LECTURE 1-C:

HISTORY OF
COOPERATIVISM
Management/Administration of
References: Cooperative
• Employee Orientation
Handbook on
Cooperative History
by Karen Zimbelman
• International
Cooperative Alliance
• www.cda.gov.ph
HISTORY OF COOPERATIVES
HISTORY OF COOPERATIVES
 Guilds – association of merchants, artisans and
craftsmen
 Prior to industrial revolution in England
 1750-1850: Industrial and Agricultural Revolution
 1760: Cooperative or quasi cooperative industrial
businesses mostly consumer-controlled organization
 1769: Purchasing cooperative (Weavers Society in
Fenwick, Scotland)
 1793: Mutual Aid Societies (Friendly Societies),
England – legalized by the Rose Act or Friend
Society Act
 The rise of Cooperative visionaries
HISTORY OF COOPERATIVES
 Cooperative visionaries:
 Robert Owen (1771-1858): Father of
Cooperation – prominent industrialist who
advocated the establishment of new type of
community to alleviate the suffering & poverty
caused by the industrial revolution
 Charles Fourier (1772-1837): social philosopher
whose plans for self-reliant communities were
motivated by the French Revolution & his view
that the working class was being dehumanized
& repressed
Both envisioned rural villages composed of farms and
small scale industries all operated cooperatively by
the citizens who would live together communally.
HISTORY OF COOPERATIVES
 Cooperative visionaries:
 Dr. William King
(1786-1865):
cooperative developer
and pragmatist.
Established the King’s
Brighton Cooperative
Trading Association
 1825-1830: growth of
cooperative congress
 1833: Rochdale Pioneers
(James Smithies, one of
the pioneers)…first wave
of consumer cooperative
HISTORY OF COOPERATIVES
 1833: Rochdale Pioneers (James Smithies, one of
the pioneers)…first wave of consumer cooperative
 1852: Industrial and Provident Societies Act,
England (provided legal protections and operation
restrictions to cooperatives)
 1848: first credit cooperative established by F.W.
Raiffessen, North Germany
 1875: first agricultural marketing cooperative in
Kaslunde, Denmark

 SPREAD OF COOPERATIVISM ALL OVER THE WORLD

HISTORY OF COOPERATIVES
HISTORY OF COOPERATIVES
-PHILIPPINES
 La Sociedad de los Abacaleros (Society of Abaca
Producers), Dapitan (by Dr. Joze Rizal)
 Rural Credit Law (Act 2508, 1914): by Teodoro
Sandiko: Father of Philipine Cooperation
 First Agricultural Credit Cooperative Association of
Cabanatuan, Nueva Ecija, 1916
 First Consumers Cooperative was organized at the
College of Agriculture, Los Baños, Laguna, 1916
 Cooperative Marketing Law (Act 2425) was enacted
and approved on December 9, 1927
 First Credit Union was organized in Vigan, Ilocos,
Sur, 1938
 Commonwealth Act No. 565 or the Cooperative Law
was passed in 1940 effecting legal sanction for the
organization of Credit and Consumers Cooperative
HISTORY OF COOPERATIVES
-PHILIPPINES
 Please read the attached article on the History of
Philippine Cooperativism
 Questions will be asked about it during the April 25
meeting