The Study on Farmers Welfare

Abstract

The agricultural targets in Indonesia, particularly in Bali, cover farmers' welfare improvement, which is aimed to protect farmers from poverty. Some factors that may lead farmers into poverty namely: (1) The low level of technology applied; (2) The small scale of business; (3) The inefficiency of marketing system; and (4) The status of farmers who are mostly peasants. The first two factors result in a small harvest, the third factor causes farmers for receiving low prices, moreover, the fourth factor put the farmers can not make a decision but merely receiving wages. This study aims to investigate the welfare level of farmers in Denpasar based on the grade of Farmer's Term of Trade Indices, which is analyzed according to three criteria, namely farmers who own their own lands, farmers who are both peasants and owning their own lands, and farmers who are merely peasants; to investigate farmers' families efforts; to investigate the scale of business and the farm ownership status of farmers in Denpasar. The results of the study showed that the Farmer's Term of Trade Indices in Denpasar is evenly 104.40%, which was included farmers who own their own lands, farmers who are both peasants and owning their own lands and farmers who are mere peasants. Since the Farmer's Term of Trade Indices in Denpasar was found to be higher than 100.00%, it indicated that farmers in Denpasar have been able to cover their expenses through their revenues, even the revenues might be higher than the expenses. The efforts of the farmers' family members who were productive, especially the housewives, varied among sub-district and hit 86 people or 39.09%. The scale of business of farmers' in Denpasar was evenly 47.27 acre, which consisted of 27.53 acres from farmers who own their own lands, 55.14 acres from farmers who are both peasants and owning their own lands, and 59.13 acres from farmers who are mere peasants. The status of farm ownership was discovered to be an assurance for most of the farmers in doing their farm since it has been approved by 82.50% of farmers who agreed with the statement, even though 15.75% of farmers stated being indifferent, while 1.75% did not agree.

Analysis of impact factors on farmers income

“…The land is a physical environment that includes climate, soil relief, hydrology and plants which to a certain extent will affect the ability of land use (Kartika, 2011;Sugiana et al, 2018). According to Arsyad (2002), the land is part of a landscape that includes an understanding of the physical environment including climate, topography/relief, hydrology and even the state of natural vegetation, all of which will potentially affect various human activities both past and present.…”

How macroeconomic performance affects farmer’s term of trade: Evidence from East Java Province, Indonesia

“…Farmers' welfare can be described in an index of the farmers' term of trade (Wibowo, 2020). Although considered not being able to fully represent farmer welfare, this formula is still used today (Sugiana et al, 2018). According to BPS (2021b), The food crop farmers' term of trade in East Java Province in December 2021 increased by 1.33% from 100.88 to 102.22.…”