Assessment of the People’s Organizations in Tiwi, Albay for Cooperative Formation

Prepared and Undertaken by the Ph.D. in Development Management

Dr. Virgilio S. Ludovice, BU College of Medicine

Prof. Gerard M. Protacio, BU College of Education

Mr. Erwin M. Vargas, Chevron PGI

Ms. Hazel Jean Pesino, Partido State Univ.

Ms. Francia D. Octeza – Castilla Development Cooperative

Mr. Kris Bryan T. Baria – Department of Health

Ms. Luisa T. Azul – Sunwest Development Corp.

Ms. Sonnylen Requillas – BU Polangui Campus

Ms. Ma. Mercedes Remon – BU Polangui Campus

Ms. Jocelyn E. Serrano – BU College of Science

Mr. Eduardo Thaddeus Livica – BU College of Nursing

Prof. Nolan G. Belaro – Resource Person – BU CBEM Dept. of Entrepreneurship

Mr. Edgar A. Barrameda – Moderator – BU CBEM Dept. of Entrepreneurship

Mr. Elmer A. Lorenzana – Facilitator – BU CBEM Dept. of Entrepreneurship

Ms. Julie Ann Lustan – Documentor – BU CBEM Dept. of Entrepreneurship

Faculty Adviser: Prof. Myrna M. Lanuzo, Ph.D. Development Management

BU CBEM Dept. of Management

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation1

 Table of Contents

1. Introduction

1.1 Objectives

2. Methods

3. Results and Discussion

3.1 Community Resources and Manpower Capabilities to
Support the Organization of Cooperative

3.3 Readiness of PO’s for Cooperative Formation

3.4 Marketing and Technical Needs of the Enterprises

3.4 Common Needs of the POs

4. Conclusions and Recommendations

4.1 Action Plans

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation2

I. Introduction

Tiwi is a first class municipality in the Province of Albay with 105.76 km2 total land area. It is
rich in forest diversity, known one of the richest fishing grounds in northeastern Philippines, the
first commercial geothermal production in Asia.

The municipality is composed of 25 barangays with total of 50,000 population. The locals are
commonly engaged in fishing, planting rice, corn, root crops, and vegetables. Aside from
agriculture, they also busied themselves weaving cotton and abaca crafts, and in pottery. It has
also several people’s organizations (PO’s) that transform the agricultural resources turned into
products for personal and commercial consumption, and nurture the capacity of the people to be
productive citizens.

With the aim of collaborating some of the existing peoples’ organization in the municipality,
the Alternative Systems for Community Development (ASCODE) provides alternative systems
and approaches for community development through provision of services, people-centered
development programs, and the empowering of marginal households has given birth to Tiwi
Artisans, Social Entrepreneurs and Nature Stewards Organization(Tiwi ASENSO), Inc. in
December of 2013. The organization primarily aims to help the peoples’ organization in their
pursuit for furtherance for promotion of local enterprises in the community for sustainable
development

The 14 Livelihood Organizations in ASENSO are: United Stakeholders Working to Achieve

Growth (USWAG); Tiwi Food Processors Association, Inc. (TFPASI); Tiwi Association of Persons
with Disability, Inc. (TAPDI);Tiwi Indigenous Peoples Community (IPs); Tiwi Cassava Farmers
Association, Inc. (TICFA); Tiwi Small Coconut Farmers Association (SCFA);
KalipunanngLipingPilipina (KALIPI); Corangon Care; SamahansaIka-uunladngKabuhayan,
Kapaligiran at Pagkakaisa (SIKKAP); Putsan Manufacturer Association, Inc. (PCMAI); Bolo
Development Cooperative (BODECO); Rural Improvement Club (RIC); SalvarFamilia and Tiwi
Bamboo & Coco Shell Crafts Manufacturer Association- New. The allied peoples’ organization in
ASENSO are commonly farmers, processors and microentrepreneurs.

The aforementioned PO’s have gained fruitful experiences in managing their organizations
and producing and processing of products for their entrepreneurial initiatives. However, in the
early actions to determine the organizations’ needs the following were cited: a) scale up into
sustainable enterprise, b) equitable resources; c) enhance capacity of the people.

To further the empowerment of the members of the peoples’ organization in ASENSO an

evaluation on the readiness and capabilities of each of the organization to be formed as
cooperative.

Thus, the evaluation shall be vis-à-vis determine the community capabilities to support its
operations and formulate actions to realizing the transformation from being peoples’ organization
to cooperatives.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation3

 Generally, this project aims to guide the 14 people’s organizations in transforming them
to be cooperative organizations. It specifically aims to:

1. Recognize/Define the available community resources and capabilities to support the

formation of the cooperative;
2. Determine the readiness of the peoples’ organization in making them cooperative
organizations;
3. Identify gaps, problems and needs in their enterprise undertakings in terms of:
a. Technical/ production
b. Marketing
4. Identify commonalities in terms of needs of the peoples’ organization
5. Develop action plan for cooperative formation of the peoples’ organization

II. Methods
The use of Focus Group Discussion which is an interactive process of gathering the
participants’ responses on specific topic that is needed to answer the inquiry for a investigation.
It allowed the organization to convene the organizations and learn from the sharing from each
one of them. Out of 14 Peoples’ Organization 8 have attended. On the discussion proper the
newly added PO theTiwi Bamboo & Coco Shell Crafts Manufacturer Association since they are
only starting as an organization.

III. Results and Discussions

A. Community Resources and Capabilities to Support the Formation of the
Cooperative
Land and water sources are essential to a community to sustain life. The labor force would
also assure that needed persons portray their role to maintain the community’s system. With the
necessity of these two sources would contribute to the preparedness of the people’s organization
to operate and withstand the challenges that they need to scale up their actions.

The identification of the resources of the peoples’ organization that would support their
possible scale up of operations would be determined through their area of operation. Following
are the results of the assessment.

A.1 Natural Resources

Four out of 14 peoples organization in ASENSO are operating in a municipal scope. The
resources are enumerated through an aid of illustration of the representatives invited in the
focused group discussions.

Municipality of Tiwi
The municaplity of Tiwi is the area of operation of the TFPASI, TAPDI, SalvarFamilia, and
Corangon Care. In template 1, shows the natural resources in Municapality of Tiwi, It was
identified by the officers of the aforementioned organization during the focused group discussion.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation4

 Template 1: Natural Resources
in Municipality of Tiwi

The municipality is abundant in natural

resources as source of raw materials
in the production activities such as seaweeds
pansit and camote cookies. It has vast rice field. Camote, cassava, abaca, and Karagumoy are
plentiful in their areas. There are barangays in the coastal areas where the main source of living
is fishing. The fishermen are the supplier of the seaweeds in the production of seaweeds pansit.

Barangay Putsan
The PCMAI is operating mainly in barangay Putsan, TiwiAlbay. In template 2, shows the natural
resources available. It was identified by the officer of the PCMAI.

Template 2: Natural Resources

in Barangay Putsan

BarangyPutsan is one of the coastal barangay of Tiwi, It is mountainous area which is the main
source of ceramics soil as main raw materials in pottery production. According to the officer of
the PCMAI, one hectare of that mountainous area was bought by DTI. Other areas are owned by
private individuals. Other natural resources available in the barangay are rice, forest trees, and
sea water creatures.

Barangay Lourdes
TBCI and USWAG people’s organizations is mainly operating in barangay Lourdes, TiwiAlbay. In
template 3, shows the natural resources identified by the officers of TBCI and USWAG.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation5

 Template 3: Natural Resources
in Barangay Lourdes

Barangay Lourdes is rich in spring and sea water. It has water reservoir both in salt and fresh
water. It has famous resorts. It has also coconut, abaca, and bamboo plantation. But these
natural resources are very limited. However, the aforementioned organizations have mentioned
that barangay cannot sustain the supply of the raw materials such as abaca and bamboo for the
production activities. For this, they source out raw materials outside the barangay or municipality
of Tiwi.

Barangay Mayong
SIKKAP is mainly operating in barangay Mayong, TiwiAlbay. In template 3, shows the natural
resources available in the barangay. It was identified by the officer of SIKKAP.

Template 4: Natural Resources

in Barangay Mayong

Barangay Mayong is a costal barangay where some of the residents were relocated in the upland
part of the barangay for the Disater prevention. It is vulnerable to storm surge. It is rich mangrove
trees. However, some of the farmers cut the mangrove in order to expand their rice filed areas.

Ancestral Domain
Tiwi Indigenous People Community is a people’s organization serving their ancestral community.
In template 5, shows the natural resoruces available in ancestral domain. It was identified by
the office of the indigenous people’s organization.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation6

 Template 5: Natural Resources
in Ancestral Domain

The ancestral domain is in upland areas, composed of barangay Joroan, Misibis and Mayongof
TiwiAlbay. Other areas of ancestral domain are in barangay Ipil, Kahubasan, and Iraya of
Camarines Sur. The area is abundant in forest trees, farm and forest animals, and water
resources. Lack of infrastructure facility for transportation of the people and their produced
products is one of the problems in their area.

A.2 Manpower/Labor Force

Table 1.1 Labor Force Status of TFPASI, TAPDI, SalvarFamilia, Corangon Care

Peoples
Organizatio
Labor Sector Place of Work Employer Status
n Area of
Operation
Farmers Municipality Seasonal
Laborers Municipality Permanent/contractual
Permanent/contractual/
Carpenter Municipality
seasonal
Permanent/contractual/
Fishermen Municipality
seasonal
Sewer Municipality Seasonal/ contractual
Tiwi
Weaver Municipality Permanent
Food processor Municipality Seasonal/ permanent
Farm labourer Municipality Seasonal/ permanent
Businessmen Municipality Permanent
Teacher/doctor/
engineer/nurse/ofw Municipality/ Abroad Permanent
/midwife

Table 1.1 shows the labor force of the four peoples’ organization that operates in the
municipal level. During the discussion with the representatives the labor force is composed of

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation7

blue and white collar jobs with employment status which majority belongs to contractual or
seasonal status.

Barangay Putsan

Table 1.2 Labor Force Status of Barangay Putsan

Peoples
Organization
Labor Sector Place of Work Employment Status
Area of
Operation
Pot Makers (Ceramics) Barangay Permanent
Fishermen Municipality (Coastal) Seasonal
Pot Maker
Brgy. Putsan Barangay Contractual
(Traditional)
Artist/ Designer Barangay Contractual
Painters Barangay/ Manila Contractual

Table 1.2presents the labor force in the area of operation. The common sector is the pot
makers and fishermen. The youth in the community are engaged in traditional pottery maker.
Some of the workers as per discussion with the representative were going to Manila. The major
reason why some of the labor of the community are going to Manila is the promising
compensation and benefits given to them and stability of tenure.

Barangay Lourdes

Table 1.3 Labor Force Status of Barangay Lourdes

Peoples
Organization
Labor Sector Place of Work Employment Status
Area of
Operation
Brgy. Lourdes Fishermen Barangay Permanent
Farmers Barangay Permanent
Construction Workers Barangay Contractual
Carpenters Barangay
Teachers Barangay Permanent/ Casual
Weavers Barangay Permanent
Handicraft makers Barangay Permanent
Dressmakers Barangay Seasonal
Painters/ Artist Barangay Contractual
Laborer Barangay Contractual
Furniture maker Barangay Permanent
Businessmen Barangay Permanent
Welder Barangay Contractual
In Table 1.3 provides the labor sectors present in the area of Barangay Lourdes. Upon
discussion of the representative of the peoples’ organization, mostly of the labor force are farmers
and fishermen. The problem that they encounter is that, some of the workers in the community
are moody and there is the need for them to upgrade their skills. The other laborsectors are also

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation8

having problems of the lack of projects in the community which some of them rely on as to their
employment.

Barangay Mayong

Table 1. 4 Labor Force Status of Barangay Mayong

Peoples
Organization
Labor Sector Place of Work Employment Status
Area of
Operation
Brgy. Mayong Gabod Barangay Permanent
Sinamay Barangay Permanent
Teacher Barangay Permanent
Carpenter Barangay Contractual
Mason Barangay Seasonal
Fishermen Barangay Seasonal
Farmers Barangay Seasonal
Parahagot Barangay Seasonal
Table 1.4 presents that the labor force sectors in the Barangay Mayong are working
commonly in the barangay. The majority of the sectors belong to the paragabod. The
representative during the discussion said that the problem is that mostly are earning minimum
income and some have to work to other places for greener pasture. She further said that the out
of school youth are working as parahagot.

Ancestral Domain

Table 1.5 Labor Force Status of Ancestral Domain

Peoples
Organization Area Labor Sector Place of Work Employment Status
of Operation
Ancestral Domain Paragabud Ancestral Domain Permanent
Parahagot Ancestral Domain Permanent
Paralati Ancestral Domain Seasonal
Parahabol Ancestral Domain Permanent
Door to door Ancestral Domain Permanent
Teacher Ancestral Domain Permanent
Carpenter Ancestral Domain Contractual
Fishermen Ancestral Domain Seasonal
Labandera Ancestral Domain Contractual
kasambahay Ancestral Domain Permanent
Businessmen Ancestral Domain Permanent

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation9

 In Table 1.5 the labor sector of the Indigenous People are working within the ancestral
domain which covers the four barangays of Tiwi which are Joroan, Tabgon, Misibis and Mayong.
The majority of the people in the domain are parahgod, parahagot, paralati.

B. Readiness of PO’s for Cooperative Formation

The team who conducted the assessment use a tool to determine the presence of the
indictors to know whether the peoples’ organization in Tiwi ASENSO is prepared to form for
cooperatives.

The peoples’ organizations were invited to a focus group discussion with the aim to give
the data needed for the evaluation process. The PO’s were represented by their key officers. The
discussion focused on determining the following indicators:

1. Purpose of Existence. As a cooperative the purpose of existence of the organization

should focus on the promotion of helping to uplift the social status of the members of
the community.
2. Membership. Enable for a cooperative to be formed it must have 15 persons who have
the common bond and interest.
3. Area of Operation. The area of operation of the probable cooperative should be
defined according to the area of its operation.
4. Members’ Qualifications (Trainings attended by the peoples’ organization). The
qualifications of the members must be relevant or has already undergone cooperative
formation.
5. Business Activities. The business activities of the organization shall determine the
productivity activities of the cooperative which can contribute for the sustainability of
the possible cooperative.
6. Labor Sources. The labor sources that had been identified shall give the idea for the
organization if they can meet the labor requirements that is needed in the
cooperative.
7. Sources of Funds. The fund sources of the organization will determine the capital
build up capacity for the cooperative formation.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation10

 Table 2 Preparedness for Cooperative Formation

INDICATORS FOR COOPERATIVE FORMATION

Members
People’s
Purpose of Area of Qualifications Business Labor Sources of
Organization Membership
Existence Operation (trainings Activities Resources Funds
attended)
TFPASI Help 35 active Municipal Values Production farmers, Tiwi ASENSO,
processors of members formation, (Processed laborers, ASCODE
Tiwi seaweed seaweeds, carpenter,
processing, rootcrops, fishermen,
pansit sardine) sewer,
seaweed weaver, food
processing, processor,
product farm labourer,
development, business man,
fish deboning, teacher and
sardine, other
rootcrop professionals
processing like doctor,
engineer,
nurse, OFW
and midwife

Corangon Care Protection of 31 active Municipal BantayDagat Production/ farmers, Tiwi ASENSO,
coastal areas members Leadership Selling laborers, ASCODE
Training (seaweeds, carpenter,
Law tuna fishermen,
enforcement yellowfin) sewer,
training weaver, food
Tuna fishing processor,
farm labourer,
business man,
teacher and
other

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation11

 professionals
like doctor,
engineer,
nurse, OFW
and midwife
TAPDI Additional 10 members Municipal Leadership Production farmers, BUB Budget
income 5 only active training (scented laborers, ASCODE
Production Project candles) carpenter, Other
proposal fishermen, stakeholders
writing sewer,
Capacity weaver, food
development processor,
farm labourer,
business man,
teacher and
other
professionals
like doctor,
engineer,
nurse, OFW
and midwife
SalvarFamilia Additional 15 active Municipal Rootcrops Production farmers, BUB Budget
income members processing (rootcrops) laborers,
Project carpenter,
proposal fishermen,
sewer,
weaver, food
processor,
farm labourer,
business man,
teacher and
other
professionals
like doctor,
engineer,

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation12

 nurse, OFW
and midwife
PUTSAN Established 25 families Barangay Marketing Production pottery maker LGU Tiwi
vision and and 80 strategy (Ceramic jars) ceramics and DTI Legazpi
mission individuals Team building traditional, PGPC Tiwi
Industrial painters, ASCODE-Tiwi
Competition designers and ASENSO
Information fishermen
technology-
online
marketing
Glazing in Ash
and Raku
USWAG Improve the 30 members Barangay Skills training, Production fishermen, PGPC, DTI,
standards of 15 are leadership (handicrafts) farmers, DOLE, Tiwiw
living for the active training, construction ASENSO, LGU
marginalized (families) product workers, Tiwi, ASCODE
sectors development carpenters,
Provide training teachers,
livelihood weavers,
opportunities handicraft
Women makers, dress
empowerment makers,
tailors,
painter/ artist,
labourer,
furniture
maker,
business men
and welder

SIKKAP Helping 11 members Barangay Food Production abaca LGU Tiwi

members to with 5 active processing (handicraft) handicraft ASCODE
have additional Handicraft makers,
income making gabod,

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation13

 Meat sinamay
processing crafters,
Team building tagac,
teachers,
carpenter,
mason,
fishermen,
farmer,
parahagot

IP Protect the 4 settlement Ancestral Soap making, Production/ DSWD, LGU,

ancestral barangays Domain orientation on selling ASCODE and
domain with cooperative, (rootcrops) other NGOs
thousands abaca
of individual processing,
crop/
vegetable
farming,
xonrox
making/
downy
making
Meat
processing,
Handy craft,
bamboo craft

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation14

Tiwi Food Processors Association, Inc. (TFPASI)

Looking into Table 2 the TFPASI displays that the organization is line with the purpose of
helping the members of the community. The membership, area of operation, trainings attended
by the members indicates potential for the cooperative formation. The Business activities of the
organization show that the organization has engaged on processing of local raw materials in the
municipality. Since the organization operates in the municipality it has a wide range of personnel
that would meet the requirement for cooperative formation. The sources of funds of the
organization as of the moment are majority from grants of organization.

Corangon Care

The purpose of the organization is focused on the protection of coastal areas of the
municipality, hence the focus is more of the environment. As to the indicators of membership,
trainings attended by the members and area of operation connotes that the organization is set
for cooperative. The business activities in the organization is not on the organizational level but
individual which is production of seaweeds and fishing of yellow fin tunas. As to the labor source,
similar to TFPASI which operates in the municipality the organization has can meet the
requirement for operation of cooperative. The organization’s funds get their funds from the
government and non-government agencies.
Tiwi Association of Persons with Disability, Inc. (TAPDI)
The purpose of the organization, business activity and the labor source shows positivity in
the cooperative formation. However, in terms of membership and trainings attended the
organization has very limited number of members which is one of the primary requirement for
cooperative registration. The problem is the attitude of the persons who the target members of
the organization since they do not want to participate since they lack of mobilization as the
representative had said during the discussion. The organization has financial support from the
government and non-government organization.
SalvarFamilia
The membership status, purpose of organization, engagement in business activities and
availability of labor source to support cooperative formation is present. However in terms of fund
sources, the agency relies only from the funds given by the government.
Putsan Manufacturer Association, Inc. (PCMAI)
The PCMAI had great number of members with existing 25 member families and 80
individual members which are all active in the organization. The established vision and mission
of the organization provides set activities for the business of the organization. The members
qualification as to the training attended and their availability to meet the requirement to operate
the cooperative’s operation. The fund sources of the organization comes from the support of the
government and non government agencies.
United Stakeholders Working to Achieve Growth (USWAG)
With the nature of the membership of the organization which is as to families, the
organization has a great potential to convene needed requirement for the formation of
cooperative. The organization’s business activities, membership qualifications, availability of labor

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation15

sources signifies the viability for the organization’s capacity to support modification to its nature
of operations. The government and non government organizations are the sources of funds of the
organization.
SamahansaIka-uunladngKabuhayan, Kapaligiran at Pagkakaisa (SIKKAP)
The inclination of the organization towards business, availability of labor source and the
purpose of existence indicates success for cooperative formation. However, the limited number
of the members who are trained internally limits the change in the nature of the operations of the
organization. As to the sources of funds, it has funds from government and non-government
institution.
Indigenous People
The business activities of the organization, labor source availability and the purpose of
existence supports for cooperative formation. With its scope of operation of four settlement areas
of Tiwi, the organization has great potential in terms of membership. With the funds provided by
the public and private stakeholders.

C. Marketing and Technical Needs/Problems of their Enterprises

This section evaluates the enterprise of each peoples’ organization in terms of marketing and
production. Table 3 shows the product and marketing problems/needs identified the officers of
each people organization.
Table 3 Product and Marketing Problems/Needs of their Enterprise
Peoples Product/Services Target Market Marketing
Organization Needs/Problems
SIKKAP Gabod Middlemen Low price of
Gabod
USWAG crochet products (table National and Local Cannot meet bulk
runners, throw pillows, Trade fairs orders of their
placemats, hat, shawl); products
angels (sinamay angel
and fiber angel); scrunch
products (scrunch gift bag
and sinamaysci bags) and
organizers (scrunch rolls)

TAPDI Scented Candles Supermarket, Lack of knowledge

commercial and skills on
establishments marketing,
Traditional Candles churches inactive members
IP Bamboo furniture Individual customers Lack of knowledge
Gabod Middlemen and skills on
marketing, pricing
Abaca Middlemen of the product
Vegetable Middlemen Difficulty in
Root crops Municipal market transporting their
products

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation16

 PCMAI Ceramic Jars Elite/collectors, middle Need more
class, masses exposure of their
products
TFPASI Seaweed pansit Groceries and market More outlets of
Seaweed crackling trade fair and their products
conventions
Cassava cookies Market nationwide
Camote cookies
Turmeric
Sardine
Corangon Care Sea weeds TFPASI Market is limited
Tuna/ yellow fin DNL; Local Market to their local areas

SIKKAP

The members of SIKKAP extract raw abaca fiber or Gabod as their main source of economic living.
They sold their products to the middlemen in TiwiAlbay. They have identified that low price of
Gabod is their marketing problem. This implies that SIKKAP has limited access to market their
Gabod product.

USWAG

The members of USWAG engage in the production of crochet products such as table runners,
throw pillows, placemats, hat shawl; angels made of sinamayfiber; scrunch products; and
organizers. The market scope of their products are in national and local areas. They also exhibit
their products to various trade fairs. However, the marketing problem that they have identified is
that they cannot meet the bulk orders of their products. This implies that they have enough
customers for their product. However, they have problem on the production capacity to meet the
volume of supply required by their customers.

TAPDI

TAPDI is producing traditional and scented candles. They sold their products to supermarket,
commercial establishments, and churches. They have identified lack of knowledge and skills on
marketing and inactive participation of the members as their marketing problem.

IPI

The members of IPI engage in the production of Bamboo furniture, Gabod, Abaca, vegetable and
root crops. They sold their products to the middlemen, municipal market in TiwiAlbay and directly
to the end consumers. They have identified that lack of knowledge and skills on marketing, proper
pricing of their products, difficulty in transporting their products as their marketing needs and
problems.

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation17

PCMAI

The members of PCMAI engage in the production of ceramic Jars. They sold their products to
elite collectors, middlemen, and local people in Albay. They have identified the need for more
exposure of their products to potential customers.

TFPASI

TFPASI is engaged in the production of seaweedspansit, seaweeds crackling, cassava and comote
cookies, turmeric, and sardine. They sold their products to groceries, trade fair, conventions and
outside the province of Albay. Establishments of more outlets of their products is the identified
need by the officer of TFPASI.

Corangon

The members of Corangon engage in the production of seaweeds and fishing of Tuna. They sold
their seaweeds to TFSAI and tuna to the local market. They have identified that the market of
their products is limited to their local areas.

Table 4 Production Problem of their Enterprise

People’s Organization Technical/Production Problem
TFPASI They are using mechanical process in the production of
their products. They did not explicitly identified
technical/production problem
Corangon They did not explicitly identified technical/production
problem.
TAPDI Lack of members actively participating in the production of
their products
USWAG Raw materials becoming expensive, they need more
production workers
SIKKAP Lack of materials, they need good quality of materials
especially when rainy season
IP Lack of supply of balacbac
PMCAI They did not explicitly identified technical/production
problem.

Table 4 shows that the majority of the people’s organization (PO) did not directly identified
problems on production/technical. This is because they are adopting specific technologies on food
processing and agricultural production and utilizing mechanical process in producing their
products. However, some PO’s have identified problem on lack of raw materials and its prices
becoming expensive. Others have identified the need for more manpower or labor force for the
production of their products.

D. Common Needs of the PO’s

Increase the number of active members– Most of the POs have inactive members. Majority
of them have 10 – 30 members. For this, there is a common need to increase the number of

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation18

active members. Number of dedicated members is one of the key elements in the organization of
cooperative. The bond and intent should also be present in the members if they want to transform
to cooperative.

Limited access to profitable markets - Four of the seven POs sold their products to
middlemen and local markets. This indicates that most of them have limited access to profitable
markets. This is an opportunity to be considered by the POs to strengthen their capacity to
improve their market linkages and negotiations. Market consolidation can be considered as one
of the directions of the possible organizing the cooperatives in the future as a federated
cooperative.

Lack of raw materials and the prices of raw of the materials is keep on increasing –
Most of the POs have identified that the raw materials available in their respective community are
not enough to supply the required need in their production activities. They source out raw
materials outside the municipality of Tiwi. The prices of the raw material becoming expensive and
would lead to increase in the possible increase of the prices of their outputs. However, as foreseen
by them the possible price increase in their output would give hesitations to their customers.

Surviving Enterprises of the POs - Four of the seven POs have an enterprising activities that
are still on surviving stage. It means that they have established enterprises but its operation is
not yet sustainable. Three of seven POs can be categorized that they have surpassed the surviving
state of their enterprises. However, they still need to improve their business operations in order
to be fully sustainable enterprise. For this, there is a need to provide business development
services to all enterprises of the POs.

Strengthen their Financial Management Capacity – The trainings they have attended are
focused on technology, marketing, organizational capacity, and value formation. However, they
have not identified trainings on bookkeeping and accounting. Financial management is maybe
one of the lacking knowledge and skills of the POs.

IV Conclusions and Recommendations

Based on the aforementioned findings, the following conclusions can be drawn:

1. All communities where the POs operate are abundant in natural and agricultural resources.
They are utilizing the available natural resources and manpower in the community for the
productive ingredients in their enterprises. However, the available natural resources are not
enough to supply the raw materials needed in their production activities.

2. Based on the indicators for cooperative formation, TFASI, PMCAI (Putsan), IP, and Corangon
can be considered to be ready in cooperative formation in terms of the required number of
members, purpose of existence, and business activities. Other POs are still need to in-place the
basic requirement of the organization specifically increasing the number of active members. All
the POs are still need to be assisted in making their enterprises to be fully sustainable.

3. The marketing needs of their enterprises is focused on the capacity of their organizations to
access profitable markets of their products. This would primarily look into improving the quality
of their products and making their products suitable to the needs and desire of their target

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation19

customers. The technical/production needs of their enterprises is geared towards ensuring
enough supply of raw materials at reasonable prices.

4. There is a common need of the POs that can be considered as opportunities to strengthen
their existing POs alliances or organize a federation of cooperative in the future in order to
response collectively to their identified common organizational needs.

Based on the aforementioned conclusions, the following are the recommendations:

1. Provide the local farmers’ the appropriate farm technologies, technical assistance, and market
linkages to the PO in order to increase the production of raw materials needed by the processors;

2. Assist the individual POs, prioritizing the ready POs for cooperative formation to comply the
economic survey and other preliminary requirements for cooperative formation;

3. Link the POs to government and private agencies to access profitable markets and strengthen
their marketing skills;

4. Implement the following proposed action plan for the cooperative formation:

Objectives Activities
1. To validate the
aforementioned
identified needs, gaps,
proposed intervention
2. To make PO’s ready for
cooperative formation
3. To scale up the business
operation of the PO’s
a. Site visit to the areas of POs
b. Consultation to the members of the POs for
the validation of the results
c. Finalization of the identified proposed
intervention to the POs
a. Provision of guidance and technical
assistance for the conduct of economic
survey;
b. Organization of the core group that will be
the frontier liner in the initial stage of the
organization of the cooperative;
c. Conduct the pre-membership education
seminar
d. Assist the officers in complying the basic
requirement for the registration of the
cooperative to Cooperative Development
Authority
a. Conduct an in-depth assessment of the
business operation of each PO’s
b. Develop a comprehensive development plan
pertaining to business development services
based on the results of the assessment
c. Provide the following trainings (these
trainings may be validated and detailed based
on the in-depth assessment):
c.1 product development

Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation20


4. To strengthen inclusive
organizational growth and
development of each PO’s
Assessment of the Peoples’ Organization in TiwiAlbay for Cooperative Formation21
c.2 marketing negotiations
c.3 bookkeeping and basic accounting
c.4 strategic planning
c.5 business feasibility
a. Review of the existing constitution and by-
laws or any existing policies in order to attune
to dynamic changes of the organization;
b. Develop appropriate strategies for the
recruitment of the potential members and
making them active in the organization;
c. Conduct collective and participatory
assessment among the members of the status
of their respective organization