Urban food security from the perspective of marketing performance of rice agroindustry in Dumai City, Indonesia

Abstract

Dumai City is an urban area with a rural economic style, such as the livelihoods of farmers, planters, breeders and fishermen. Even though local rice production shows an increasing trend, the availability of rice for Dumai City is still supported from outside Riau Province. The urban rice agroindustry is present to form an efficient rice marketing performance. This study aims to analyze the availability of rice, marketing channels, and performance in the rice agroindustry in Dumai City. The research method used was a survey method on two agroindustries which were selected purposively based on rice agroindustry criteria. The analytical method used was descriptive qualitative and descriptive quantitative to analyze rice subsistence and marketing channel and also descriptive quantitative to analyze marketing performance of rice agroindustry. The results showed that the rice subsistence level for Dumai City was only 6.7 percent, and the local rice supply for Dumai City was supported outside the province. Based on marketing analysis, the rice agroindustry by Perum Bulog and CV ADAB was included in the efficient marketing category with a total margin value below the selling price of rice, namely Rp. 6,100 and Rp. 1,350, and marketing efficiency values below 30 percent, 10.35 percent, and 2.9 percent. ADAB rice agroindustry with intermediary materials in the form of quality rice from West Sumatra was considered to have more efficient marketing. Implication based on the result is rice agroindustry in Dumai City is worth to develop in order to strenghting food security by local rice production and marketing policy support.