Adoption of Agricultural Mechanization Through Cooperatives in Smallholding Farms in the Philippines: The Case of Cabuyao Agriculture and Fisheries Multi Purpose Cooperative (CAFMPC)

Date

5-2024

Degree

Bachelor of Science in Agribusiness Management

College

College of Economics and Management (CEM)

Adviser/Committee Chair

Glenn Navarra Baticados

Committee Member

Cris Edwin B. Bonalos, Remund Jordan D. Labios, Juan Paulino S. Trespalacio, Jr., Melodee Marciana E. De Castro

Restrictions

Restricted: Not available to the general public and to those bound by the confidentiality agreement. Access is available only after consultation with author/thesis adviser.

Abstract

The Philippines is classified as low-level mechanization country at a 1.23 hp/ha mechanization level compared to the 4hp/ha average mechanization level for a country. Several studies have pointed out that development of a country's agriculture sector also depends on its capacity to mechanize the agricultural operations. To promote agricultural mechanization, effective information dissemination, education, training is necessary. Studies have pointed out that social enterprises like cooperatives have been proven useful in terms of wide information dissemination, education, and training. Therefore, cooperatives might be able to affect how farmers adopt agricultural mechanization in their operations.

The Cabuyao Agriculture and Fisheries Multi-Purpose Cooperative (CAFMPC) is a cooperative based in Cabuyao, Laguna and is offering a rental service a agricultural machinery to farmers in the locality. This study focuses on the external and internal analysis of CAFMPC and how its service model can affect the mechanization efforts of its members and customers. The study used PESTLE and SWOT Analysis to identify the challenges, factors, and effects of mechanizing agricultural operations. The study identified that the main challenges and factors affecting access to agricultural mechanization are financial barriers, preference to manual labor, and lack of appropriate technology that they need. Mechanizing agricultural operations improved the income, yield, and quality of life of the farmers, but increased their expenses. The Business Model Canvas and Service Blueprint were used to present the overall operations of the cooperative and how they deliver their service to their members and customers. The study revealed that CAFMPC has a lot to improve in their Operations, Human Resources, and Marketing, while their Financials are in good status. The study showed that CAFMPC has the influence to affect the shift of the farmers to mechanization, however, they lack the right approach to effectively do this.

The study used the Case Study Method and Fishbone Analysis Model to identify how CAFMPC might improve their operations to improve the adoption of agricultural mechanization among smallholder farms. The conclusion reached by the study is that CAFMPC should invest in having small-scale equipment for rent to ease the transition form manual labor to mechanized operations. The cooperative should also improve the training and education of their members, marketing strategies, and specific aspects of their operations such as providing a clear service menu and process for their services.

Language

English

LC Subject

Agriculture, Cooperative, Farmers, Social groups

Location

UPLB College of Economics and Management (CEM)

Call Number

LG 993 2024 M17 S48

Document Type

Thesis

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