Efficiency Analysis of Civil Society Organization- Accredited Agricultural Cooperatives in the Cordillera

This study examines the financial performance and relative efficiency of the Civil Society Organization (CSO)–accredited agricultural cooperatives in the Cordillera Administrative Region, Philippines. Using secondary financial data obtained from the Cooperative Development Authority–CAR, the study analyzes 88 cooperatives employing correlation analysis, multiple regression models, and Data Envelopment Analysis (DEA) under a Variable Returns to Scale (VRS), input-oriented framework. Results reveal substantial heterogeneity in cooperative size, revenues, and net surplus. Correlation analysis shows that total assets are very strongly and positively associated with total revenues (r = 0.964, p < 0.01) and strongly related to net surplus (r = 0.759, p < 0.01), highlighting the central role of asset base in cooperative financial performance. Regression results further confirm that total assets exert a significant positive influence on both total revenues and net surplus, while total operating expenses exhibit a statistically significant negative effect, indicating inefficiencies arising from excessive input utilization. DEA findings indicate a low mean efficiency score of 0.279, suggesting that cooperatives could achieve current output levels while reducing inputs by approximately 72.1%. Only six cooperatives (7%) were found to be fully efficient, while the majority operated well below the efficiency frontier.