Cooperative and Rural Development: The Case of Dayap Credit Cooperative and Development Inc., Philippines

The purpose of this study was to understand the organization and operations of a cooperative and examine its contribution to rural development in the Philippines. Quantitive and qualitative data were used in the study. Data analysis showed the socioeconomic characteristics of the cooperative's members. Chi-square and multiple regression analysis revealed that land tenure status was a significant variable in acquiring loans from the cooperative, even if land ownership was not a membership requirement. Regression also showed that land tenure status is a significant factor in achieving leadership positions. Contrary to expectations, respondents with lower tenur status were more inclined to assume leadership roles than respondents with more land, in this cooperative. The most frequently mentioned reason for joining the cooperative is its function as a source of production loans. However, cooperative members also recognize the other social benefits the cooperative provides, including extension and marketing assistance. The cooperative also serves as a source of capital for cottage-industry project which non-farming members can access. The respondents suggest several improvements for the cooperative. These include the more efficient processing of loans, raising the maximim loan limit, and higher prices for produce. Despite its limitations, members regard the cooperative as a viable and dependable source of support and services. Members are cognizant of the benefits of belonging to a self-help organization, as opposed to dependence on external aid.