Jurnal Manajemen & Agribisnis

Relative Export Competitiveness in Indonesian and Malaysian Palm Oil Downstream Products

Hansen Tandra — 2023-11-28

Palm oil is an important commodity between Indonesia and Malaysia with a higher contribution to the national economy. However, the investigation into its competitiveness is still important due to fierce competition in the global world. This study aims to investigate the Relative Export Competitiveness (REC) of palm oil downstream and its determinant factors between Indonesia and Malaysia from 1970 until 2020. This study utilizes REC based on merchandise trade and multiple regression by using several variables influencing its REC. The findings reveal that REC in Indonesia has been greater than that of Malaysia over the past 20 years. Initially, Malaysia had a stronger position in REC than Indonesia, particularly from 1971 to 1997. Our analysis demonstrates that REC in Indonesia is positively influenced by factors such as the palm oil policy, the existence of palm oil organizations, and the official exchange rate. Conversely, GDP per capita and the palm oil policy positively impact Malaysia's REC. However, Foreign Direct Investment (FDI) and the ASEAN Free Trade Agreement (AFTA) have a negative effect on REC in both countries. Based on these results, Indonesia and Malaysia must examine proper palm oil downstream policy to boost competitiveness.

Keywords: business analytics, determinant factor, palm oil downstream, relative export competitiveness, trade

The Effect of Distribution of People's Business Credit (KUR) in The Agribusiness Sector and The Factors That Influence It on Papua Bank Performance

Adriana Luciana Bosawer — 2023-11-28

Bank Papua is a financial institution that distributes KUR in Papua and West Papua. However, the KUR agribusiness sector of Bank Papua has decreased from year to year. Therefore, this study aims to determine the effect of KUR on the agribusiness sector and the factors that affect the performance of Bank Papua. Secondary data comes from Bank Papua, BPS Papua and West Papua. The data were processed and analyzed using multiple linear regression with the Ordinary Least Square (OLS) approach to determine the real effect of the independent variables on the dependent variable. The results showed that KUR in the agribusiness sector, loan deposit to ratio, net interest margin, and the conditions of the COVID-19 pandemic were not significant, while operating expenses on operating income had a significant effect on return on assets. Bank Papua must be more efficient in carrying out its business activities by reducing operational costs and increasing operating income, one of which is by increasing KUR distribution in the agribusiness sector as an economic sector that absorbs potential labor and is a sector that can withstand shocks. Operating expenses on operating income that have a negative effect on the return on assets indicates that Bank Papua is not efficient in running its business because it suffers losses. This will have an impact on decreasing credit, especially KUR in the agribusiness sector as an economic sector that is classified as high risk. This is due to its perishable nature and seasonality, thereby hampering the government's goal of developing the potential of Papua and West Papua to improve the welfare and economy of the community.

Keywords: agribusiness potential, KUR agribusiness sector, Papua Bank performance, regression multiple linear

The Analysis of Trading Systems and Disparity of Shallot’s Price in Central Java Province

Yusuf Syauqi Asy-syahid — 2023-11-28

The purpose of this research is to analyze the distribution channel patterns of shallots in Central Java, analyze the efficiency, price spread and share margin in the trading channels and disparities of shallots in Central Java, to determine the effect of prices at the consumer level, the amount of consumption, and the amount of shallot production in the short term and long term against price disparity figures. The data analysis method uses ECM (Error Correlation Model). The results of the analysis show that the red onion commodity trading channel pattern in Central Java has 5 different trading system channels. The shortest shallot commodity trade system channel is on channels III and V, while the longest shallot trade system channel is on channels I and IV. The calculation of marketing margins in Central Java is Rp. 18,800 with a trading system efficiency of 1.16, which means that the marketing is efficient, but the value of the farmer's share of shallot farmers in Central Java Province has a value of 56.16 percent, which means that the value is not efficient. The results of the ECM analysis show that the amount of shallot consumption in Central Java Province in the short and long term has a negative and significant effect on the price disparity of shallots at the farmer level in Central Java Province and is in accordance with the theory and hypothesis.

Keywords: shallots, trade system, disparity, efficiency, error correlation model

Production and Marketing Strategies: Reduce Dependence on The Ijon System and Increase Soybean Farmer's Income

Rosida Panuki Adam — 2023-11-28

The research aims to develop a production and marketing strategy to eliminate dependence on the ijon system and farmers' income. The study was conducted at the Sunda Javanese Transmigration Soybean production center, Dataran Bulan, Ampana Tete District, Tojo Una-Una Regency, Central Sulawesi Province. The sampling technique was the purposive sampling of farmers in Bulan Jaya, Giri Mulyo, Wanasari, Mpoa, and Suka Maju villages. SWOT analysis designs strategic models for increasing production marketing and income. Furthermore, the Revenue and Cost Ratio (R/C) analysis was implemented to see whether the soybean farming business is feasible. The research results show an average production of 2.31 tonnes/Ha/MT and productivity of 1.34 tonnes/Ha/MT. The Production and Marketing Strategy Model as an Effort to Eliminate Dependence on the Ijon System is in Quadrant 1 and Quadrant 2, namely the S-O strategy and S-T strategy. Furthermore, analysis of the R/C ratio (Revenue/Cost) was obtained at = 1.55. The R/C ratio is > 1, so it is concluded that soybean farming is feasible to develop and profitable.

Keywords: ijon system, marketing strategy, production strategy, farmers' income, SWOT

Spatial Linkages of The Agricultural Sector in North Maluku in Indonesia: An Interregional Input-Output (IRIO) Approach

Asrilis Boy Saban — 2023-11-28

The purpose of this study was to analyze the linkages between the agricultural sector and other sectors in North Maluku and the linkages between the North Maluku agricultural sector and other economic sectors in 33 provinces in Indonesia. The data used is the 2016 Indonesia Interregional Input-Output (IRIO) Table data. Linkage analysis, forward linkages effect ratio (IDP) and backward linkages effect ratio (IDK) analysis in the IRIO approach were used to answer the research objectives. The results of the analysis show the forward and backward linkages of the agricultural sector in North Maluku with the highest rank in the food crops and livestock subsector. The IDP and IDK results show that food crops and fisheries are stronger in encouraging the development of downstream industries, while livestock is stronger in encouraging the development of upstream industries in North Maluku. The North Maluku agricultural sector that has the highest total forward linkages between regions is the plantation subsector with North Sumatra Province. The highest total backward linkage is the crop subsector with East Kalimantan. The results of this study should have implications for the evaluation process, and policy formulation of the North Maluku Regional Government. Especially the development of the agricultural sector as an input and output provider aspect. The government is expected to focus on cooperation policies between regions related to trade and market expansion in the agricultural sector.

Keywords: sectoral linkages, regional linkages, agricultural sector, Interregional Input-Output (IRIO)

Comparison of National State-Owned Enterprise and Global Company: Case Study of Efficiency in Fertilizer Producers

Maslani — 2023-11-28

Efficiency for fertilizer producers is critical in facing national and global competition. This study compares the efficiency of national fertilizer producing State-Owned Enterprises (SOE) companies with global fertilizer companies in different market structures. This research uses purposive sampling, namely world fertilizer producers (based on the top 10 in revenue or net profit) and SOE producers. This quantitative research uses the Data Envelopment Analysis (DEA) method on national and global companies from 2015 to 2021. The research results show that no national fertilizer producer was efficient compared to all global producers in the research period. It shows that the domestic oligopoly market structure tends to be inefficient compared to the global perfect competition market structure. Efficient global companies, including CF Industries, PhosAgro, Yara International, Sinofert, and Nutrien, can be used as benchmarks for national companies to increase their competitiveness. When we compare the efficiency among national companies, Petrokimia Gresik (PKG) and Pupuk Kalimantan Timur (PKT) are efficient. The inequality/disparity in efficiency at the national and global level is relatively high, so it is necessary to take strategies such as guaranteeing the availability of fertilizer raw materials in the long term, controlling market share, revitalizing more efficient fertilizer factories, and optimizing the supply chain from upstream to downstream.

Keywords: data envelopment analysis, fertilizer, state-owned enterprise, fertilizer producers

Price Volatility of Agricultural Products: Evidence From Producer Fruits Price in Batu Municipality, Indonesia

Sujarwo Sujarwo — 2023-11-28

This paper attempts to investigate the price volatility of fruits with higher economic values, which are avocado, apple, guava, banana, and jackfruit, and analyzes the long-term and short-term period relationship between production and prices of these fruits. The data used are the quarterly productions and prices of avocado, apple, guava, banana, and jackfruit on the producer level for 2012 to 2020 obtained from Agriculture office of Batu Municipality. The volatility evaluation was using the ARCH/GARCH. The long-term relationship was analyzed using the Johansen cointegration test, and the short-term relationship used the Error Corection Mechanism (ECM). The results of the volatility analysis confirmed that every fruit studied had a low volatility rate. In addition, the productions and prices of the commodities studied had been cointegrated in the long-run; however only avocado, guava, and apple have a short-run relationship. The government is suggested to provide price and production information systems to ensure farmers' market access.

Keywords: price volatility, fruits, ARCH/GARCH, cointegration, ECM

Transforming Sustainability and Health System in Dairy Cooperatives: An Innovative Business Model Canvas For Value Creation in Western Java, Indonesia

Achmad Fadillah — 2023-11-28

The dairy industry is in need of a paradigm shift from traditional practices to a contemporary, enhanced system. This study aims to analyze and characterize business models that bring added value to the conventional dairy business, fostering a more sustainable approach to cattle healthcare. While the amalgamation of sustainable practices and cattle health within dairy business models remains relatively unexplored, this study bridges the gap. In the month of April 2022, a cross-sectional study was carried out in selected dairy cooperative (KPS Cianjur Utara), West Java, Indonesia. By conducting a comprehensive analysis of business model frameworks pertinent to the management and staff of dairy cooperatives, a practical approach has been developed. This approach serves the purpose of assisting cooperatives in meticulously evaluating their existing models while also facilitating the creation of novel and innovative business approaches. This tool involves augmenting the Business Model Canvas (BMC), introducing novel dimensions that operationalize dairy farm and cooperative dynamics. The proposed dairy cooperative BMC framework presents a pragmatic structure for formulating and disseminating a holistic, improved model. Diverse dairy cooperative business models have been identified and extensively deliberated upon. Despite varying organizational architectures and approaches to value creation, a common thread of collaboration and adaptability to external fluctuations runs through all these models. This study lays the foundation for transformative change within the dairy sector, aligning it with contemporary sustainability objectives.

Keywords: sustainable business, business model canvas, animal health, dairy business, KPS Cianjur Utara

Investigating The Asymmetric Effect of Food Commodity Price on The Volatility in Indonesia

Linda Karlina Sari — 2023-11-28

Volatility can be measured, but in fact, there is still frequent debate over the selection of precise measurements in describing volatility. In Indonesia, the commodity market is known for its volatile prices, which can impact the livelihood of farmers, traders, and the wider economy. The existence of possible asymmetry in the behavior of food commodity price volatility in the Indonesian market is not yet known. This paper aims to determine the best model to describe the volatility and to investigates the presence of the asymmetric effect on the volatility of food prices in Indonesia, over the period 2009-2019, on a monthly basis. Modeling of volatility uses the GARCH family model, both symmetric and asymmetric. The results showed that the GARCH asymmetric model produces better performance than the symmetric GARCH. Through the best GARCH asymmetric model, the food commodities used in this study showed a statistically significant asymmetrical effect on volatility. Nevertheless, policymakers and market players need to be aware of the impact of market volatility and implement measures such as real-time price information systems to mitigate its effects. The government can increase food production by providing support to farmers in managing supply efficiency and improving agricultural infrastructure.

Keywords: agricultural commodity, asymmetric effect, asymmetric GARCH, modeling volatility

Perception Analysis of Purchasing Attitude And Willingness To Pay For Coffee and Non-Coffee Beverage Products

Yurika Rahayu Yurika Rahayu — 2023-11-28

The development of the current era has changed people's lifestyles in enjoying beverage products, especially coffee. This research aims to analyze consumer characteristics, the influence of perceptions on purchasing attitudes, and WTP or Willingness To Pay consumer for coffee and non-coffee beverage products. This research uses purposive sampling with a questionnaire as a sampling technique. The sample obtained was 213 respondents. The collected data was analyzed with the SPSS26 program using logistic regression and conjoint methods. The regression results show that when there is an increase in the price of coffee beverage, the taste and price show that quality variables has an influence on consumer purchasing attitudes, so consumers will reduce purchases, and there is a decrease in the price of coffee beverage, taste and discount promotion variables influence consumer purchasing attitudes, so consumers will increase purchase. Meanwhile, there is an increase prices for non-coffee beverage products, taste, menu variant and aroma variables influence consumer purchasing attitudes, so consumers will reduce purchases. and when there is a decrease in the price of non-coffee beverages, the taste and buy1free1 promotions variables influence purchasing attitudes, so consumers will increase purchases. For the result of the konjoin analysis, the combination of attributes that consumers like most is menu variations and buy 1 get 1 free promotion.

Keywords: consumer perception, conjoint analysis, logistik regression, purchasing attitude, willingness to pay

The Impact of One Belt One Road and Indonesia-Pakistan Palm Oil Trade Liberalization

Widyastutik — 2023-11-28

This study focused more on analyzing the impact of the One Belt One Road initiative combined with the scenario of turning Pakistan into Indonesian palm oil trade and investment hub in the Central Asia, South Asia and Middle East Regions on Indonesia's macroeconomy. The analytical method in this study used GTAP model version 9, with reference year 2011. The results showed that the One Belt One Road initiative combined with the scenario of turning Pakistan into Indonesian palm oil trade and investment hub in the Central Asia, South Asia and Middle East Regions has led to an increase in various components of Indonesia's and Pakistan's macroeconomic variables. However, the benefits received by Indonesia in various components of macroeconomic variables are greater than those of Pakistan.

Keywords: One Belt One Road, GTAP, macroeconomy, Pakistan

Business Development Strategy for Smart Watering Product of PT. Hidroponik Padjadjaran Indonesia

Hasna Vidianti Rahmi — 2023-11-28

The urban hydroponic cultivation trend presents a promising opportunity for the advancement of hydroponic agro-industry within Indonesia. This phenomenon has been catalyzed by the innovation of the Smart Watering hydroponic kit introduced by PT. Hidroponik Padjadjaran Indonesia. The Smart Watering system, founded on the principles of self-watering irrigation and electricity-free operation, has unlocked new possibilities in hydroponic agriculture. This study aims to assess the formulation of strategic initiatives for the sustainable growth and continuity of Smart Watering business operations. Employing qualitative and quantitative research techniques, including IFE-EFE, BMC-SWOT, and AHP analyses, the investigation reveals that the IFE matrix scores 2.11, while the EFE matrix scores 2.70, positioning the company in quadrant V. Subsequently, a BMC-SWOT analysis identifies twelve potential strategies, which are further evaluated through AHP analysis to determine priority strategies. The findings underscore market penetration (0.689) as a key strategic criterion, with the top-priority strategy, W02 (0.156), emphasizing active engagement with local and regional hydroponic communities to foster network expansion and enhance human resource competencies. These findings provide a foundation for the implementation of growth and sustainability strategies in hydroponic agro-industry enterprises.

Keywords: Business Development Strategy, Hydroponic, IFE-EFE, BMC-SWOT, AHP

The Impact of Irrigation on The Allocative and Economic Efficiencies On Rice Farming: A Case Study in West Nusa Tenggara Province

Hernawati Hernawati — 2023-11-28

The Integrated Participatory Development and Management Irrigation Program (IPDMIP) is an innovative approach to achieve a sustainable irrigation system. This effort is expected to support the achievement of rice self-sufficiency in accordance with the Indonesian Government's Nawacita program. The purpose of this study was to estimate the technical, allocative and economic efficiencies of rice farming in West Nusa Tenggara Province. Data were collected purposively from 240 samples, with 120 samples that followed the program, and 120 samples non-program. Estimation of allocative and economic efficiency using Stochastic Frontier (SFA) with Cobb-Douglas production function model. The results showed that the factors affecting program rice production were land area, seeds, urea fertilizer, and NPK fertilizer, while non-program were land area, seeds, NPK fertilizer, and organic fertilizer. The average achievement of technical, allocative, and economic efficiency of the rice farming program was 0.906; 0.839, and 0.761 while the non-program was 0.741; 0.794, and 0.892. To achieve the level of allocative and economic efficiency, farmers need to improve the achievement of technical efficiency.

Keywords: economic efficiency, irrigation, production factors, rice paddy

Customer Re-Use Model of Online Vegetables and Fruit Grocery Platform in Indonesia

Fithriyyah Shalihati — 2023-11-28

The online customer satisfaction including re-use behaviour concept has been examined in the literature since the development of mobile and digital activity accelerated for the past two years. In order to determine sustainability of online fruit and vegetables grocery platform utilization in practice, not only understanding adoptions but also it is becoming crucial to have detailed understanding of its drivers continuation of re-using behaviour. Unified Theory of Acceptance and Use of Technology (UTAUT) widely used to observe adoptions of technology more specifically online grocery. In this research we will try to use UTAUT used to identify key driving factors of re-use behaviour. We run primary data collection by survey with probabilistic sampling techniques for existing users of top 2 online vegetables and fruit grocery and test the model using hierarchical multiple regression analysis. Sampling is not only conducted for the one that continues to use the platform but also switchers or stop using the services to gain complete understanding and point of view. Several key observations such as expectation, trust, risk, time, enjoyment and innovativeness will become important variables to extend the baseline. Detailed understanding of key driver using behaviour can be utilized as important business metrics to improve customer stickiness and provide personalized offering.

Keywords: customer re-use, online grocery platform, utaut, structural equations model

Assessing The Impacts of Food and Mouth Disease Outbreak on The Indonesian Economy and Its Regional Growth

Sahara Sahara — 2023-11-28

Foot and mouth disease (FMD) is typically endemic and commonly found as a recurring issue in many developing countries, including Indonesia. In 2022, FMD has massively spread to 62 districts and cities so that it was declared an outbreak which caused significant economic losses. In this paper, we attempt to assess the impacts of FMD on the Indonesian economy by using a computable general equilibrium (CGE) approach. The results show that the FMD outbreak caused negative pressure on national economic growth, reducing the real wage and consumption, as well as exacerbating trade deficit. The outbreak also induced higher prices of beef and dairy sectors as well as their related sectors. Based on the regional perspective, the main production regions of beef and dairy are expected to suffer higher economic loss than that of other regions. Meanwhile, at the household level, the outbreak caused considerable effect in lowering income and consumption, particularly for rural farm households. Some necessary policies to overcome the outbreak, consisting of establishing a FMD handling post, promoting vaccination, extending financial supports, and maintaining communication and transparency with other countries regarding the outbreak status.

Keywords: Computable General Equilibrium (CGE), Foot and Mouth Disease (FMD), livestock, macroeconomy, regional