Republic of the Philippines
PAMPANGA STATE UNIVERSITY
(former Don Honorio Ventura State University)
College of Social Sciences and Philosophy
FUNCOOP UNIT II: THE RURAL
DEVELOPMENT OF COOPERATIVES Related to the countryside or
village life.
VOCABULARY WORDS!
MUTUAL A. ORIGIN OF COOPERATIVES AND
Shared by two or more people. PERSONALITIES INVOLVED
AID The cooperative movement
Help or support given to someone began in the 18th century.
in need. It was a response to poverty,
unfair trade, and industrial
BENEFIT exploitation.
A good or helpful result.
1. COOPERATIVE MOVEMENT
MUTUAL AID TIMELINE
Helping one another for shared
benefit. (Farmers sharing • 1771–1858: Wales
equipment through a (Robert Owen, “Father of
cooperative.) Cooperation” who promoted
model communities and social
MUTUAL BENEFIT reform.)
When all members gain from an
association. (Cooperatives • 1786–1865: England
providing affordable rice.) (William King, known as the
“Doctor of Cooperation,”
PRINCIPLES spread cooperative ideas
Basic rules, truths, or moral through The Co-operator
beliefs that guide actions. newspaper and established
the first cooperative store in
CREDIT Brighton.)
Borrowed money or goods that
you pay back later. • 1844: England
(The Rochdale Equitable
UNION Pioneers Society, founded in
A group formed by joining people 1844 by 28 weavers and
or organizations together. artisans, established the
Rochdale Principles, which
URBAN were drafted by Charles
Related to cities or city life. Howarth.)
BACOLOR (MAIN) • MEXICO • PORAC • STO. TOMAS • LUBAO • CANDABA • APALIT • SAN FERNANDO
Office Address | 1st Floor CSSP Building, Cabambangan, Villa de Bacolor 2001, Pampanga, Philippines
Email Address | cssp@[Link] • Telephone | (045) 458 0021 • Website | [Link]
Republic of the Philippines
PAMPANGA STATE UNIVERSITY
(former Don Honorio Ventura State University)
College of Social Sciences and Philosophy
• 1818–1888: Germany c. Limited capital return
(Friedrich Wilhelm Raiffeisen, - Small interest in shares
organized rural credit unions only.
and introduced Raiffeisen d. Patronage refund
Principles.) - Profits shared based on
members’ purchases.
• 1895 e. Cash trading
(International Cooperative - No credit, only cash to
Alliance “ICA” was established avoid debts.
to unite cooperatives f. Education
worldwide, which adopted and - Teach members about
refined cooperative cooperatives.
principles.) g. Neutrality
- Open to all, no
B. MODERN COOPERATIVE discrimination.
MOVEMENT
2. GERMANY (RAIFFEISEN
1. GREAT BRITAIN PRINCIPLES)
• Birthplace of cooperatives. • These principles were
developed to help rural
• Expanded beyond England to farmers.
Scotland, Wales, and Ireland.
(Cooperatives became key • Rural credit, self-help,
players in retail, agriculture, solidarity.
and housing.)
Principles:
1844: ENGLAND (ROCHDALE a. Self-help
PRINCIPLES) - People work together
to solve common
• Considered the first successful problems.
modern cooperative. b. Self-responsibility
- Members take
• Consumer-focused, fair trade, responsibility for their
refunds. cooperatives.
c. Democracy
Principles: - One member, one vote.
a. Open membership d. Limited capital return
- Anyone can join. - Focus on service, not
b. Democratic control profit.
- One member, one vote. e. Surplus for members
BACOLOR (MAIN) • MEXICO • PORAC • STO. TOMAS • LUBAO • CANDABA • APALIT • SAN FERNANDO
Office Address | 1st Floor CSSP Building, Cabambangan, Villa de Bacolor 2001, Pampanga, Philippines
Email Address | cssp@[Link] • Telephone | (045) 458 0021 • Website | [Link]
Republic of the Philippines
PAMPANGA STATE UNIVERSITY
(former Don Honorio Ventura State University)
College of Social Sciences and Philosophy
- Earnings go back to -Cooperatives are self-
members or to improve governing, free from
the coop. outside control.
f. Solidarity e. Education, Training, and
- Members support one Information
another. - Teach members and
g. Education the public about
- Train members in cooperatives.
cooperative values. f. Cooperation among
h. Neutrality Cooperatives
- Open to all, no - Coops work together to
discrimination. strengthen the
movement.
3. ADOPTED BY THE g. Concern for Community
INTERNATIONAL COOPERATIVE - Coops support the
ALLIANCE, LAST REVISED IN sustainable
1995 (MODERN ICA PRINCIPLES) development of their
communities.
• These principles are the global
standard today updated for ESSENCE AND RELEVANCE TO THE
the modern world, combining PHILIPPINES!
the best of Rochdale
(England) and Raiffeisen (The principles from Great Britain,
(Germany) England, and Germany shaped the
Philippine cooperative movement.)
Principles:
a. Voluntary and Open THEY PROMOTE:
Membership (FA ME SHAP VA)
- Anyone can join, no 1. Fairness
discrimination. 2. Member Empowerment
b. Democratic Member 3. Shared Progress
Control 4. Values
- One member, one vote.
c. Member Economic (All of these principles remain
Participation relevant today for economic
- Members contribute resilience and social unity.)
fairly and share in
benefits.
d. Autonomy and
Independence
PREPARED BY: MA’AM LAI
BACOLOR (MAIN) • MEXICO • PORAC • STO. TOMAS • LUBAO • CANDABA • APALIT • SAN FERNANDO
Office Address | 1st Floor CSSP Building, Cabambangan, Villa de Bacolor 2001, Pampanga, Philippines
Email Address | cssp@[Link] • Telephone | (045) 458 0021 • Website | [Link]