Sabotaging co-ops, in vain

If the organizers of last Saturday’s protest rally staged by some barangay residents of Barangay Ibabao-Estancia think the disturbance would spoil the inaugural of the Fonus Cebu Federation of Cooperatives building and funeral care facility, they were sadly mistaken.

I was present when this incident happened last week. As I surveyed the spanking new two-story building and mortuary facility, my attention turned to the noise outside by people chanting, “Isira! Isira!”

The Visayan word means “to close,” a message supposedly directed to local government authorities ostensibly because the owners of the funeral parlor failed to get the necessary permits and were thus operating an illegal business.

Nothing of course can be further from the truth.

Fonus Cebu Federation of Cooperatives is a consortium of 9 big-name co-ops in Cebu province who banded together to deliver world-class funeral care service to co-op members. The lead investor is Fairchild Cebu Community Credit Cooperative. Other members of the federation are Lamac MPC, Mandaue Market Vendors Cooperative, Cebu People’s Co-op, Sibonga Cooperative, Campco of Barili, Cordova MPC, Cordova Catholic School Cooperative and Dumanjug Co-op. In other words, the consortium has a captured market of around 100,000 co-op members belonging to primaries that established the consortium. This enterprise is more than 5 years in the making, and when it invited a bevy of local and national VIPs for the inaugural, it strains the imagination to hear the business lacks the proper authority.

Ahead of the grand opening of Fonus Cebu, I had the privilege of speaking with two reps of the consortium over the advocacy show, “Co-op TV” (CCTN Channel 47). Together with co-host Romil Banzuelo, we were able to draw from Reynaldo “Reygan” Gandionco, chairman of the board of the newly formed federation, and Albert Ligan, vice-chair of Cordova Multi-Purpose Cooperative, valuable information that underlined how co-ops can foster deep and meaningful relationships not only between co-ops but also between countries.

Fonus is not just a brand but a Swedish standard for various consumer services for the benefit of co-op members.

In 1944 funeral care became a controversial issue in Sweden because some unscrupulous business practices emerged in the delivery of mortuary services to the victims of World War II. “Men in black plundering estates” was how Swedish media described the industry during those times, indicating that devious merchants were not above making a killing on the already dead.

As the Swedish parliament examined the anomaly, the Church of Sweden turned to the Swedish Cooperative Union for help. Thus was born the Stockholm Funeral Association in 1945, with the aim of promoting ethical practices in the funeral industry. Fifty years later, Fonus funeral care had set up a thriving industry in Norway, followed by Finland and Denmark. The core of the Fonus funeral care business remains based in Sweden and Norway.

The Fonus brand and standard came to the Philippines through the efforts of the National Confederation of Cooperatives or Natcco Network.

In 2008, upon the invitation of the Sweden Cooperative Center (SCC), Reynaldo Gandionco went on an exposure trip to Stockholm to observe trends and benchmark PH co-op enterprises in the fields of retail, housing and funeral care. Five years to the development of these enterprises based on the Swedish model, thousands of Natcco affiliates manage and operate their retail businesses through Coop Mart. Ditto with the Fonus socialized housing model which is replicated in many cooperatives all over the country.

Meanwhile, the Fonus funeral care service is delivered by 7 cooperatives in Luzon, Visayas and Mindanao with Fonus Cebu as the 8th entity having the high-end look and service delivery that gives it an edge, thanks to Reygan who persevered to bring 7 original co-ops on board the consortium. I share his excitement because this is a growth area for co-ops, one in which primaries cannot only prosper but also make a lot of difference for majority of Filipinos.

In the words of Sylvia Paraguya, CEO of Natcco Network, and Jessica Soto, Country Director of Sweden Cooperative Center in the PH (also known as WeEffect) who both delivered solidarity messages during the inaugural, a death in the family is both a sad and delicate moment that traditional families take time and extra care in funeral arrangements.

Finding a suitable place for the wake that sometimes lasts up to two weeks and the subsequent interment take a toll on the pockets of bereaved families. Fortunately for ordinary folks, cooperatives are out to rescue them from “the high cost of dying”.

While protestors made noises in front of the Fonus building, Reygan told newsmen the rally was being instigated by some businessmen who are “allergic” to the presence of a funeraria in the area thinking it will bring them “bad luck”.

What terrible ignorance. These people need only to look at the areas around Imus, Nivel Hills in Cebu City and AS Fortuna in Mandaue City and examine how high-end funerarias have empowered people engaged in transportation, food, cut flowers, casket making and such other supplies that stimulate the local economy. I will no longer mention strides in real estate development for cemeteries and memorial parks that also generate jobs.

People residing around Ibabao-Estancia who joined the protest action should know the people behind Fonus Cebu harbor no resentment since they know poor people are not familiar with the cooperative business model and its social mission.

Despite the hiccup, there was good vibes all around the occasion made significant by the presence of We Effect boss lady Jessica Soto, Natcco Partylist Rep. Anthony Bravo, Natcco network CEO Sylvia Paraguya, former Cong. Cres Paez, CDA 7 regional director Philip Deri and several co-op leaders including a guest from the office of Senator Miguel Zubiri.

In her closing remarks, Ellen Limocon, who runs the multi-awarded Lamac Multi Purpose Cooperative, pledged that Fonus Cebu will commit its social services to the upliftment of the residents who live in the margins of Barangay Ibabao-Estancia.

I know they will not be able to internalize this immediately, but as an advocate immersed in the sector, I can only say the opening of Fonus Cebu is the best thing that has happened to the people of the barangay.

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