Cooperatives: Open Doors, but Only for Those Who Belong

Voluntary and Open Ownership in Cooperatives is one of the core principles that guide how cooperatives are formed and managed. It ensures that cooperatives remain inclusive, democratic, and community-oriented, subject to some exemptions expressed by law.

 Voluntary and Open Membership vs. Common Bond of Interest in Cooperatives

These two ideas both relate to cooperative membership, but they emphasize different aspects:

 1. Voluntary and Open Membership (Cooperative Principle)

This is one of the 7 Cooperative Principles from the International Cooperative Alliance (ICA).

Meaning:

*Voluntary – People choose to join or leave the cooperative freely, without force or pressure.

*Open – Membership is open to all persons who are able to use the cooperative’s services and are willing to accept membership responsibilities.

*No discrimination – Race, gender, religion, political belief, or economic status should not be a barrier to joining.

*Key Idea - Everyone qualified is welcome - no one is excluded unfairly.

2. Common Bond of Interest or “Associational Principle”

While cooperatives are open to all, they are not open to everyone in general. Why? Because members must share a common interest or purpose. 

Meaning:

*Members must have a shared bond or objective — like being farmers, employees of the same company, residents of a community, fishermen, vendors, etc.

*This bond helps build trust, unity, and mutual responsibility.

*The cooperative is formed by people with similar needs or economic activities.

*Key Idea- Membership is open - but only to those who share the cooperative’s purpose or field of activity.

Cooperatives are open, but not for just anybody. They are open to all individuals who share the cooperative’s common purpose and agree to its responsibilities.

Simple Example:

*A teachers' cooperative: Voluntary and Open; Any teacher can join; they cannot be excluded for personal reasons like religion or gender.

Common Bond: Only teachers (or employees in the education sector) can be members — not doctors or farmers.

Cooperatives practice voluntary and open membership to welcome all eligible individuals without discrimination — but they also require a common bond of interest to ensure members share the same goals and needs.

Why Not Everyone Can Be Part of a Cooperative

Many people believe that cooperatives are open to everyone — that anyone who wants to join should be allowed in. And while this sounds good, it isn’t entirely true. Cooperatives are built on the principle of voluntary and open membership, but this openness comes with an important condition: members must share a common bond of interest.

A cooperative is not just a business; it is a community of people who face the same challenges and work together for the same goals. Farmers form a cooperative because they understand the hardship of planting, harvesting, and selling crops. Teachers form a cooperative because they share the same salary schedules, loan needs, and workplace conditions. Fisherfolk, drivers, vendors — each group has its own cooperative because they have something in common that binds them together.

So yes, membership is open — but only to those who belong to that shared purpose.

Imagine a farmers’ cooperative suddenly accepting people who do not farm — a store owner, a government employee, or a business investor who has never planted rice or held a plow. These people may have good intentions, but they do not share the same struggles, risks, or needs. They do not understand the life of a farmer. If too many join, the cooperative might start serving interests that are no longer about farmers. Slowly, the cooperative loses its identity.

This is why the law, Republic Act No. 9520 (AN ACT AMENDING THE COOPERATIVE CODE OF THE PHILIPPINES TO BE KNOWN AS THE “PHILIPPINE COOPERATIVE CODE OF 2008”), clearly states that cooperatives must be formed by people with a common bond of interest. It could be based on where they live, what they do for a living, or where they work. This bond is not meant to exclude or discriminate. It is meant to protect the cooperative and make sure it remains relevant to the people it serves.

Because when people understand each other — when they have the same needs, the same dreams — trust is easier to build. Decisions are easier to make. Problems are easier to solve. And the cooperative becomes stronger.

So, when we say cooperatives are open to all, what we really mean is: they are open to all who are part of the group they were created to serve, and who are willing to carry the responsibilities that come with being a member.

The Ties That Bind: What Connects Members of a Cooperative

A cooperative is not just a group of people doing business together. It is a community of individuals who share something deeper — a common bond of interest. This bond is what holds the cooperative together. It creates unity, trust, and a shared sense of responsibility. Without it, a cooperative is just another organization.

In many cooperatives, this bond starts with place, as for example. People who live in the same barangay or town form a cooperative because they face the same community problems — high prices in local stores, lack of access to basic goods, or the need for clean water, credit, or livelihood support. They know each other. They see each other every day. Their lives are connected by their community. That is a residential bond.

In other cases, the bond is work or livelihood. Farmers come together because they all struggle with buying fertilizers, selling crops at fair prices, or accessing capital. Fishermen, drivers, vendors, and teachers do the same. They create cooperatives not because they are friends, but because they share the same daily challenges and opportunities. This is known as an occupational or associational bond.

There are also cooperatives formed within offices or institutions. Employees working for the same school, hospital, factory, or government agency often build a cooperative so they can save money, apply for loans, and support one another during emergencies. They trust each other because they work under the same employer, follow the same policies, and depend on the same salaries. This is called an institutional bond.

Some cooperatives are born from a shared identity or advocacy. These include cooperatives of women, youth, elderly citizens, or indigenous communities. Their bond is not just economic — it is social. They come together because they understand one another’s struggles and stand together for the same cause.

No matter what form it takes, this common bond is what makes a cooperative unique. It gives members a sense of belonging. It ensures that decisions are made not for personal gain, but for the good of all. The cooperative becomes a reflection of the members’ shared life — their work, their community, their dreams.

That is why cooperatives are strong: because they are built not on money alone, but on trust, shared experiences, and a common purpose.

Not everyone can or should join — and that’s not to keep people out, but to keep the cooperative true to its purpose. 

ARB households in ARCs associated with higher incomes, lower poverty incidence, and better welfare outcomes.

Studies on agrarian reform in the Philippines show the role of the Agrarian Reform Community 

(ARC) approach in the Philippines and how membership in an ARC is associated with better incomes and welfare outcomes among agrarian reform beneficiaries (ARBs):

Impact of Agrarian Reform on Poverty (Celia M. Reyes, 2002)

• Using panel data from ~1,500 farming households (1990 and 2000), the study finds that being an ARB and being in an agrarian reform community (ARC) increases the probability of being non-poor. 

• It also shows that ARB households in ARC areas had higher real per capita incomes and lower poverty incidence compared to non-ARBs.

• The study explicitly mentions: “being in an agrarian reform community also has the same effect” of increasing the chance of being non-poor. 

Agrarian Reform and Poverty Reduction in the Philippines (Arsenio M. Balisacan & others, 2007)

• The paper describes the ARC approach (launched in 1993), which “concentrates resources in selected areas to deliver support services” rather than dispersing them broadly. 

• It asserts that “the ARC approach … if properly implemented, improves the economic conditions, social capital, and democratic participation of the communities.” 

• While it does not always report precise income coefficients for ARCs in all cases, it identifies ARCs as a key channel for delivering complementary services that enhance the poverty-reduction impact of agrarian reform.

Comprehensive Agrarian Reform Program (CARP): Time to Let Go (Raul V. Fabella, 2014)

• This review paper notes that a 2011 internal DAR study (the “ARC Level of Development Assessment (ALDA)”) found that among ARBs in ARCs:

  “the average yield (ton/hectare) among ARC beneficiaries in palay was 10 percent higher than the national average … in corn it was 50 percent higher” and that ARCs receive more credit and irrigation support. 

• Although not purely income data, the yield and support-service data support the link between ARC membership and improved productivity/investment, which ties to higher incomes.

Economic Evaluation of Agrarian Reform Beneficiaries in Agrarian Reform Communities in Nueva Ecija (Johnah Jefferson Mercado, Alma Dela Cruz & Ma. Pamela Roguel, 2021)

• This more recent case study investigates two ARCs in Nueva Ecija and evaluates support services, infrastructure and income/benefit outcomes. 

• While the full paper may need to be accessed for detailed income figures, it provides empirical evidence of ARCs being privileged in terms of infrastructure and support, which correlates with better outcomes.

Summary of Evidence

• There is empirical support that being part of an ARC (i.e., a cluster of ARB households with concentrated support services) is associated with higher incomes, lower poverty incidence, and better welfare outcomes.

• The mechanism is that ARCs allow for targeted delivery of infrastructure, credit, irrigation, extension services and community organization, which amplify the benefits of land-reform.

• The evidence is stronger in some cases (like the Reyes 2002 study) and somewhat weaker or mixed in others—but taken together, the weight of evidence supports the proposition that ARCs matter.

Link: What is an Agrarian Reform Community (ARC)

           DAR MC 14-99 Guidelines on ARC Launching

DARPO-Cagayan Evaluates 90 Agrarian Reform Beneficiaries Organizations under IT-eASy (ITEMA) Assessment

Tuguegarao City, Cagayan - The Department of Agrarian Reform Provincial Office (DARPO) Cagayan has successfully completed the Information Technology-enabled Maturity Assessment System (IT-eASy, formerly ITEMA) for 90 Agrarian Reform Beneficiaries’ Organizations (ARBOs) across the province, marking a milestone in assessing organizational maturity, sustainability, and capacity for enterprise growth.

The IT-eASy (ITEMA) is a digitalized monitoring and evaluation tool developed by DAR to determine the readiness and maturity level of ARBOs in managing agribusiness enterprises. It measures five key areas-Governance, Organizational Management, Resource Management, Enterprise Development, and Financial Performance - to classify cooperatives into five maturity levels, from Level 1 (Emerging) to Level 5 (Sustaining).

16 ARBOs Achieve Maturity Level 5

Out of the 90 ARBOs assessed in Cagayan, 16 organizations reached the highest Maturity Level 5, signifying strong institutional stability, operational excellence, and sustainable enterprise performance.

Leading the list is the Nararagan Valley Multi-Purpose Cooperative (Ballesteros), which topped the province with a score of 73 points. Other high-performing ARBOs include:

*Villarey ARB Cooperative (Piat) – 70.3

*Concepcion Agrarian Reform Cooperative (Amulung) – 70.1

*Payagan Farmers Cooperative (Ballesteros) – 70

*Sunrise Multi-Purpose Cooperative (Gattaran) – 67.5

*Maguing Farmers MPC (Gonzaga) – 66.3

*Calayan Samahang Nayon MPC (Gonzaga) – 66.2

*Cabayabasan Farmers Credit Cooperative (Lal-lo) – 65.5

  and several others that showed exceptional enterprise management.

22 ARBOs at Level 4, 34 at Level 3

Meanwhile, 22 ARBOs were classified under Maturity Level 4, demonstrating consistent growth but still requiring further development in governance and enterprise scaling. 34 ARBOs landed at Level 3, indicating progressing organizations that are in the consolidation phase of enterprise management.

 Emerging ARBOs: Levels 1 and 2

A total of 18 ARBOs fell under Levels 1 and 2, representing emerging and developing organizations that need strengthened capacity building, financial literacy, and market linkage interventions. DARPO-Cagayan will provide focused technical assistance and organizational strengthening programs to help these cooperatives improve their performance and sustainability.

Strengthening Agrarian Reform Enterprise Development

DARPO-Cagayan Provincial Agrarian Reform Program Officer II Val M. Cristobal emphasized that the ITEMA results are vital in planning future interventions for ARBOs under the Agrarian Reform Beneficiaries Development and Sustainability Program (ARBDSP).

“The IT-eASy assessment allows us to identify where our ARBOs stand in terms of governance, operations, and business viability. It helps us design the right support packages—whether capacity building, market linkages, or enterprise financing,” PARPO II Cristobal said.

The DAR’s ITEMA initiative supports the national goal of empowering agrarian reform beneficiaries toward self-reliant, business-oriented, and resilient cooperatives capable of sustaining rural livelihoods and contributing to local economic development.

 

Stronger Than the Storm: Cagayan’s ARBOs Rebuild Through DAR’s Climate-Resilient Support

Super Typhoon Nando (Ragasa) is a tropical that attained super typhoon status on September 21, 2025, according to reports from the Philippine Atmospheric, Geophysical, and Astronomical Services Administration (PAGASA), the country’s meteorological agency. Ragasa was the world’s strongest tropical cyclone of 2025. The storm had maximum sustained winds of about 134 miles (215 km) per hour, had peak wind gusts of more than 180 miles (295 km) per hour, and reached a minimum central pressure of approximately 910 hectopascals on September 22, 2025.

The Department of Agrarian Reform (DAR), upon receipt of reports on the devastation resulting from the onslaught of Super Typhoon Nando (Ragasa) in Cagayan province, has promptly extended nearly ₱1.4 million worth of additional livelihood assistance to disaster-affected agrarian reform beneficiary organizations (ARBOs) in Cagayan under its Climate Resilient FarmProductivity Support (CRFPS) program, aimed at helping ARBs and ARBOs restore operations and strengthen their farm inputs enterprises for more sustainable and climate-resilient livelihoods.

The DAR’s Climate Resilient Farm Productivity Support (CRFPS) program, through its Sustainable Livelihood Support (SLS) component, aims to help agrarian reform beneficiaries (ARBs) and their organizations recover and rebuild after disasters. By providing farm inputs, tools, and machinery, the program enables ARBOs to restore productivity, lower production costs, and strengthen resilience against the impacts of typhoons and floods. The SLS initiative reflects DAR’s commitment to empowering farmers and revitalizing agrarian communities through sustainable and climate-adaptive livelihood support.

After the onslaught of Super Typhoon Nando (Ragasa), thousands of farmers and agrarian reform beneficiaries (ARBs) across Cagayan province suffered severe damage to their crops and livelihoods. The powerful typhoon brought strong winds and torrential rains, destroying rice, corn, and vegetable farms. According to the Department of Agriculture (DA), agricultural losses in the Cagayan Valley region totaled approximately ₱ 597 million. In Cagayan alone, over 11,000 hectares of rice lands were affected, alongside significant losses in corn and high-value crops.

In response, the government quickly mobilized relief and rehabilitation assistance for affected farmers and farming communities. The Department of Agriculture, through its regional field office, distributed rice and corn seeds, assorted vegetable seeds, and fertilizers to help farmers replant and recover. The DA also rolled out its loan programs, which offers zero-interest loans to help farmers rebuild their livelihoods. Insured farmers, including many ARBs, are also being compensated through the Philippine Crop Insurance Corporation (PCIC) for crop losses incurred during the typhoon.

President Ferdinand R. Marcos Jr. led the distribution of financial aid and farm inputs to affected farmers in the municipalities of Gonzaga and Sta. Ana (including Calayan, being the most affected), where thousands of families each received ₱10,000 in cash assistance from the Department of SocialWelfare and Development (DSWD). Family food packs, shelter materials, and relief goods were also delivered to sustain affected households while they recover from the disaster.

Meanwhile, the Department of Agrarian Reform (DAR) continues to coordinate with the DA and local governments to ensure that ARBs are prioritized in rehabilitation efforts. Through loan programs like E-ARISE-ARBs and AFFORD ARB, DAR aims to restore farm productivity, provide access to credit, and rebuild damaged agrarian reform communities. The agency is also assisting insured ARBs in processing their PCIC indemnification claims and linking cooperatives to post-disaster livelihood support.

Despite the widespread destruction, the DAR and other government agencies' rapid relief operations and early recovery programs reflect a strong commitment to helping Cagayan’s farmers and agrarian reform beneficiaries recover their livelihoods and rebuild stronger, more resilient farming communities in the aftermath of Super Typhoon Nando.

Sagip Saka Act: Empowering Farmers Through Direct Government Support

The Sagip Saka Act or Republic Act No. 11321, signed into law in April 2019, is a landmark legislation that strengthens the agriculture sector by promoting inclusive and sustainable agricultural and fisheries development. It aims to empower Filipino farmers and fisherfolk by linking them directly with government and institutional markets, thereby increasing their income and improving their quality of life.

Key Provisions of the Sagip Saka Act

The law institutionalizes the “Farmers and Fisherfolk Enterprise Development Program” (FFEDP)—a comprehensive approach to strengthen the capacity of farmers and fisherfolk enterprises through:

• Market access – Encouraging government agencies and local government units (LGUs) to directly purchase agricultural products from duly accredited farmers’ cooperatives and associations (FCAs) and agrarian reform beneficiaries’ organizations (ARBOs) without public bidding under certain conditions, as allowed by procurement rules.

• Capacity building – Providing training, mentoring, and technical support to enhance productivity, product quality, and enterprise management.

• Financial and credit assistance – Facilitating access to credit, crop insurance, and government grants for farm inputs and postharvest facilities.

• Infrastructure support – Improving farm-to-market roads, irrigation, and processing centers to reduce production costs and postharvest losses.

How It Benefits Farmers

The Sagip Saka Act addresses one of the biggest challenges faced by Filipino farmers—market instability and low farmgate prices. By promoting direct procurement and removing middlemen, the law ensures that farmers receive a fair price for their produce.

It also promotes value chain integration, encouraging farmers to become not just producers but also entrepreneurs. Through enterprise development, cooperatives can process and package their products, adding value and creating local jobs.

Benefits to Agrarian Reform Beneficiaries (ARBs)

For agrarian reform beneficiaries (ARBs) organized into ARBOs, the Sagip Saka Act is particularly transformative. It complements the Department of Agrarian Reform’s (DAR) programs by:

• Providing ready markets for ARBO-produced goods through partnerships with schools, hospitals, prisons, and other government institutions.

• Strengthening ARBOs’ business capacity, enabling them to participate in government procurement under the Partnership Against Hunger and Poverty (PAHP) and similar programs.

• Encouraging collaboration between DAR, DA, DTI, and LGUs to provide postharvest and marketing support.

• Enhancing livelihood sustainability, ensuring that ARBs who received land under CARP also have the means to make their farms profitable.

Impact on Rural Communities

The law fosters a farm-to-institution model that stimulates local economies and ensures food security. Government agencies now serve as reliable buyers of local produce, creating a steady income stream for farmers and ARBOs. This not only uplifts individual livelihoods but also revitalizes rural communities by generating employment and promoting self-reliance.

Conclusion

The Sagip Saka Act stands as a bridge between government support and grassroots empowerment. By connecting agrarian reform beneficiaries and small farmers directly to institutional markets, it transforms agriculture into a more profitable and dignified livelihood.

Ultimately, the law reinforces the vision of inclusive rural development, where no farmer is left behind and every harvest contributes to the nation’s food security and prosperity.

Why Agrarian Reform Beneficiaries (ARBs) should join ARBOs

Agrarian Reform Beneficiaries (ARBs) see the value of joining and actively participating in an
Agrarian Reform Beneficiaries’ Organization (ARBO). 

Why Every ARB Should Join an ARBO?

As an Agrarian Reform Beneficiary, you already hold one of the greatest assets a farmer can have: land ownership. But owning land is only the beginning. To make it truly productive and sustainable, you need strength in numbers—and this is where an Agrarian Reform Beneficiaries’ Organization (ARBO) comes in.

1. Stronger Together

On your own, it is difficult to compete with large traders, access affordable farm inputs, or negotiate for fair prices. But as an ARBO member, you join forces with other farmers. Together, you have collective bargaining power—whether for selling your produce or buying seeds, fertilizer, and equipment at lower costs.

2. Access to Support Services

The government, through the Department of Agrarian Reform (DAR) and partner agencies, often delivers support—such as farm machinery, post-harvest facilities, training, and credit assistance—through ARBOs. Many programs and grants are not given to individuals but are channeled through organized groups. Without membership, you risk being left out of these opportunities.

3. Easier Access to Capital and Markets

Banks and financing institutions prefer lending to organized farmers. ARBO membership increases your eligibility for loans and insurance. At the same time, buyers—including supermarkets, processors, and exporters—often deal directly with ARBOs because they can provide consistent quality and volume that individual farmers cannot.

4. Learning and Growth

Through your ARBO, you gain access to training, mentoring, and farm business schools that upgrade your skills not only as a farmer but as an entrepreneur. You learn modern practices, financial literacy, and leadership—all crucial for your family’s future.

5. Resilience and Security

When challenges like typhoons, pests, or low prices strike, ARBOs provide a safety net. Members help one another, and collective resources can be mobilized for recovery. Alone, risks are heavier; together, they are lighter.

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The legal basis for an Agrarian Reform Beneficiary (ARB) to join an Agrarian Reform Beneficiaries’ Organization (ARBO) is rooted in the Comprehensive Agrarian Reform Program (CARP), primarily under Republic Act 6657 (CARP Law) and its amendment, R.A. 9700, which promote ARB cooperatives and associations for collective empowerment, productivity, and access to resources.

Key supporting bases include:

RA 6657 & RA 9700 – mandate ARB organizations to manage lands and improve livelihoods.

DAR Administrative Orders – set membership rules, requiring a majority of members to be ARBs.

CDA Registration – gives ARBOs legal personality under the Cooperative Code.

Joint DAR–CDA Issuances – clarify requirements and procedures for establishing ARBOs.

ARBO By-laws – ensure compliance with legal and internal governance rules.

Agrarian Reform Credit Program (APCP) – recognizes ARBOs as key channels for credit and support services.

In short, ARB membership in an ARBO is backed by law, DAR and CDA regulations, and organizational by-laws, ensuring that collective action translates into stronger support, resources, and empowerment for beneficiaries.

The Bottom Line

An ARBO is not just another organization—it is your gateway to empowerment, productivity, and prosperity.

By joining and participating, you:

• Make your land more productive

• Secure better incomes

• Access government and private support

• Strengthen your bargaining power

• Build a better future for your family and community

👉 Don’t remain on the sidelines. Be part of your ARBO —because land ownership is only the beginning; collective action is the key to lasting success.

New Titles, New Responsibilities: Agrarian Reform Beneficiaries in Cagayan Valley Now Paying Real Property Taxes

Cagayan Valley – For decades, many farmers in the region tilled their lands without the security of full ownership. That changed with the implementation of the Department of Agrarian Reform (DAR) and World Bank-assisted Support to Parcelization of Lands for Individual Titling (SPLIT) Project, which has been steadily distributing individual land titles to Agrarian Reform Beneficiaries (ARBs).

Now, with land titles in their hands, farmers are not only celebrating ownership but also stepping into a new chapter of responsibility: paying real property taxes.

From Collective CLOAs to Individual Titles

Under the Comprehensive Agrarian Reform Program (CARP), many farmers were awarded lands through collective Certificates of Land Ownership Award (CLOAs). While these recognized their rights to land, collective ownership often made it difficult for farmers to use their lands as collateral, pass them on as inheritance, or manage them independently.

Through the SPLIT Project, these collective titles are being subdivided into individual land titles. In Cagayan Valley, thousands of ARBs have already received their long-awaited documents, affirming not just ownership but personal accountability.

Paying Taxes: A Milestone of Ownership

With individual land titles comes the legal obligation to pay real property taxes to local government units. For many ARBs, this is their first time facing such responsibility.

While some may see it as an additional burden, ARBs interviewed during recent title distribution activities view it differently:

• A badge of legitimacy – Paying taxes affirms their rightful claim as landowners.

• Access to services – Tax payments strengthen local revenues, which in turn fund roads, schools, and agricultural support programs.

• Empowerment – Farmers can now enter formal credit systems, mortgage their land for capital, or bequeath it to heirs, with their tax receipts serving as proof of ownership compliance.

Policy and Local Government Impact

DAR officials emphasize that the SPLIT Project is not only about land distribution but also about strengthening land tenure security and integrating farmers into the formal economy. Local governments, in turn, benefit from increased tax collection, allowing for greater investments in rural development.

According to DAR Region II, the growing compliance of ARBs in paying taxes reflects the success of agrarian reform as both a social justice and economic development program.

A New Chapter for Agrarian Reform

The DAR-World Bank SPLIT Project in Cagayan Valley demonstrates that agrarian reform is more than just giving land—it’s about empowering farmers to become responsible citizens, contributors to local development, and active players in the agricultural economy.

For the ARBs of Cagayan Valley, paying real property taxes is more than an obligation; it’s a symbol of pride, dignity, and the fruition of a promise that land truly belongs to the tiller.

Stronger Together: Why Filipino Farmers Should Organize and Join Farmers’ Organizations

A farmer working alone can plant, nurture, and harvest. But a farmer working together with others can do much more—build roads to markets, buy modern equipment, secure better prices, and even influence policies. This is the power of organization.

For agrarian reform beneficiaries (ARBs), who have finally gained ownership of the land they till, the next crucial step is to organize—or join—farmers’ organizations (FOs) or agrarian reform beneficiary organizations (ARBOs). Here’s why:

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1. Collective Strength and Voice

Individually, a farmer has limited bargaining power. But when farmers organize, they speak with one voice. This strength allows them to negotiate better prices for their products, secure fairer terms from traders, and access government programs more effectively. A united group also becomes more visible in policy discussions, ensuring that farmers’ needs are heard at local and national levels.

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2. Access to Government Support and Services

Many DAR and DA programs, among others—such as credit facilities, farm mechanization, and infrastructure projects—are designed for groups rather than individuals. By joining an FO or ARBO, farmers are able to access training, subsidies, farm machinery, and financing opportunities that would otherwise be out of reach. Organized groups are also prioritized in projects like those in DAR, DA, DOST, CDA, etc., which channel resources into group/cluster farming and agribusiness ventures.

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3. Shared Resources and Lower Costs

Farmers in organizations can pool resources to purchase inputs like seeds, fertilizers, and pesticides in bulk, reducing costs significantly. They can also share expensive farm machinery and equipment—such as tractors or harvesters—that no single small farmer could afford alone. This increases productivity while reducing individual expenses.

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4. Market Linkages and Higher Incomes

Through collective marketing, farmers’ organizations connect directly with buyers, supermarkets, and even exporters. This eliminates middlemen who often take the lion’s share of profit. Organized farmers can also standardize product quality, synchronize planting schedules, and supply in bulk—making them more attractive to big buyers and increasing their incomes.

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5. Capacity Building and Knowledge Sharing

Farmers’ organizations provide training on modern farming techniques, financial literacy, agribusiness management, and digital tools. Members learn from one another’s experiences, share solutions to common problems, and grow together. For young farmers especially, joining an organization creates opportunities for mentorship and leadership development.

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6. Building Resilience and Security

Climate change, pests, and fluctuating markets all threaten farmers’ livelihoods. Organized groups can establish safety nets like savings programs, insurance schemes, and disaster response mechanisms to support members during hard times. By working together, farmers become less vulnerable to shocks and uncertainties.

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The Future of Farming is Collective

The success of agrarian reform does not end with land ownership. True empowerment happens when farmers work together as a community, transforming small plots into productive clusters and small harvests into competitive enterprises.

For the Filipino farmer, the choice is clear: alone, survival is possible—but together, prosperity is within reach.

Aging Filipino Farmers, Agrarian Reform, and the Future of Philippine Agriculture

When you picture the backbone of our nation, imagine a pair of weathered hands—calloused from years of tilling the soil, planting seeds, and harvesting crops under the unforgiving sun. These are the hands of the Filipino farmer. And yet, today, the average age of those hands is 57 years old.

It is a sobering number. Within a decade, many of these farmers will be too old to carry the burden of feeding over 110 million Filipinos. The question then looms: Who will till the land when they can no longer do so?

The Aging Farmer Crisis

Agriculture has long been regarded as the heart of Philippine society, but it is an aging heart. Younger generations are increasingly turning away from farming, drawn instead to urban jobs or opportunities abroad. They see farming as backbreaking, unprofitable, and disconnected from modern aspirations.

This is the tragedy of perception. For too long, farmers have remained among the poorest in the country, often earning less than the minimum wage, despite their vital role. The absence of secure land ownership, lack of access to modern technology, and limited market linkages have only fueled this cycle of disinterest.

Agrarian Reform: A Promise Taking Root

And yet, hope endures in the soil. Through the Comprehensive Agrarian Reform Program (CARP) and its successor initiatives, hundreds of thousands of farmers—known as agrarian reform beneficiaries (ARBs)—have finally received legal ownership of the land they till.

Owning land is not just about a piece of paper. It is about dignity, empowerment, and the chance to dream bigger. It transforms farmers from tenants to entrepreneurs. It gives them the courage to invest in better seeds, to mechanize, and to join cooperatives that open the door to larger markets.

Programs like the Support to Parcelization of Lands for Individual Titling (SPLIT) project are accelerating this progress, aiming to distribute over 1.38 million hectares of collective land titles into individual ones. Each land title handed over is more than a certificate—it is a seed of hope planted for the next generation.

A Future Worth Cultivating

Agrarian reform alone is not enough. The future of Philippine agriculture depends on making farming attractive again. Imagine farms where young men and women use drones to monitor crops, apps to forecast weather, and cooperatives that link directly with global markets. Imagine farming as a profession that brings not only pride but also prosperity.

This is possible when agrarian reform is paired with investments in training, credit, farm-to-market roads, irrigation, and digital transformation. It is possible when we tell the stories of farmers not as symbols of hardship, but as champions of resilience, innovation, and nation-building.

The Call to the Next Generation

The Philippines cannot afford to let its farmers grow old without successors. Food security, rural development, and national stability all depend on cultivating the next wave of farmers.

And so, the call is clear: to the youth, to policymakers, to private investors, to every Filipino who eats rice every day—support the farmer. Because the future of Philippine agriculture lies not only in machines, policies, or infrastructure, but in ensuring that there will always be hands willing and able to plant the seeds of tomorrow.

For when the last of today’s farmers hangs up his hat, the question will remain: Who will feed the nation?

The Impact of DAR Foreign-Assisted Projects (FAPs)

The Department of Agrarian Reform (DAR), in fulfilling its mandate to uplift the lives of agrarian reform beneficiaries (ARBs) and their organizations (ARBOs), has long recognized the importance of forging partnerships with international development agencies. Through Foreign-Assisted Projects (FAPs), DAR is able to access financial resources, technical expertise, and innovative approaches that complement national programs. These collaborations have significantly enhanced the implementation of the Comprehensive Agrarian Reform Program (CARP), bringing lasting improvements to land tenure, productivity, and the overall well-being of rural communities.

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Strengthening Land Tenure Security

At the heart of agrarian reform is the principle of land-to-the-tiller. Several FAPs directly support the DAR in accelerating the distribution of agricultural lands to ARBs. A prime example is the Support to Parcelization of Lands for Individual Titling (SPLIT) Project, funded by the World Bank. This initiative addresses long-standing issues of collective Certificates of Land Ownership Award (CLOAs) by subdividing them into individual titles. The project not only empowers ARBs with secure and transferable land ownership. 

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Institutional Capacity Building and Social Infrastructure

Foreign-assisted initiatives go beyond land distribution by strengthening the capacity of ARBOs. Trainings, organizational development activities, and institutional strengthening programs enable ARBs to become effective managers of their lands and enterprises. By investing in human capital, these projects foster self-reliance, responsible leadership, and community solidarity. Institutional building also helps ARBOs transition from small, loosely organized groups into stable and credible partners of government and private institutions.

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Infrastructure Development and Support Services

Another major contribution of FAPs is the construction and rehabilitation of rural infrastructure. Farm-to-market roads, bridges, irrigation systems, potable water facilities, and post-harvest facilities funded through foreign partnerships have drastically improved agricultural productivity and reduced post-harvest losses. These infrastructures lower transportation costs, increase farm efficiency, and open new market opportunities. The multiplier effects of such investments extend to entire communities, enhancing mobility, trade, and access to basic services.

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Enterprise Development and Market Linkages

Foreign-assisted projects also support the establishment of agribusiness ventures and enterprise development initiatives. By integrating ARBOs into value chains, farmers gain access to larger markets and enjoy better bargaining positions. Many projects facilitate direct linkages with institutional buyers, ensuring stable income sources and long-term sustainability. Technical assistance in areas such as financial management, product development, and marketing further enables ARBs to compete in both local and regional markets.

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Access to Credit and Capital

With secure land tenure and organizational strengthening, FAPs also open doors for ARBs to access financial capital. Many projects provide grant support, microfinance facilities, and capacity-building on financial literacy. These mechanisms reduce dependency on informal lenders and empower farmers to invest in farm inputs, equipment, and income-generating activities. Improved credit access ultimately leads to higher productivity and rural economic growth.

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Promoting Gender Equality and Social Inclusion

Foreign-assisted initiatives often mainstream gender and social inclusion frameworks. Women, youth, and other marginalized groups are actively included in decision-making, leadership, and enterprise opportunities. This ensures that development benefits are equitably distributed and that agrarian reform outcomes foster inclusivity. Such practices also contribute to the empowerment of rural women, who play critical roles in both farming and community development.

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Climate Resilience and Environmental Stewardship

With the Philippines highly vulnerable to natural disasters and climate change, FAPs also support climate-resilient agriculture. Sustainable farming technologies, disaster-resilient infrastructure, and capacity-building on environmental management are introduced to ARBs and ARBOs. By integrating climate-smart practices, these projects enhance food security and reduce the risks associated with typhoons, floods, and droughts.

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Transformative Impact on Rural Communities

The overall impact of DAR’s foreign-assisted projects is transformative. Beyond the immediate economic gains, they foster inclusive growth, reduce poverty, and strengthen rural communities. With land tenure security, stronger institutions, improved infrastructure, and sustainable livelihoods, ARBs gain dignity, confidence, and hope for a better future. These outcomes are aligned with the broader goals of rural development, social justice, and national food security.

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Conclusion

DAR’s partnership with international development institutions through foreign-assisted projects has been instrumental in advancing agrarian reform. By complementing government resources with global expertise and funding, these projects address critical gaps in land distribution, organizational development, infrastructure, market access, and climate resilience. More importantly, they empower ARBs and ARBOs to become self-reliant, competitive, and resilient players in the agricultural sector. The cumulative effect of these efforts is a stronger, more inclusive, and sustainable rural economy that fulfills the vision of agrarian reform.

DAR hands out e-titles, COCROMs in Ilagan, freeing thousands of Cagayan Valley farmers from land debt

 

Ilagan City, Isabela — July 31, 2025. The Department of Agrarian Reform (DAR) distributed
electronic land titles (e-titles) and Certificates of Condonation with Release of Mortgage (COCROM) to agrarian reform beneficiaries (ARBs) across Cagayan Valley in a region-wide ceremony at the Capital Arena, marking a major push to secure land tenure and erase decades-old farm debts. 

DAR Secretary Conrado Estrella III led the event, where 1,805 land titles—including individual e-titles under the World Bank-supported Project SPLIT—were awarded to 1,512 ARBs. Alongside the titles, 9,257 COCROMs were issued to 5,870 ARBs, formally condoning ₱260.17 million in unpaid amortizations and related charges tied to agrarian reform lands. The condonation covers 6,389.25 hectares across the region. 

Estrella framed the distribution as part of the implementation of the Agrarian Emancipation Act (RA 11953), which wipes out principal loans, interests and penalties owed by ARBs for awarded lands. “This will provide significant relief and economic opportunity for farmer-beneficiaries as they would finally be free from decades of debts,” he said, addressing thousands of attendees from Isabela, Cagayan, Nueva Vizcaya and Quirino. Government media likewise highlighted the ongoing rollout of land titles and COCROMs as a flagship reform under the current administration. 

Project SPLIT—Support to Parcelization of Lands for Individual Titling—aims to subdivide collective CLOAs into individual titles to strengthen tenure security and enable farmers to access credit and state support using clear, bankable documents. The initiative targets hundreds of thousands of e-titles nationwide this year, according to earlier government guidance. 

World Bank senior land administration specialist Kathrine Kelm underscored how individual titles can spur investment and sustainable practices at the farm level, noting global evidence that secure land rights encourage long-term improvements and local development. 

Beyond titles and condonation, DAR also launched the “Abogado ti Mannalon” (Lawyer of the Farmers) program during the Ilagan rites, in partnership with justice sector and legal aid groups, to expand free legal assistance for ARBs navigating agrarian cases. 

The Ilagan distribution capped a week in which national and regional agencies reported thousands of titles issued and debts erased for farmers in Northern Luzon—an effort officials say will continue as DAR accelerates SPLIT and related land acquisition and distribution programs through 2025.

SOWESFACO: How Solana’s West-Side Farmers Turned Grit into Growth

If you drive west from Tuguegarao and roll into Solana, Cagayan, you’ll find a patchwork of rice fields,  corn plots, and backyard fruit trees stitched together by one quiet powerhouse: SOWESFACO, short for Solana West Farmers Cooperative. It’s the kind of cooperative that starts as a conversation under a mango tree and ends up changing how families send kids to school, how fields get planted on time, and how a whole community thinks about the future.

From “tingi-tingi” to teamwork. SOWESFACO began with a simple problem: farmers selling produce piecemeal, paying high middleman rates, and struggling to buy inputs when they actually needed them. The cooperative model flipped the script. By pooling purchasing power, members started getting fairer prices for fertilizer and seed; by bulking their harvests, they negotiated better farmgate rates. What used to be “kanya-kanya” (everyone for themselves) became a steady rhythm of shared calendars, shared logistics, and shared wins.

What SOWESFACO actually does (and why it works):

*Consolidated input buying: Members pre-book fertilizer, seeds, and fuel at wholesale rates, cutting costs and reducing last-minute scramble.

*Mechanization services: A small fleet—think hand tractors, transplanters, threshers, and a combine harvester schedule—reduces labor bottlenecks and keeps planting/harvest windows on track.

*Post-harvest handling: Clean, dry, store, and sell—SOWESFACO’s drying and storage capacity keeps moisture levels in check and quality consistent, which means better prices and fewer rejections.

*Market matching: Instead of hoping buyers swing by, the coop lines up deliveries to institutional buyers, rice traders, and local retailers, smoothing out cash flow.

*Financial services: The cooperative runs a modest savings-and-loan window for members, with seasonal repayment cycles aligned to harvests. That “cash when you plant” and “pay when you harvest” timing is a game-changer.

Real-life ripple effects

*Income that stretches: Lower input costs plus better selling prices mean the same hectare now pays for school fees, medical checkups, and a little cushion for emergencies.

*Time back to families: With mechanization and coordinated workdays, members spend less time chasing labor and more time at home or tending to side ventures (banana, mungbean, or free-range poultry).

*Skills on the rise: Regular trainings—on financial literacy, climate-smart farming, and basic enterprise management—have turned once-hesitant members into confident planners who can read a balance sheet and a weather map.

*Youth not leaving (as much): The coop’s small scholarships, digital record-keeping, and agri-entrepreneurship clubs make farming feel less like a dead end and more like a viable business. You still hear the lure of the city, sure, but you also see motorbikes loaded with produce, barcode labels on sacks, and teens learning spreadsheets for inventory.

Community wins you can see

*Local food security: When typhoons complicate supply chains, SOWESFACO’s stock and storage capacity stabilize rice and corn supply for nearby barangays.

*Micro-enterprises spun off: A side hustle in rice retailing, local milling partnerships, and snack-making (corn chips, banana cue packaging) gives non-farm family members income streams.

*Women in leadership: From credit committees to quality control, women call shots that keep the coop honest and the books clean. It’s practical and powerful.

*Shared infrastructure care:  Because the coop depends on passable roads and working irrigation, it champions community cleanups, drainage unclogging, and watchdogging repairs after storms.

The secret sauce: partnerships and government support

SOWESFACO’s story isn’t solo. It’s a braid of farmer grit and developmental interventions from agencies that bet on organized groups:

*Department of Agrarian Reform (DAR):

-ARBO development & capacity building, cooperative governance, bookkeeping, and enterprise planning sharpened SOWESFACO’s systems.

 -Common service facilities & enterprise grants, support for dryers, small warehouses, and packaging tools tightened quality control and cut losses.

 -Market linkage under programs like PAHP, connecting to institutional buyers turned once-sporadic sales into scheduled deliveries.

*Department of Agriculture (DA) & RFO II:

-RCEF mechanization & training, access to equipment and farmer field schools boosted yields and timeliness of operations.

 -Seeds and soil health interventions, certified seed distribution and soil testing improved input efficiency and resilience against pests and drought spells.

 -Farm-to-market coordination, aligning calendars with logistics support means fewer delays from field to buyer.

*DTI (Department of Trade and Industry):

-Shared Service Facilities (SSF) and product development, better packaging, labeling, and quality standards helped SOWESFACO sell beyond the barangay.

 -Mentoring on costing and pricing, so members finally price products with margin, not guesswork.

*DOST (Department of Science and Technology):

-SETUP-style upgrades, moisture meters, testing kits, and layout improvements reduce post-harvest loss and ensure consistent quality.

 -Food safety advisories, for rice retailing and value-added products, helping the coop comply with standards.

*LGU Solana & the Province of Cagayan:

-Local grants, business permits streamlining, and data sharing, faster paperwork, better access to municipal cold rooms or multipurpose halls, and inclusion in trade fairs.

 -Disaster prep & recovery support, pre-positioning tarps, fuel, and drying solutions when typhoons loom.

*Financing partners (e.g., LANDBANK, ACPC-linked conduits, microfinance):

-Working capital and equipment loans, structured repayment aligned to crop cycles keeps operations moving without predatory interest.

*Financial literacy tie-ins, coaching on cash flow and risk management reduces default and teaches members to plan ahead.

Climate smarts, because Cagayan knows weather.

SOWESFACO takes typhoons seriously. Members track weather advisories, adjust planting windows, and keep emergency tarps and fuel. The coop also keeps a contingency fund for quick repairs on dryers and roofs after storms.

Digital steps without the tech headache.

Nothing flashy, just practical. The coop uses phone-based group chats for machine scheduling, a simple spreadsheet (and later, a cloud sheet) for inventory and loan tracking. In June 2025, SOWESFACO was named among nine cooperatives to benefit from the Digital Farmers Program (DFP) under F2C2—an initiative by ATI-RTC II, DA-RFO 2, PLDT, and Smart. This aims to improve digital literacy and access to modern technologies.

Governance that people trust.

Transparent books. Posted price boards. Regular general assemblies with “mystery math” explained plainly (what came in, what went out, what’s next). Election rules that actually get followed. These little, boring disciplines are the reason big, exciting things keep happening.

What’s next.

*Expanded storage and solar-assisted drying to reduce moisture-related losses during the wet months.

*Contract growing for value chains (feed corn, specialty rice varieties) with guaranteed offtake and quality premiums.

*Youth incubators for agri-digital services, inventory apps, drone mapping partners, and e-commerce pilots for milled rice and snacks.

*Insurance mainstreaming so every member is covered for weather and price shocks, not just the few who remember the paperwork.

The bottom line.

SOWESFACO shows what happens when farmers organize well, match that discipline with the right equipment and training, and plug into a web of supportive programs. The result isn’t just bigger harvests—it’s steadier income, sturdier families, and a community that can look a typhoon in the eye and say, “We’ve planned for this.” In Solana, that’s not a slogan. It’s Tuesday. In other words, SOWESFACO’s achievements, resilience, cooperation, and preparedness, aren’t just special events they put on a poster; they’re part of the routine, as normal as a Tuesday in the calendar.

 

The Mauanan Baluncanag Gaddangao Farmers Irrigators Credit Cooperative (MBGFICC) as a thriving agrarian reform cooperative.

The Mauanan Baluncanag Gaddangao Farmers Irrigators Credit Cooperative (MBGFICC) is a thriving agrarian reform cooperative located in Purok 1, Baluncanag, Rizal, Cagayan, Philippines. Established in the mountainous region northwest of Tuguegarao City, MBGFICC has become a model of grassroots resilience and agricultural innovation.

Origins and Development

MBGFICC traces its roots to the 1980s when local rice farmers from the barangays of Mauanan, Baluncanag, and Gaddangao united to create the MABAGA Communal Irrigation System. This initiative aimed to ensure equitable water distribution for farming activities. In 2012, the group formalized as the MBG Farmers Irrigators Association and later registered with the Cooperative Development Authority in 2018 as MBGFICC. At the time of registration, the cooperative had 36 Agrarian Reform Beneficiaries (ARBs) and assets amounting to ₱36,000.

Membership and Services

Today, MBGFICC boasts 225 members, primarily ARBs engaged in rice and corn cultivation. The cooperative offers a range of services, including production loans, discounted farm machinery services, organic fertilizer production through vermicomposting, and the sale of farm inputs at competitive rates. Additionally, MBGFICC manages irrigation systems to ensure sustainable water distribution.

Government Support and Achievements

MBGFICC has received substantial support from various government agencies. In 2015, the Department of Agrarian Reform (DAR) provided ₱31 million under the Agrarian Reform Infrastructure Support Program for Small Water Impounding Systems. The cooperative also benefited from the Sustainable Livelihood Enterprise Program, receiving ₱250,000 in additional capital for small lending in the form of farm inputs. 

Despite challenges such as typhoons and the COVID-19 pandemic, MBGFICC demonstrated resilience by adapting its loan-giving approach and improving financial capacity through seminars and training provided by DAR. This adaptability led to a positive credit standing with the Land Bank of the Philippines, resulting in the approval of short-term loans and the acquisition of farm machinery, including a four-wheel-drive tractor and a rice combine harvester under the DA-PhilMech program. 

The Mauanan Baluncanag Gaddangao Farmers Irrigators Credit Cooperative (MBGFICC) in Rizal, Cagayan, has also been recognized as a Learning Site for Agriculture (LSA) under the Department of Agrarian Reform (DAR) in partnership with the Agricultural Training Institute (ATI). In 2022, the cooperative expanded its facilities by acquiring an additional 600 square meters of land specifically intended for the Farm Business School, aligning with its role as a beneficiary of the Agrarian Learning Site for Agriculture program.

As an LSA, MBGFICC serves as a model for sustainable farming practices, offering hands-on training and knowledge sharing to fellow farmers and community members. The cooperative's initiatives include organic fertilizer production through vermicomposting, efficient irrigation management, and the utilization of modern farm machinery. These efforts contribute to the empowerment of local farmers and the promotion of innovative agricultural techniques in the region.

Community Impact and Vision

MBGFICC has significantly contributed to the local economy by creating employment opportunities and supporting members in achieving financial stability. The cooperative's core values—Makers of dreams, Benevolence, God's loving members, Focus on one dream, Inspiring attitudes, Commitment to uplift lives, and Cooperation—guide its mission to uplift people's lives through accessible financial services, encapsulated in its motto, "No Farmers Left Behind."

Farm Machinery and Equipment Turned Over by DAR-Cagayan to Five ARBOs

TUGUEGARAO CITY, CAGAYAN — In response to the growing challenges brought by climate change in the agricultural sector, the Department of Agrarian Reform Provincial Office (DARPO) Cagayan has distributed approximately ₱1.2 million worth of farm machinery and equipment to five Agrarian Reform Beneficiaries’ Organizations (ARBOs) across the province.

The official turnover ceremony was held on June 23, 2025 at the DARPO Cagayan Compound in Carig Sur, Tuguegarao City. The event was led by Provincial Agrarian Reform Program Officer (PARPO) II Val Cristobal, PARPO I Glenn A. Follante, and OIC-CARPO for Program Beneficiaries Development Division Christian Sales, together with other DARPO officials and personnel. Representatives and members of the recipient ARBOs also participated in the ceremony.

The five recipient ARBOs are:

• Lizardo Agrarian Reform Cooperative of Lucban, Abulug

• MSRT Culung Credit Cooperative of Culung, Tuao

• Dafunganay Agrarian Reform Cooperative of Dafunganay, Amulung

• Paddaya Farmers Agrarian Reform Cooperative of Paddaya, Aparri

• Logac Farmers Agriculture Cooperative of Logac, Lallo

A total of approximately 260 agrarian reform beneficiaries (ARBs) are expected to directly benefit from the distributed machinery and tools.

The agricultural equipment turned over includes:

• Four hand tractors with trailers

• One floating tiller

• One compact tiller rotavator

• Seven brush cutters with rice harvester attachments

• Eleven knapsack sprayers

• Thirteen pressure washers

• One rice transplanter

• Seven water pumps

In their messages, the DAR officials emphasized that the farm machinery granted to the cooperatives represents the fulfillment of a long-time dream of many ARBs. They encouraged the ARBOs to treat the equipment as their own—to care for, maintain, and maximize their use so that more members can benefit over a longer period.

This initiative forms part of the Climate Resilient Farm Productivity Support (CRFPS) Program of DAR, which aims to strengthen the capacity of agrarian reform communities to adapt to climate change by introducing innovative and efficient agricultural solutions.

Through this program, DAR-Cagayan hopes to reduce production costs, increase yields, and boost income among ARBs—paving the way for a more resilient and sustainable farming future in the province.

VIDEO: https://www.youtube.com/watch?v=6WpMUYA97Js

PHOTOS: https://www.facebook.com/darcagayanIO/posts/pfbid0uBazEkMfbrerYdgmhQiiQdZi9Lqdqq4ZSAtBxZ4SCoTDH2Pues9BdXFGzvEikvKol