<!--[if gte mso 9]><xml> <o:OfficeDocumentSettings> <o:TargetScreenSize>800x600</o:TargetScreenSize> </o:OfficeDocumentSettings> </xml><![endif]--> Jurnal Agribisnis dan Ekonomi Pertanian (Agribusiness and Agricultural Economic Journal/ AAE Journal) adalah jurnal ilmiah berkala bidang agribisnis dan ekonomi pertanian di Indonesia. Jurnal ini merupakan media penyebarluasan informasi hasil pemikiran dan penelitian dari dosen, peneliti, dan praktisi yang berminat untuk kemajuan agribisnis dan ekonomi pertanian. Lingkup artikel dalam jurnal ini memfokuskan pada kajian agribisnis dari pendekatan makro meliputi aspek sosial ekonomi pertanian sebagai suatu sistem yang komprehensif dan terintegrasi mulai dari kajian subsistem up-stream, subsistem on-farm, subsistem down stream, dan subsistem penunjang serta dampak interelasinya dengan kebijakan pemerintah, perekonomian internasional dan kapitalisasi sumberdaya lahan, petani, dan masyarakat. Adapun dari pendekatan mikro meliputi kajian persoalan-persoalan dalam pengembangan usaha di bidang agribisnis (finansial, kebijakan usaha, dan aspek teknis fungsional). 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A REVIEW OF SUPPLY CHAIN MANAGEMENT LITERATURE AND ITS IMPLICATION TO DEVELOP AGRIBUSINESS IN INDONESIA
Supply chain management has been a popular issues and an interesting discussion topic. It can be seen that many research has been done by academia, researcher, practitioners and policy makers through scientific publication, scientific meeting, and professional development program and course development in university. However, within the SCM studies there is a great diversity of concept and definitions of what constitutes a SCM. This paper is based on literature review with highlited the important to build and develop sustainable SCM. This paper discuss the driving forces of SCM, the concepts and theories related to SCM, the framework to develop SCM, the dimension of SCM and its implications to develop agribusiness in Indonesia.
Copyright (c) 2017 Jurnal Agribisnis dan Ekonomi Pertanian
PERMINTAAN BERAS RUMAHTANGGA PETANI PADI
The ultimate impact of economic changes, government policies and programs on consumption are determined by responses of households. The predicted reaction of households to intervention should be a crucial factor in assessing the merits of various policy alternatives. The results of the present work hopefully enrich our understanding of farm household rice demand behavior. Rice consumption needs special mention, since the commodity is strategic and is highly preferred in basic diet. The study used AIDS (Almost Ideal Demand System) model to evaluate the rice demand behavior of rice farm households. In this system approach, econometrics and judgment are employed in obtaining parameter estimates that meet the restriction which, in part, are of a theoretical nature. Data used in this study was data at household level that has been collected through Patanas (National Farmers Panel). The estimated results clearly showed that rice demand was price inelastic. The estimated income elasticity gave significant results statistically. Income elasticity for rice was also less than unity. In general, estimated elasticities were quite plausible
ANALISIS SISTEM TATANIAGA BERAS PANDAN WANGI DI KECAMATAN WARUNGKONDANG, KABUPATEN CIANJUR PROVINSI JAWA BARAT
The research was conducted in the production center of Aromatic rice pandan wangi West Java (District of Cianjur) in February-March 2009. The objectives of the study were to analyze the market structure and marketing channel of aromatic rice pandan wangi. The figures used were primary and secondary data with descriptive analysis approach. The result indicated that the marketing system of aromatic rice Pandan wangi build closely into a perfect competition market structure with the shortest marketing channel that involve thraser agent and distributor as the most efficient channel.
KETERKAITAN ANTAR SEKTOR PERTANIAN DAN INDUSTRI PENGOLAHAN DI INDONESIA (Klasifikasi 14 Propinsi Berdasarkan Tabel IO Propinsi Tahun 2000)
Only several studies have been conducted to determine how cross-sector linkages occur. The objectives of this study are : (1) to analyze the linkages between the manufacturing sector with the agricultural sector in the regional economy, and (2) to analyze the linkages between the manufacturing with trade, hotels and restaurants sector in the regional economy. Input-output analysis (IO) were used to find out the linkages between economic sectors. The study result shows that Lampung, South Sulawesi, South Kalimantan and North Sumatra have a strong total backward linkages and forward linkages between the manufacturing with agricultural sectors. While North Maluku, NTT, West Kalimantan, West Java, East Java and Banten are the otherwise. The results of linkage analysis between the manufacturing with trade, hotels, restaurants sector shows that there is no province in the study who had strong total backward linkages and forward linkages. Provinces which has a weak total backward linkages and forward linkages between the manufacturing with trade, hotels, restaurants sector are Lampung, Gorontalo, South Kalimantan and West Java.
ANALISIS KEUNGGULAN KOMPARATIF DAN KOMPETITIF KAIN TENUN SUTERA PRODUKSI KABUPATEN GARUT (Studi Kasus pada Perusahaan PT. Aman Sahuri di Kabupaten Garut Provinsi Jawa Barat)
Silk is a industrial product originated from agriculture. This product is important in the national economy. Garut District is one of central area of silk production in Indonesia. Silk produced in Garut is populer among foreign tourists, especially tourists from Netherland, Germany and Japan. The objective is evaluating comparative and competitive advantages of silk products produced in Garut. It is also designed to determine the impact of changes in input and output prices of silk on its comparative and competitive advantage of silk products produced in Garut. This study reveals that silk products of Garut has both comparative and competitive advantage. However, if wage rate and fuel price increase by 15 % and 50 % respectively, the products have no more competitive, but comparative advantage. To improve its competitiveness, agribusiness approach should be integrated into the silk industry.
ANALISIS FAKTOR-FAKTOR YANG BERHUBUNGAN DENGAN MOTIVASI PETANI DALAM BERUSAHATANI TEBU (STUDI KASUS: PETANI TEBU RAKYAT DI DESA TONJONG WILAYAH KERJA PABRIK GULA TERSANA BARU, KABUPATEN CIREBON)
Sugar production growth in Java is quite interesting. Before the economic crisis in 1998, the growth of sugar production was negative, however, after the crisis it became positive. In fact, farmers’ enthusiasm to plant sugar cane started to increase since 2000. This is reflected by the steady larger land area of sugar cane plantation after 2000. Government’s policy on sugar production became more conducive for farmers. There is no more government’s direct intervention on determining sugar cane planting area which is parallel with the strengthening of farmer’s organization (APTRI). APTRI plays important roles in pursuing higher welfare of sugar cane farmers, through achieving higher price of their production. However, it is still clearly unknown, how high is the motivation of farmers to plant sugar cane, and what are the internal and external factors of sugar cane farmers that influence their motivation? This study aims to answer these questions in order to assure the sustainability of sugar cane production in Indonesia. This study employed the case study methods to sugar cane farmers in Cirebon, West Java. The result shows that farmers’ motivation in planting sugarcane is good due to the current sugar business environment that is conducive for them. The role of sugar cane farmers’ association (APTRI) is essential to increase their motivation.
ANALISIS EFISIENSI TEKNIS DAN PENDAPATAN USAHATANI PADI PROGRAM BENIH BERSERTIFIKAT: PENDEKATAN STOCHASTIC PRODUCTION FRONTIER
Indonesian Ministry of Agriculture launched the certified rice seed program in order to increase rice production and productivity where the pilot project was implemented in Karawang. The objectives of this research are to analyze the technical efficiency, structure of cost and income, and to evaluate the implementation of new innovation technology for certified rice seed program. Stochastic frontier production function, with MLE, showed that the technical efficiency has decreased after the implementation of program. The result of technical inefficiency effect before the implementation of program showed that the significant variables were dummy organic and legowo, whereas after the implementation of program were the experience, education, and urea-TSP ratio. This condition showed that the increasing profit was caused by the change of price, not by the increase of productivity. The implementation of farming technology was not successful where only 9.68 percent of respondents used organic fertilizer, 6.45 percent planted young seedlings, 12.90 percent practiced legowo, and 45.16 percent applied fertilizers efficiently.
KEBERLANJUTAN SISTEM KETERSEDIAAN BERAS NASIONAL : PENDEKATAN TEKNIK ORDINASI RAP-RICE DENGAN METODA MULTIDIMENSIONAL SCALING (MDS)
This paper aims to analyze the sustainability of rice availability system at national level, based on sustainability index and status using a Rap-Rice Ordination Technique with Multidimensional Scaling (MDS) Method. This study used primary and secondary data. Result of the MDS analysis Rap-Rice ordinary technique showed that a sustainability index of rice availability system at national level was 64.51, which categorized as sustainable sufficient. Analysis for five dimensions (ecology, economy, socio-culture, institution and technology) showed that a sustainability index of national rice availability system for institution and technology dimensions were relatively high, 91.70 and 77.10, respectively, which felt into good category; the index for ecological and socio-cultural dimensions were 69.64 and 53.74, respectively, categorized as satisfactorily sustainable; and the index for economic dimension was 43.48 which categorized as less sustainable. Results of leverage analysis indicated that 23 out of 60 attributes were sensitivity influential to sustainability of rice availability system. Four attributes from economic dimension as priority to be managed were (1) real wage of farm labor, (2) number of farm households with land holding greater than 0.5 hectares, (3) number of farm labors, and (4) value of Regional GDP.
ANALISIS DAYA SAING DAN KEBIJAKAN PEMERINTAH PADA USAHATANI CABE MERAH (KASUS KECAMATAN CIWIDEY KABUPATEN BANDUNG DAN KECAMATAN LEMBANG KABUPATEN BANDUNG BARAT)
This paper aims to analyze (1) profitability of chili farming privately and socially; (2) competitiveness of chili through competitive and comparative advantages; (3) impacts of government policy on chili farming; (4) impacts of the government policy change on the competitiveness of chili. This research was conducted in Ciwidey sub-district, Bandung district and Lembang sub-district, Bandung Barat district. Both primary and secondary data were used in this research whereas the samples were chosen by snowball sampling method. Policy Analysis Matrix (PAM) was employed in this paper. The survey was conducted from December 2007 to February 2008. The results showed that chili farming in both sub-districts was profitable privately and socially. Chili farming in Lembang was more profitable than in Ciwidey. Both sub-districts have competitive and comparative advantages where the competitive and comparative advantages in Ciwidey were higher. Impacts of output policy have caused the chili farming in both sub-districts received actual output price lower that its social price. Subsidy of tradable and non-tradable inputs caused farmers received cheaper input price. Government policy on input-output has benefited chili farming in Lembang. Increase of production cost, decrease of output price and decrease of production partially or as a whole have caused smaller profitability and higher PCR and DRC that are nearly to one. However, these changes would not change the profit to be the loss or competitive and comparative advantages to be not competitive.
ANALISIS FAKTOR-FAKTOR YANG MEMPENGARUHI PRODUKSI KUBIS DI DESA CIMENYAN, KABUPATEN BANDUNG
Bandung Regency, Jawa Barat Province. It is one of the main producing areas of cabbage in West Java. The study used dummy variable to distinguish between planting time in the early and mid-rainy seasons. Results of analysis showed that the cabbage farms are in increasing return to scale. The regression coefficients of seeds, organic fertilizers, chemical fertilizers, pesticides and dummy of planting implied the positive significant influences on the value of output. Meanwhile, the regression coefficients of land area and pest showed the negative significant influences. Based on the dummy analysis, planting at the beginning of the rainy season is more profitable than planting in the middle of the rainy season.
INTERNATIONALIZATION OF INDONESIAN AGRIBUSINESS: FOSTERING AGRIPRENEURS BY LEVERAGING FOOD QUALITY MANAGEMENT
Food quality is becoming central issue for agribusiness actors as well as globalization and consumers’ concern about food safety and food standards’ rule. Thus, it is important for agripreneurs to manage their food quality to meet the consumer demand and to gain sustainable competitive advantage in the global food market. Based on literature review, this paper discusses the important of food quality management for Indonesian agripreneurs to develop a competitive position and expand their produce to global market. It is proposed that the necessary condition for fostering agripreneurs into global market is through the implementation food chain management.
GEJOLAK HARGA KOMODITAS PANGAN INTERNASIONAL : DAMPAK DAN IMPLIKASI KEBIJAKAN BAGI KETAHANAN PANGAN INDONESIA
The volatility of international food price has become a challenge for food development in Indonesia. General Equilibrium Economic Model was used to analyze the effect of international food price volatility to the Indonesian Macro Economic Condition, besides it also captured the ability from the chosen policy scenario and the increase of productivity which stated to analyze the national food security. The simultaneous equation model (2 SLS) was used to analyze the farm household economic characteristics (RTP), the interaction among production, consumption, income, saving, and the impact which caused from main output price changing (dominant) to RTP food security. The increase in international food price caused the increase in GDP, consumption, wage, and real price. Meanwhile, on the commodities, the effect on production, export and import varied. At the household level, the increase in commodity price would increase consumption, wage and income. Therefore the increase in international price would have positive effect on food security.
TELAAH EFEKTIVITAS PELAKSANAAN PROGRAM RASKIN MELALUI WARUNG DESA : STUDI KASUS PADA PILOT PROYEK WARUNG DESA DI PROVINSI JAWA BARAT TAHUN 2008
Raskin program is the government’s attempt to relax economic burden which poor families face by giving them a certain amount of subsidized-price rice (raskin). In effort to improve the program’s performance, recently the government introduced new concept for the distribution of raskin. By this new concept, the distribution of raskin would be through rural kiosks, not through village-level government network as used to be. Before institutionalized as an alternative for the conventional one, the new concept was tested in some pilot projects located in several provinces, including in West Java Province. Based on the field work in this province, this study concluded that the new concept could improve the program’s performances, especially with regard to quantity and price correctness. It was also found that villagers and local government apparatuses were in support for its implementation. However, it is necessary for the government to monitor and evaluate its implementation on a regular base and to develop a system of governance at village level to assure its good performance. It is also necessary to give a more attractive amount of fee for the owners of kiosk to ensure their commitment to support the program.
QUALITY INCENTIVES FOR SELECTED FOOD PRODUCTS
The increasing income has demanded more various and better quality of agricultural products in the market. The society with better living standard also demanded a more comfortable shopping environment. This paper aims to investigate if the food price is influenced by the product characteristics and shopping environment. The hedonic price function model was used to analyze the influence of product characteristics and shopping ennvirontment to the price. As the sample case, rice, mungbean and peanuts have been selected. The data were collected from the retailers in Jakarta. The result showed that the product characteristics and shopping environment influenced the prices of rice, mungbean and peanuts. The implication of this study is the consumers are willing to pay higher price in order to get better quality and more comfortable shopping environment.
Gender inequality still exists in Indonesia on various sectors. However, the Gender-related Development Index (GDI) and Gender Empowerment Measurement (GEM) showed an increasing trends in recent years. The increase in GDI and GEM index indicates the gender equality in education, labor and business opportunities. Meanwhile, the gender equality in access to credit and capital is still unclear. This paper discusses the gender issue in credit policy, accessibility and utilization in Indonesia using literature review. Gender factor is not explicitly considered in credit policy which means that men and women have the equality to obtain and utilize credit. In reality, the low proportion of women borrower indicates that women accessibility towards credit is lower than men. Increasing in women accessibility towards credit will bring positive effect, economically and socially, for the women themselves and their family. The important implication is that increasing in business opportunities and labor for women will increase the accessibility of women to credit.
ANALISIS RUMAHTANGGA PETANI DAN KETERPADUAN PASAR KOPI DI INDONESIA
Coffee plays an important role in estate crop plantation industry in Indonesia, particularly those managed by farm households. Farm household activities in earning income or productive activities, consumption, investment, and family saving are interrelated. Therefore, decision on land area and coffee production will interrelate with the decision on other commodity productions or non agricultural business, consumption, investment, and saving. On the other hand, the decision on the coffee land area, production, consumption, and export nationally are influenced by the coffee price variable in effect as well as that of the previous period and the exchange rate of Indonesian rupiah on US dollar. The coffee price in Indonesia is influenced by the coffee world price and in this case it is determined by Brazilian coffee as the reference of the world price. From the analysis on the coffee market integration, it was found that the coffee market price in Indonesia integrated with the price of Brazilian coffee has a high level integration (IMC < 1).
A STUDY OF SUPPLY CHAIN MANAGEMENT IN INDONESIAN MODERN FOOD RETAILING CHAINS FOR FRESH VEGETABLE (CASE STUDY: FARM PRODUCER COMPANY, PT. SAUNG MIRWAN, BOGOR, INDONESIA)
Supply Chain Management (SCM) forces business practitioners to focus more on ultimate consumers’ needs. The purpose of this study was to examine the management issues against the six key principles of supply chain management (SCM). Electronic mails and phone interviews with management of PT Saung Mirwan were used to collect primary data about the dimensions of supply chains associated with the six key principles of SCM. This paper shows that the firm has tried to apply the six key principles of SCM although for several aspects the realization was still ineffective and inefficient. Perhaps main limitation of this was its narrow focus on one agribusiness company, thus precluding the generalization of findings to other sectors. Moreover, this study did not involve the company’s partners directly to result in the more accurate data. The findings reinforce the important of developing and maintaining closer relationship with chain’s partners in response to the change in business environments and serving better their end users.
MISKIN TETAPI EFISIEN ? SUATU TELAAH TERHADAP FUNGSI PRODUKSI PADI
The objective of this study is to evaluate whether rice farming in Indonesia has been efficient in utilizing production inputs. This study also analyzes whether the farmers are responsive to the changing on output and inputs prices. The rice farming is taken as a case study because up to present rice is still an important and strategic commodity in Indonesia. Rice is also a commodity that poses lots of government intervention. Data used in this study were data at household level that have been collected through Patanas (National Farmers Panel) project. Based on data analysis, it showed that efficiency of rice farming in Indonesia needs to be improved more. Farmers applied too much labor for their rice farming, especially women labor. Farmers showed a significant responsiveness to the changing of output and inputs prices. As a result, this study suggests the needs to increase the non-agriculture job opportunities in rural area, such as rural industrialization programs, in order to absorb the surplus labor forces.
KEBIJAKAN PUNGUTAN EKSPOR CRUDE PALM OIL KELAPA SAWIT: PERKEMBANGAN DAN MEKANISME PEMUNGUTANNYA
The rise of export tax of oil palm from 1.5% to 5.5% in the period of 2004-2006 was due to (a) the scarcity of cooking oil in the market; (b) the rise of cooking oil price in the domestic market; and (c) the scarcity of availability of domestic crude palm oil. The export tax of crude palm oil policy has long been a fiscal policy issued by the government of Indonesia since 1994. The export tax of crude palm oil has fluctuated, following the demand of crude palm oil in the international market. There is a pro and contra between farmers and the government in determining export tax of crude palm oil. In one hand, the farmers wish to have a very low level of export tax, while in the other hand the government wants to push the export tax at the highest level. This conflict of interest can no longer be solved so far by the crude palm oil stakeholders.
ANALISIS KEUNGGULAN KOMPARATIF DAN KOMPETITIF PENGUSAHAAN KOMODITI JAGUNG DI KABUPATEN GROBOGAN (Studi Kasus: Desa Panunggalan, Kecamatan Pulokulon, Kabupaten Grobogan, Jawa Tengah)
Corn is one of strategic commodities in Indonesia. Corn productivity from year to year continues to increase, but it is lower than the world productivity. This research analyzes the comparative and competitive advantages of corn farm management in Grobogan district, Central Java province. Corn is financially and economically profitable, besides that, it also has comparative and competitive advantages. Government policy on corn commodity has not been running effectively. The most sensitive component of the profit earned in corn commodity in Grobogan is a component of the output price.
BEBERAPA HAL YANG PERLU DIPERHATIKAN DALAM MELAKUKAN ANALISIS SISTEM AGROINDUSTRI TERPADU
The term of agro-industry has widely used as an umbrella to describe the business of food producers, processors, sellers, and services. Briefly, the definitions of agro-industry can be grouped into two different approaches. The first is an industry using agricultural products as its main input material, thus, agro-industrial studies emphasize the food processing management within agro-based enterprises that process mainly agricultural products. The second relates to a development stage, placing agro-industry between agricultural and industrial development where it is often used for sustainable agricultural development, sustainable agro-industrial development, and sustainable development. In order to gain maximum outcome effectively and efficiently, the implementation of the above concepts is named ‘Integrated Agro-industry System’ (IAS), i.e. the integration of the function and role of agro-industry components for making better outcome in the relatively long period. IAS is expected to contribute more significantly in (a) enhancing income and profitability for producers or processors and ultimately increasing the welfare of society and (b) strengthening national economy. Furthermore, IAS shall consider the following unfinished agendas, i.e. (a) rising agricultural population and the declining role of agriculture; (b) rising of urban drift of rural workers may affect the agro/rural industries; (c) if point (b) happened then accelerating growth of the agro-industrial sector will face lack of un-trained personnel; (d) growing the negative impacts of using natural and agricultural resources for industry; and (e) shrinking subsistence farming versus increased cash cropping, coinciding with the depletion of forests, soil and a rise in plant and animal diseases.
METODE QUALITY FUNCTION DEPLOYMENT (QFD) UNTUK INFORMASI PENYEMPURNAAN PERAKITAN VARIETAS MELON
Problems faced by the development of melon fruit in Indonesia are closely related to the domestic availability of seed. Although the government research center as well as private seed producers have been able to produce melon seed, the largest part of the seed supply is still imported. The objectives of this study are to pursue or to identify ideotype of melon that the domestic consumers is willing to consume and to apply QFD methods (to compose HOQ matrix) in developing domestic melon seed breeding. The melon fruit demanded by institutional consumers is the melon fruit without net, and demanded melon fruit by the final consumers is the netted melon fruit. The application of QFD in the planning of the melon varieties is started by composing the HOQ matrix that consisted of the following steps: first, to compose the customers conditions; second, to compose the technical conditions; third, to develop the relationship between the customers and technical condition; fourth, to evaluate the technical competitiveness; fifth, to develop the technical conditions; sixth, to develop the customers condition, and finally, to develop the priority of technical conditions. The recommendation given to the melon seed breeders is to concentrate on the technical conditions with the highest absolute and relative weighted values.
POSISI BERSAING NENAS DAN PISANG INDONESIA DI PASAR DUNIA
The production of pineapples and bananas in Indonesia has tended to increase. However, their export value and volume decreased in the period of 1995-2005. This study aims to analyze the competitive position of pineapples and bananas in the international market. The Herfindahl Index (HI) and Concentration Ratio (CRn) were used to investigate the market structure. Revealed Comparative Advantage (RCA) and Porter’s Diamond Theory were used to investigate the comparative and competitive advantages. The result showed that Indonesian pineapple and banana did not have a comparative advantage.
DAMPAK KEBIJAKAN TARIF IMPOR GULA TERHADAP KESEJAHTERAAN PRODUSEN DAN KONSUMEN
The Government has used a sugar import tariff policy to protect the domestic sugar producers from sugar import competition. The objective of this paper is to analyze the effects of sugar import tariff policy on producers’, consumers’, government and economic welfare. The policy of increasing sugar import tariff will lead to decreasing consumers’ welfare; on the contrary, producers’ welfare and government revenue will increase. Meanwhile, this policy will reduce economic welfare.
Indonesia is the third largest cocoa producing country in the world. The cocoa price in Indonesia refers to the world price. This paper examines the efficiency of world’s cocoa price that is transmitted to cocoa price in Indonesia and in major cocoa producing provinces, such as North Sumatera, South Sulawesi, Central Sulawesi, South East Sulawesi and North Sulawesi. The efficiency of the transmission can be calculated by testing the cocoa’s market integration using two indicators, i.e. short market segmentation and short-run integration. The result showed that the cocoa market in Indonesia was segmented and not integrated with the world market. The cocoa markets in North Sumatera and Central Sulawesi were segmented with the world market, but other provinces were not. On the other hand, only the cocoa market in North Sumatera was integrated in short-run with the world market.
JADI KAYA DENGAN BERBISNIS DI RUMAH” OLEH NETTI TINAPRILLA * FENOMENA WANITA * WANITA BERBISNIS : ANTARA KELUARGA DAN KARIR
Menjadi wanita tidaklah semudah yang dibayangkan oleh seorang pria tentang wanita. Apalagi wanita Indonesia, yang masih sangat kental dengan budaya keTIMURANnya, yang selalu memandang wanita adalah sebagai seorang ibu yang anggun, halus, lemah lembut, selalu dekat dengan keluarga, dengan kasih sayangnya membesarkan buah hatinya, dan sebagainya. Perumpaan dan istilah itu, sepertinya hanya layak diberikan kepada kaum perempuan atau wanita.
TECHNOLOGICAL CHANGES AND PROFITABILITY OF RICE FARMING UNDER DIFFERENT ECOSYSTEMS IN SUMATRA, INDONESIA: A STUDY OF THREE VILLAGES IN KOMERING IRRIGATION AREA
contribution of rice production in Java to the total production in the country has decreased, it has become difficult to depend on Java alone in order to achieve rice self-sufficiency. Thus, extensification program outside Java can be one of the solutions. Based on the questionnaire survey conducted in three villages in Komering Irrigation area in Sumatra, this paper clarified the technological changes in rice farming from rain-fed to irrigated rice field. The future shift of technology from rain-fed to irrigated rice farming will not face many difficulties, since farmers under the rain-fed ecosystem have adopted modern technology, commonly practiced under the irrigated ecosystem, except for direct seeding. By the development of irrigation infrastructure and technology, the productivity has increased and farmers under the newly-irrigated and well-irrigated ecosystems could earn net income double and triple than that of farmers under the rain-fed ecosystem. In addition, because of the stable water supply, farmers were able to diversify their rice fields by cultivating vegetables and raising fish. Thus, land use diversification is needed to be further investigated.
PUBLIC SPENDING AND RURAL POVERTY IN INDONESIA
Indonesia has achieved relatively high economic growth from 1960 until 1997 just before the crisis. During the crisis, the most affected area was the rural area. In 1999, people living under the poverty line in the rural area increased to 26 percent, this number was higher compared to urban area which was 19.4 percent. Public spending has a crucial role in the poverty reduction. The objective of this paper is to investigate the role of public spending, especially agricultural research and development, education and health, in reducing the poverty in Indonesia, especially in the rural area. The result showed that in order to decrease rural poverty the government must focus its effort in increasing TFP by improving literacy rate. Increasing government expenditure on agricultural research will have no effect on rural poverty; meanwhile increasing government expenditure on education will have more effect in increasing agricultural wage rather than non-agricultural wage.
KOINTEGRASI DAN DAMPAK GUNCANGAN INVESTASI LUAR NEGERI TERHADAP EKONOMI AGRIBISNIS DI INDONESIA
The objectives of this research are: (1) to analyze co-integration of the Indonesian agribusiness economy and its international market, and (2) to analyze the impacts of foreign investment policies on Indonesian agribusiness economy. This research used time series econometric approach with the co-integration method of vector error correction model (VECM), referring to the procedure of Engle-Granger (1987) and Enders (1995) with the model of structural matrix equation of Pesaran and Smith (1998). The long term of the Indonesian agribusiness economy will be influenced by foreign investment shocks. Domestic expectation to the increases of household consumption, employment and farmers’ income will be determined by the changes of each own variables. The shocks impact will give positive influence on agribusiness economic variables in the short as well as in the long terms; except for employment, agribusiness productivity and farmers’ income.
PENGARUH RISIKO PRODUKSI DAN HARGA KENTANG TERHADAP PERILAKU PRODUKSI RUMAHTANGGA PETANI DI KECAMATAN PANGALENGAN KABUPATEN BANDUNG (The Influence of Potato’s Price and Production Risk on Farm Household Production Behavior in Pangalengan Bandung)
The farm households face different risk on decision-making of resource allocation, especially production and price risk. The objectives of this paper are: (1) to analyze the effects of input allocation on the production risk, and (2) to analyze the influence of product price and production risk, incorporating the household economic behavior, especially on decision-making in resource allocation. Generalized autoregressive conditional heteroskedasticity (GARCH) model was used to analyze the production variance. The estimation of production function showed that the current production variance was influenced by the production variance of the previous period. Pesticide had a risk-reducing effect on the variance of production. On the contrary, land and nitrogen fertilizer had risk-inducing effect on the variance of production.