This research aims to assess the financial feasibility of cocoa investment by smallholders in the province of Central Sulawesi Indonesia. Primary data were collected from 282 cocoa farmers in Sigi and Parigi Moutong Regency. Net Present Value (NPV) and Internal Rate of Return (IRR) were used to evaluate the financial feasibility of cocoa farming with the discount rate of 7% per year. The economic parameters were the price of input and output in 2018. The results showed that the NPV value of IDR 39,906,387 and IRR of 17.82 percent. This implied that smallholding of cocoa is financially feasible to be cultivated but with low profitability. It was due to the less intensive orchards cultivation and old age of cocoa plant. So, more intensive cultivation is required using the young plant and rejuvenation of the old cocoa plants. The government needs to promote cocoa cultivation technology that could improve the productivity of smallholder cocoa and the profitability of farming. So, the smallholding of cocoa in the province of central Sulawesi can become sustainable.
The objective of this study was to present empirical evidence about the sustainability of cocoa farming in Indonesia and how decisions are made in producing cocoa beans. This study used a survey method involving a questionnaire for collecting data. The results showed that the sustainability of cocoa farming was determined by weak sustainable ecological factors (46.07%), moderately sustainable socioeconomic factors (54.43%), moderately sustainable technological factors (55.95%), moderately sustainable factors that help farmers in cocoa farming (59.60%), and weak sustainable factors in cocoa farming families' futures (47.52%). To increase the sustainability of cocoa farming, the current study found that farmer education, cocoa crop rejuvenation, cocoa pest and disease control, cleanliness and quality of cocoa beans, cocoa productivity, institutions, extension, technology, credit availability, and stability of cocoa bean prices are the most important factors to be improved.
Rice is a strategic commodity, so the Government of Indonesia puts forward the standard of building a globally competitive rice farming model by increasing the Total Factor Productivity (TFP). However, until now, farm managers have had a relatively shallow understanding of the TFP concept. This study, focusing on lowland rice farming in Indonesia, identifies the factors that determine the development of the TFP. The main questions in this research are, what are the impacts of farming scale, technical efficiency, allocative efficiency, and the efficiency scale? Has lowland rice farming adopted technology to reduce wasting resources due to an inefficient use of inputs? This study used 329 cross-sectional pieces of data on small-scale rice farming. The research results indicate that lowland rice farming is in a decreasing return condition and that there is technical inefficiency. TFP tends to increase when the farm scale increases. Technical efficiency, allocative efficiency, and scale of efficiency are the main determining factors in developing TFP at the level of lowland rice farmers; of these, technical efficiency is the most important factor.
Many factors cause why farmers do not have the ability to maintain their socio-economic life, mainly because it is difficult to obtain fresh funds, unavailability of production facilities and supporting factors such as fertilizers, superior seeds, counseling, and the low attention of local and central governments.Explorative and developmental research, which focuses on exploratory activities in providing an overview in mapping the profile of farmers, including the supply chain of vegetables sold to the capital city of Palu, the capital city of Central Sulawesi Province as well as a trading center and government. The research was carried out around the areas affected by the Jono Oge and Sidondo Earthquake and Liquefaction of Sigi Regency to look at the marketing chain and Palu City to see the supply chain at the Masomba and Manonda traditional markets, while to see the perpetrators of the trade system were traced based on the location of the traders and suppliers domiciled. To find out the suppliers in the traditional market, a careful identification is carried out so that the percentage (share) of suppliers outside Jono Oge can be known.The data analysis used in this research is descriptive.The longer the marketing chain in the tomato and chili vegetable trading system in the research area around Jono Oge and Sidondo which was affected by the earthquake and liquefaction, the more inefficient it will be. Thus, marketing channel I for both tomatoes and chilies is the one that gives a higher Farmer’s Share value and is more efficient than marketing channel II. All institutions involved in the marketing chain, from farmers, traders to retailers, carry out marketing functions, namely buying, selling, transportation, storage, processing, standardization and grading, financing, risk management, and market information. The margin share of producer farmers in each marketing channel for each tomato and chili is 84% and 89.74%, respectively.
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