Gov't helps farmers scale-up thru agricultural cooperatives
Small-time farmers from across the country will now have the opportunity to scale-up following the signing of a memorandum of understanding (MOU) that will link agriculture cooperatives to agriculture companies.
Go Negosyo, an organization advocating for micro, small and medium-sized entrepreneurs (MSMEs), and the Cooperative Development Authority on Thursday, Jan. 4, signed an deal that would create a strategic partnership supporting and implementing the objectives of the group's Kapatid Angat Lahat Agri Program (KALAP) for the benefit of the cooperatives sector in the Philippines.
KALAP was founded to establish strategic partnerships between the government and the private sector. Under the program, small farmers are integrated into the value chain of big-brother companies, giving them access to mentoring, markets and capital.
The MOU, according to Go Negosyo, would improve collaboration between cooperatives and the private sector as well and promote "a value-chain approach through public-private partnerships."
"The bottom line is poverty alleviation, and many of the poor are in the agriculture sector. Unless we fix that, we will never solve the problem of poverty,” Go Negosyo founder Joey Concepcion said.
"There are several different inclusive business models that our big brothers in KALAP have already implemented; the cooperatives can adapt the models suited to their crop and forge a relationship with the big-brother corporations, such as helping them get access to technologies and markets," he added.
Concepcion said the partnership would help Go Negosyo identify the cooperatives that are willing to be part of KALAP.
Meanwhile, CDA Chairman Encabo called the signing of the MOU as "timely" as President Marcos has been spearheading efforts to strengthen Philippine cooperatives.
"As we implement the merger consolidation focusing on agriculture cooperatives, the program can directly infuse to them and roll out as they make [cooperatives] resources bigger, expand their membership, and add to their assets," he said.