourselves”. The
operation offered are savings and deposits, time deposits, packing materials, trucking,
mutual benefits funds (MBF), calamity fund, vegetables marketing program and the
newly added services of to be cooperatives the Co-op Members Livelihood Partnership
Program (CMLPP) created to extend the services to farmers to avail loans. Most of the
farmers avail loans for purchase of farm inputs. Thus, the idea of establishing a farm
supply cooperative store manage and own by the members, so they can avail lower price
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
2
of inputs and at the same time the cooperative will generate income and members also
will have patronage refund and some benefits.
Importance of the Study
The findings and information derived from the study could serve as a basis for the
BTMPC in their plans of establishing farm supply cooperative store in the future. It may
also serve as a guide for other cooperatives in the community or other areas in decision of
putting up a farm supply store whether cooperative or privately managed.
Furthermore, it would serve as a guide in any organization that has plan to
engage in farm supply business.
Statement of the Problem
1. What are the perceptions of farmers’ members for BTMPC in establishing a
farm supply cooperative store?
2. What are the perceived benefits of farmers from the BTMPC farm supply store?
3. What are the farm inputs needed by the farmers that could be supplied by farm
supply cooperative store?
Objectives of the Study
1. Determine the perception of farmers in establishing a farm supply
cooperative store;
2. Determine the perceived benefits of farmers in a farm supply cooperative
store
3. Determine the farm input needed by the farmers that could be supplied by the
farm supply store.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
3
Scope and Delimitations of the Study
This study focused on the perception of farmers for BTMPC in establishing
farm supply cooperative store.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
4
REVIEW OF LITERATURE
Cooperativism Defined
The word cooperative is derived from the French word “cooperari”. The word
“co” means combine with”operari”(to work from syos, operas, work). Cooperative
delineates the concepts of working together as (Garcia and Guanzon, 2004).
Furthermore, Garcia and Guanzon (2004), defined cooperative as a form of
business that is useful and helpful to people regardless of where they live, or how they
earn their living.
Cooperative is a form of business ownership that consist of a group of people
who have joined together to perform a business function more efficiently. While
cooperative can be found in many different areas of the economy, they are the most
commonly found in the agriculture area. A group of farmers may band together to allow
themselves to be more competitive and to achieve more economic power.
Farm Supply Cooperative Defined
Farm supply cooperative store is aggregate purchases, storage and distribution of
farm inputs for their members by taking advantage of volume discount and utilize other
economies of scale. Supply cooperative bring down the cost of the inputs that the
members purchases from the cooperative compared with direct purchases from
commercial supplies. Supply cooperative provide inputs required for agricultural
production including seeds, fertilizers, chemicals, farm machinery and other materials
needed in the farm (Staatz, 1987).
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
5
Why Farmers Form Cooperative
Cooperative as a form of business organization are distinct from the more
common Investor-Owned Firms (IOFs) or simply the private organization engage in
farm supply stores. Both are organized as corporations but IOFs pursue profit
maximization objectives, whereas cooperative strive to maximize the benefits they
generate for their members.
Furthermore, cooperatives are therefore created in situations where farmers
cannot obtain essential service from IOFs or private organization or the IOFs provide the
services at disadvantage term to the farmers. A cooperative help a large number of small
farmers, act as a large entity in the market and it has significant advantage: typical
example are farm supply cooperative, marketing cooperative and credit cooperative. A
family may be too small to justify the purchase of fertilizers, pesticide and other input
materials to be use in the farm; thus a farm supply cooperative store is cooperative that
purchases the necessary inputs for the joint of all its members as needed. A small farm
does not always have the means of transportation necessary for delivering its produce to
the markets, or else the small volume of its production may put it in unfavorable
negotiating position with respect to wholesalers; A cooperative will act as an integrator,
collecting the output of its members and delivering it in large aggregated quantities
downstream through the marketing channels. A small farmer may be charged relatively
high interval rates by commercial banks, which are transaction cost on small loans or
may refused credit altogether due to lack of collateral; A farmer credit cooperative will be
able to raise loans funds at advantageous rates from commercial banks (Cobia, 1989).
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
6
Perceptions
According to psychology and cognitive science, perceptions is the process of
acquiring interpreting, selecting and organizing sensory information
Agustin (2007), stated that one’s perception is or certain thing that determines the
overt behavior exhibited under a given condition. Perception is a process of becoming
aware of objects, qualities, relation or problems by way of the sense organ which is
closely related to actions and individual’s perception affects his behavior and how he
perceives situations.
Benefits of Farm Supply Cooperative
Farm supply cooperative can benefits their members and other in many ways:
(Mathew and Preston, 1978).
a. Ownership and democratic control- cooperative enable farmers to own and
control on a democratic control basis they voluntarily organized to help rather than rely
on the government.
b. Distributing to farmers any net saving made in the overall operation of farm
supply cooperative.
c. It can operate more efficiently at lower per unit than those farmers who avail
from the private suppliers or commercialize farm supply.
d. A basis objectives are to serve their members needs. They do this by
providing services not available to the farmers especially farm materials.
e. Suitable for small farmers.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
7
Purpose of Cooperative
a. To encourage thrift and saving mobilization among members
b. To generate funds and extend credit to the members for production and
provident purpose
c. To encourage systematic production and marketing among members
d. To provide goods and services and other requirements to members
e. To develop expertise and skills among members
f. To acquire lands and provide housing benefits for members
g. To insure against losses of members
h. To promote and advance the economic, social educational status of members
i. To establish, own lease or operate cooperative banks, cooperative wholesalers
and retail complexes insurance and agricultural/ industrial processing enterprise and
public market
j. To coordinate and facilitate the activities of cooperative; and
k. To undertake any and all other activities for the effective and efficient
implementation of provisions of the Code (CUBC, 2003).
Practices that can Contribute to Cooperative Success
Fajardo and Abella (1990) mentioned that several factors that have been
contributing to the success of cooperative in the past. The following factors were taken
from the survey of successful cooperatives in the country:
1. Continuous training and education of officers, members and employees;
2. Appropriate and adequate organizational structures to cope with the varying
and increasing needs and problems of the cooperative members and the community;
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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3. Progressive and people-oriented on loan savings, education management and
community leaders;
4. Presence of effective, honest and dedicated cooperative and community
leaders;
5. Active involvement and participation of officers and members in the affairs of
their cooperative and the community;
6. Trust and confidence in the cooperative stores;
7. Dependence of self-help process in achieving their programs and projects;
8. Wise election of cooperative officers;
9. Spirit of cooperation and camaraderie prevails among the officers, members
and employees of the cooperative;
10. Efficient service for the promotion of social and economic advancement of
cooperative members, good public relation, and;
11. Availability of competent and honest managers.
Definitions of Terms
Farmers – a person whose major livelihood is farming or one who is engage in
agricultural production.
Farm supply cooperative – provides inputs required for agricultural production
including seeds, fertilizers, chemicals and other materials needed in the farm at lower
price.
Farm/Farming- act of producing crops or livestock or production of any
agricultural production
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
9
Patronage Refund- is derived from the Latin word “patronus” which means a
regular customer and it distributed to members in proportion to their patronage to the
services of the cooperative.
Perception- is becoming aware of objects, qualities, relations or problems by way
of the sense organ that is closely related to the actions; or the process by which we
observed and find meaning in the object, events and people around us.
Cooperative Development Authority - is the agency in charge in regulation and
registration of the cooperative.
Marketing Cooperative – is one which engages in the supply of inputs to members
and market their products.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
10
METHODOLOGY
Locale and Time of the Study
The study was conducted at Benguet Traders Multipurpose Cooperative, Km.5
Pico La Trinidad, Benguet on November to December 2010.
Respondents of the Study
The respondents of the study were the manager, management staff and 100 of the
farmer members of the Benguet Traders Multipurpose Cooperative. Respondents were
selected randomly.
Collection of the Data
Survey questionnaires were used in gathering necessary data. A personal
interview was done to validate responses of the respondents.
Data Gathered
The data gathered includes the perception of farmers in establishing farm supply
cooperative store by Benguet Traders Multipurpose Cooperative and farms inputs needed
by the farmers to be supplied by the farm supply store.
Data Analysis
Data gathered were tabulated, analyzed using frequency analysis, descriptive
analysis and other appropriate statistical tools.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
11
RESULTS AND DISCUSSION
Profile of the Respondents
Table 1 presents the profile of the respondents as to their civil status, sex, age,
educational attainment and position in the cooperative.
Civil status. More than half (51%) of the respondents were married, 36% were
widow and only 13% were single. Result shows that majority of the respondents were
married and widow and have a family to support.
Sex. Majority (73%) of the respondents were male and only 27% were female.
This implies that majority of the members were male and it is because the cooperative
had extended services to farmers providing loans for production of vegetable, palay and
other crops were most of the persons involved in this activities were male.
Age. Most of the respondents (36%) were aged 30 - 39 years old and 29% were
aged 29 years and below, followed by 21% whose age ranged from 40 - 49 years old.
Nine percent of the respondents were aged 50 - 59 years old and only 3% were 60 and
older and 2% of the respondent did not comment or answer. This shows that respondents
were on the middle aged.
Educational attainment. The respondents had attended formal education as shown
in Table 1. Most (38%) of the respondents had reached the secondary level, 23% had
reached college, 21% had reached elementary level, 8% had finished a vocational course
and there were 5 (5%) who had post college education. Five percent of the respondent
did not comment/answer.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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Table 1. Profile of the respondents
PARTICULAR
FREQUENCY
PERCENTAGE
Civil status
Married
51
51
Single
13
13
Widow
36
36
TOTAL
100
100
Sex
Male
73
73
Female
27
27
TOTAL
100
100
Age
29 years old and below
29
29
30 – 39 years old
36
36
40 – 49 years old
21
21
50 – 59 years old
9
9
60 years and above
3
3
Educational attainment
Elementary
21
21
Secondary/high school
38
38
College
23
23
Vocational
8
8
Post college
5
5
Position in the cooperative*
Coordinator
5
5
Management staff
6
6
Officer
2
2
Driver
1
1
Member
90
90
*Multiple response
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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Position in the cooperative. Majority (90%) of the respondents were members of
the cooperative, 6 were management staff but some of these staff were also member of
the cooperative, 2 of the respondents were officers of the cooperative and 5 were
coordinators of the cooperative.
Source of Income and Income per Month
Source of income. Majority (90%) of the respondents were into farming as major
source of income, 15% were employed and major source of income is salary from
employment but were still engaged in small scale farming, while 7% were in non-farm or
off farm business such as trading or vegetable marketing. This is so because the Benguet
Traders Multipurpose Cooperative is not only catering to farmers but most especially the
traders.
Household income per month. Since majority of the respondents were into
farming, their income per season varies, and it would depend on the existing or current
price of vegetables in the market and area cultivated. Majority (57%) of the respondents
have an income ranging from 5,001 to 10,000 pesos per month, 20% have an income
ranging from 10,001 to 15,000 per month, 11% have an income ranging from 3,001 to
5,000 per month, 7% have an income ranging from 15,001 to 20,000, 3% have an income
of 20,001 and more and only 2% have an income of less than 3,000 to 3,000 pesos per
month. Result shows that income of the respondents was low by most of the respondents.
This is so because in farming income is not stable, it depends on the season of the crop
and the current price of vegetables in the market.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
14
Table 2. Source of income and income per month of the respondents
PARTICULAR
FREQUENCY
PERCENTAGE
Source of income*
Farming
90
90
Non-farm/off farm business
7
7
Salary from employment
15
15
Household income per month (pesos)
3,000 and below
2
2
3,001 – 5,000
11
11
5,001 – 10,000
57
57
10,001 – 15,000
20
20
15,001 – 20,000
7
7
20,001 and above
3
3
TOTAL
100
100
*Multiple response
Availment of Loan and Purpose of Availing Loans
Though loan/credit is one of the services provided by the cooperative not all the
respondents have availed of the loan. Seven percent of the respondents have not availed
of the loan service by the cooperative but still majority (93%) of the respondents have
availed of the loan (Table 3).
The major purpose of the respondents in loaning is agricultural production (Table
4). Majority (88%) of those respondents who availed of loan have used for vegetable
production, 2% have used for palay production and 2% have used for the payment of
hired labor for production. Aside from the crop production other respondents have used
the loan for purchase of food (26%). house repair (5%), health or hospitalization
purposes (2%), for additional business such as hog raising (5%) and education of child
(1%).
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
15
Table 3. Availment of loan
AVAILMENT OF LOAN
FREQUENCY
PERCENTAGE
Availed loan
93
93
Did not avail loan
7
7
TOTAL
100
100
Table 4. Purpose of availing loan
PURPOSE
FREQUENCY
PERCENTAGE
Vegetable production
88
88
Food
26
26
House repair
5
5
For additional business like hog raising
5
5
Palay production
3
3
Health/hospitalization
2
2
Payment of hired labor/workers
2
2
Educational purposes
1
1
*Multiple response
Result shows that agricultural loan is the most availed by the respondents.
Agricultural loans were for procurement of farm inputs, improvement of farm, marketing
of farm products and other materials for agricultural production. Majority of the
respondents were farmers, thus most of them have availed agricultural loan.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
16
Inclusion of Farm Materials on the Loan Availed
from the Cooperative and Reasons
for Inclusion
Majority (91%) of the respondents have included farm materials or inputs in the
loan availed as this is really the purpose for applying the loan (Table 5). On the other
hand, 2% of the respondents did not include farm materials or inputs in the loan availed.
These maybe are the respondents who have used the loan for other purpose such as house
repair, for food and for health/hospitalization as shown in Table 4.
Reasons of the respondents in including farm materials on the loan availed is that
the farmers do not have savings or capital for farm inputs needed in production and farm
inputs are too expensive. Thus, this result validates the data in Table 4 that the majority
loaned from the cooperative were used for vegetable production.
Table 5. Inclusion of farm materials on the loan availed from the cooperative by the
respondents and reasons of respondents for including farm materials on the
loan availed
PARTICULAR
FREQUENCY PERCENTAGE
Include farm materials/inputs on the loan availed
91
91
Did not include farm materials on loan availed
2
2
Reasons for inclusion of farm materials*
No capital for the inputs needed in the farm
68
68
Farm inputs are too expensive
66
66
*Multiple response
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
17
Perception of a Farm Supply Cooperative Store
Majority (84%) of the respondents perceived that a farm supply cooperative store
is a supplier or store of farm inputs offering a lower price. Seventy percent perceived that
it is a farm supply store where cooperative members can purchase in credit terms. Sixty
three percent perceived that a farm supply store is managed by a cooperative. Fifty nine
percent perceived that it is a farm supply store accessible to the farmers especially the
members, another fifty nine percent perceived that a farm supply cooperative store is a
farm supply store that when your purchase you get patronage refund at the end of the
year. Only 22% just mentioned that it is the same as private or commercial farm supply
store (Table 6).
Table 6. Respondent’s perception of a farm supply cooperative store
PARTICULAR
FREQUENCY
PERCENTAGE
Supplier or store of farm inputs at lower price
84
84
A farm supply store where coop members can
70
70
purchase in credit terms
Farm supply store managed by a cooperative
63
63
A store more accessible to the farmers especially
59
59
members
A farm supply store that when you purchase you
59
59
get patronage refund at the end of the year
The same as private/commercial farm supply
22
22
store
*Multiple response
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
18
Perceived Benefits and Advantage of a Farm
Supply Cooperative Store
The respondents believed that that they will be benefit from a farm supply
cooperative. The respondents perceived that the major advantage and benefit they can
derived from a farm supply cooperative store is that the price of farm inputs is lower or
discounted price (81%), they can avail/purchase on credit (75%) and will have patronage
refund (68%) at the end of the year when they purchase from the store (Table 7). On the
part of the cooperative, the respondents mentioned that the cooperative will generate
more or additional income from the farm supply cooperative store (56%).
Thus, the result shows that both the member and the cooperative will benefit from
the farm supply cooperative store. The cooperative could help the members with savings
from providing farm inputs at a lower cost and at the same earned profit from the farm
inputs sold to farmers. The establishment of a farm supply cooperative will also create
employment to members of the cooperative.
Perceived Needs that could be Supplied by a Farm
Supply Cooperative Store
Majority (90%) of the respondents mentioned that major needs that could be
supplied by the cooperative is fertilizer, followed by pesticides (83%), packaging
materials such as baskets, sacks, crates and plastic bags (66%) and farm tools and
equipments (66%) and other agricultural needs such as feeds for hog raising (5%). These
are the farm inputs needed by the farmers (Table 8).
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
19
Table 7. Respondent’s perceived benefits and advantage of a farm supply cooperative
store
PARTICULAR
FREQUENCY PERCENTAGE
Lower price of farm inputs/discounted price
81
81
Can avail/purchase on credit
75
75
Patronage refund
68
68
Farm supply cooperative store generate more
56
56
income
Entertained well than the private farm supply store
2
2
Accommodates members easily
2
2
*Multiple response
Table 8. Perceived needs that could be supplied by a farm supply cooperative store
PARTICULAR
FREQUENCY PERCENTAGE
Fertilizer
90
90
Pesticides
83
83
Packaging materials (sacks, plastic, bags,
66
66
baskets)
Farm tools and equipments
66
66
Animal feeds especially for swine
5
5
*Multiply response
Acceptability of Respondents on the Establishment
of a Farm Supply Cooperative Store at Benguet
Traders Multipurpose Cooperative
Though majority of the respondents were aware of the benefit from a farm supply
stored if it will be established in a cooperative still not all the respondents are favorable
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
20
Table 9. Acceptability of respondents on the establishment of a farm supply cooperative
store at Benguet Traders Multipurpose Cooperative
PARTICULAR
FREQUENCY
PERCENTAGE
In favor
61
61
Not in favor
17
17
Neutral
22
22
TOTAL
100
100
of putting up a farm supply store by the Benguet Traders Multipurpose Cooperative.
Majority (61%) of the respondents were in favor of establishing a farm supply
cooperative store of the Benguet Trader Multipurpose cooperative. The store could
provide them of their farm needs in credit terms and at the same get a patronage refund
when they purchase from the store. On the other hand, there were seventeen respondents
who were not in favor of a farm supply store under the Benguet Traders Multipurpose
Cooperative, anyway the farmers can avail of agricultural loan to purchase farm inputs.
Other respondents (22%) did not comment/ answer. Some of the respondents were not
into farming but are into trading that is why they did not comment or answer.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
21
SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
Summary
The study was conducted mainly to determine the perception of Benguet Traders
Multipurpose Cooperative in establishing a farm supply cooperative store.
The respondents of this study were the manager, management staff and members
of the cooperative. A total of 100 served as respondents. Survey was conducted to gather
needed information and interview was done during the collection of questionnaire to
validate data.
Majority of the respondents were married, males and middle aged. Majority of the
respondents had attended formal education. Majority of the member respondents were
farmers, thus major source of income is farming. Majority of the respondents have
availed loan from the cooperative and loan was used for vegetable production. Other
purpose of availing loan by the respondents includes for purchase of food,
health/hospitalization, house repair, payment of hired workers and for palay production.
Majority of the respondents included farm materials and inputs in the loan availed as this
is really the purpose of applying loan.
Majority of the respondents perceived that a farm supply cooperative store is
supplier or store of farm inputs offering a lower price, members can purchase farm
supplies on credit terms, it is a farm supply managed by a cooperative, a farm supply
store accessible to farmers, a store that when members patronize, a patronage refund is
received at the end of the year and some mentioned, it is the same as a private farm
supply store.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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The perceived benefits and advantage of a farm supply cooperative store includes:
lower price of farm inputs, can purchase on credit terms, patronage refund and on the part
of the cooperative, it is an additional source of income. The perceived needs of the
members that the cooperative store can supply includes: fertilizers, pesticides, packaging
materials farm tools and equipments and feeds for swine.
Majority of the respondents were in favor of establishing a farm supply
cooperative store at the Benguet Trader Multipurpose cooperative. The store could
provide them of their farm needs in credit terms and get a patronage. Some were not in
favor of a farm supply store under the Benguet Traders Multipurpose Cooperative,
because the cooperative is already providing agricultural loan to farmer member.
Conclusions
Based from the result the following conclusions were drawn:
1. Farming is the major source of livelihood by of the respondents and income
was very low.
2. Agricultural loan is the most service availed by the member respondents.
3. The loan availed by the members respondents were used to purchase farm
inputs and other materials needed in agricultural production.
4. The member respondents perceived that a farm supply cooperative store is a
supplier of farm inputs similar with a private farm supply store, but members of the
cooperative could purchase in credit terms, price is lower, and patronage refund is
received at the end of the year if the store is patronized.
5. The major advantage and benefits that members could derive from a farm
supply cooperative store are; price of farm inputs is cheaper, patronage refund if
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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members will purchase from the cooperative store and can purchase farm supplies in
credit terms.
6. Majority of the respondents were in favor of establishing a farm supply
cooperative store at the Benguet Traders Multipurpose Cooperative.
7. The needs of the members that could be supplied by the cooperative are:
fertilizers, pesticides, feeds and other farm inputs.
8. The farm supply store will be beneficial to them as farmers because it will
supply them with farm inputs and materials used in their vegetable production activities.
Recommendations
From the conclusion, it is recommended that the Benguet Traders Multipurpose
Cooperative should conduct a survey to all the members and determine if majority among
the members are in favor of the establishment of a farm supply cooperative store. This
could be their basis in making decisions of putting up a farm supply store. The
cooperative should also determine the feasibility or profitability of putting up the store.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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LITERATURE CITED
AGUSTIN, F. B. 2007. Practices and perceptions of the members- borrowers of Bad
-ayan Buguias Development Multipurpose Cooperative towards loan
borrowing and repayment. BS Thesis. Benguet State University, La
Trinidad Benguet. P. 6
COBIA, D. 1989. Agricultural Cooperative. Retrieved July 11, 2010 from http://
en.wikipedia.org./wiki
COOPERATIVE UNION of BAGUIO CITY (CUBC), 2003. “Basic Cooperative
Governance; The Role of BOD, Conciliation. Mediation and Ethics
Committee” Pp. 2-3.
FAJARDO, F.R. and F.D. ABELLA. 1990. Cooperatives. Rex Printing Company
Inc. Quezon City, Philippines, P. 129
GARCIA, G. Y. and M. H. GUANZON. 2004. Cooperative. Publishing House,
Espana, Manila. P. 153
MATTHEW, W. and H. PRESTON. 1978. Cooperative Benefits and Limitations.
Retrieved July 15, 2010, from www.ag.ndsu.nodak
STAATZ, J. M. 1987. Farm Supply Cooperative. Retrieved July 13, 2010 from http://
www.choro.com/form
WORLD BOOK ENCYCLOPEDIA, 2004. Cooperative. World Book, Inc. A Scott
Fetzer Co. Chicago USA. P. 29.
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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APPENDIX A
Letters to the Respondents
DEPARTMENT OF AGRICULTURAL ECONOMICS AND
AGRIBUSINESS MANAGEMENT
Benguet state University
La Trinidad Benguet
December, 2010
Sir/Madam,
I am Ferlin N. Tope, a fourth year BS Agribusiness student major in Cooperative
Management of Benguet State University. I am presently conducting a research titled
“Perception of Farmers in Establishing Cooperative Farm Supply store in Benguet
Traders Multipurpose Cooperative” as partial requirements for my course.
In this connection, may I request a portion of your precious time to answer
attached questionnaire and please give your honest answers. Rest assured that all
information that you will provide will be treated with utmost confidentiality.
Thank you very much for sharing me a part of your most precious time. God
Bless!
Sincerely yours,
FERLIN N. TOPE
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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APPENDIX B
Survey Questionnaire
I. General Information
1. Name:______________________________________________ (Optional)
2. Name of Cooperative:____________________________
3. Civil Status:_________________________________________
4. Sex:_________________________
Note: Please put a check mark (/) on the space provided for your best corresponding
answer.
5. Age:
60 years old and above ____________
50 to 59 years old _________________
40 to 49 years old _________________
30 to 39 years old _________________
29 years old and below_____________
6. Educational attainment
Elementary ____________
High school ____________
College ______________
Post College __________
Vocational ____________
Others, please specify, ____________
7. Position in the Cooperative
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
27
Coordinators _______________________
Management staff __________________
Officers’ _____________________________
Members’ ____________________________
Others, please specify, __________________
8. Source of Income
Farming ____________
Non- farm business ___________
Salary from employment __________
Others, please specify ________________
9. Household Income per Month __________________________
Question to be answered (please answer all the questions)
1. Are you availing loans in the cooperative?
_____yes ______no
( if your answer is yes, answer the following questions)
2. What is your purpose in availing loan?
Palay production ___________
Food ____________________
Health/ hospitalization ___________
House Repair ___________________
Payment for Hired workers ________
Vegetable Production _____________
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
28
Others, specify ____________________________________
Note: if your answer is vegetable production are you including the farm materials
expenses from you availed loans?
_____ yes _______ no
If yes, Why?( please check your answer below)
_________Because no capital for the materials inputs needed in the farm
_________The materials needed in the farm is too expensive
_________Others, please specify
3. What is your perception of a farm supply cooperative store?
________Supplier/ store of inputs at a lower price
________ They same as private/commercial farm supply store
_________ Farm supply store managed by a cooperative
_________ A farm supply store where cooperative member can purchase by
credit
__________A farm supply store that is more accessible to the farmers
especially members
__________A farm supply store that when you purchase you get a patronage
refund
__________ Others, Please specify_________________________________
4. What is your perceived benefits and advantage of farm supply cooperative
store?
__________Low price of farm input
__________You can avail credit than the private farm supply cooperative
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
29
Store.
__________ Cooperative generate more income
__________ Patronage refund
_________ Others, Please specify_________________________________
5. What is your perceived need that could be supplied by farm supply
cooperative store?
__________Fertilizers
__________ Pesticide
_________ Sacks, plastic, bags, baskets ( packing materials)
__________ Farm tools
__________ Others, Please specify _____________________
6. Ate you in favor if the Benguet Traders Multipurpose Cooperative will put up
or establish a farm supply cooperative store?
( ) Yes
( ) No
7. If so, why?____________________________________________________
Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
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Perception of Farmer Members of Benguet Traders Multipurpose Cooperative in Establishing
a Farm Supply Cooperative Store. TOPE, FERLIN N. APRIL 2011
Document Outline
- Perception of Farmer Members of Benguet TradersMultipurpose Cooperative in Establishing a Farm Supply Cooperative Store
- BIBLIOGRAPHY
- TABLE OF CONTENTS
- INTRODUCTION
- REVIEW OF LITERATURE
- METHODOLOGY
- RESULTS AND DISCUSSION
- SUMMARY, CONCLUSIONS AND RECOMMENDATIONS
- LITERATURE CITED
- APPENDICES