Daya Saing Bawang Putih Di Indonesia

Bella Septiana, Nunung Kusnadi and Ann Fariyanti

Journal of Indonesian Agribusiness, 2022, vol. 10, issue 1

Abstract: Demand for garlic in Indonesia tends to increase, but only a little (< 5 percent) of it was met by national production. This study aims to analyze the competitiveness of Indonesian garlic and identify its determinants. Data used on garlic farming was obtained from the Agricultural Census 2013-Central Bureau of Statistics (BPS), consisting of 121 sample farmers in West Nusa Tenggara province and 98 farmers in Central Java province. The Policy Analysis Matrix (PAM) method was used to measure comparative and competitive advantages which were grouped according to the technical efficiency of production. Efficiency is estimated by the Data Envelopment Analysis (DEA) method. The results showed that garlic has a comparative and competitive advantage in only 55 percent of the total sample. The comparative and competitive advantages of garlic were significantly determined by the technical efficiency of production. Further analysis showed that the competitiveness of Indonesian garlic was sensitive to changes in productivity and output prices. Productivity is the most decisive factor in the competitiveness of Indonesian garlic. Government policies related to input prices and output prices caused farmers to pay lower input prices and accepted output prices higher than their social prices. From this study can be concluded that in general Indonesian garlic was not competitive being produced domestically. Garlic can be produced domestically as an import substitution if it is produced with high productivity and efficiency. It is recommended to improve the technical efficiency of production by utilizing the potential land and technology production optimally.

Keywords: Production; Economics (search for similar items in EconPapers)
Date: 2022
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