CDA Region IV-B EO

Stronger Together: Navigating the Landscape of Cooperative Mergers and Consolidation (The Conduct of Orientation on MC 2023-18: Strengthening Cooperatives through Merging and Consolidation)

 

On October 9, 2024, an engaging orientation session was held in Puerto Princesa City, Palawan, focusing on the Memorandum Circular (MC) 2023-18. These circular outlines the guidelines governing a special program aimed at fostering the merger and consolidation of micro and small cooperatives. Titled “Strengthening Cooperatives through Merging and Consolidation,” the event served as a vital platform for educating cooperatives on how these strategies can enhance their capacities and sustainability.

The session was organized by Ms. Marian A. Concepcion, the Program Coordinator for Palawan, and facilitated by Ms. Edarlyn Madali, Acting Senior Cooperative Development Specialist (CDS) of the Registration Section. Atty. Richard Ilagan, Acting Supervising CDS, also contributed his expertise, ensuring a well-rounded and informative experience for all attendees.

The orientation had clear objectives: to inform cooperatives about the provisions of MC 2023-18, promote the benefits of merging and consolidation, clarify processes and support mechanisms, and address concerns surrounding the legal, financial, and operational aspects of these strategies. With 34 participants representing 13 cooperatives from various regions of Palawan, the event attracted cooperative officers, board members, and key decision-makers tasked with governance and strategic planning.

Ms. Marian Concepcion opened the session with a warm welcome, setting the stage for the keynote speakers. Ms. Edarlyn Madali took the floor next, providing a compelling overview of the relevance of MC 2023-18 to the cooperative sector. She underscored the significant opportunities merging and consolidation present, particularly for smaller or struggling cooperatives. By pooling resources, these organizations can enhance their competitiveness and improve service delivery to their members.

Following this insightful introduction, Atty. Richard Ilagan delivered a comprehensive presentation detailing the legal framework and procedures involved in merging and consolidating cooperatives. He meticulously explained key provisions of the circular, including eligibility criteria, necessary documentation, and the role of the Cooperative Development Authority (CDA) in supporting cooperatives through this transition. Atty. Ilagan also addressed the handling of cooperative funds and assets during mergers, ensuring that participants had a clear understanding of the financial implications.

Adding depth to the discussions, Ms. Marian Concepcion provided insights from a provincial perspective, highlighting the local government’s role in supporting cooperatives. She shared success stories of cooperatives that had navigated mergers and consolidations to overcome financial hurdles and achieve significant growth. Furthermore, Ms. Concepcion introduced ongoing programs that offer technical and financial assistance, reinforcing the province’s commitment to cooperative development.

The orientation included an interactive open forum where participants voiced their concerns, particularly regarding the practical challenges of merging. Key issues discussed included timelines for completing a merger, the intricacies of aligning cooperative cultures and values, and strategies for transparent communication with members throughout the process.

The facilitators—Ms. Madali, Atty. Ilagan, Ms. Concepcion, and Ms. Castaneda from the Support to Operations Section—responded to these concerns with clarity and reassurance. They emphasized the CDA’s ongoing support at every stage, encouraging participants to consider the merger process as a collaborative journey.

As the session wrapped up, Atty. Ilagan delivered closing remarks that resonated with the participants. He encouraged cooperatives to seriously evaluate the long-term benefits of merging or consolidating for sustainability and growth. He reiterated the CDA’s commitment to assist cooperatives through this transformative process, while Ms. Concepcion assured attendees that the province of Palawan stands ready to provide support for those choosing this strategic path.

Overall, the orientation on MC 2023-18 was not only informative but also inspiring. It equipped the participating cooperatives with the knowledge and resources needed to make informed decisions about their futures, fostering a spirit of collaboration and resilience within the cooperative sector of Palawan.