Analysis of the Role of the Agricultural Sector in Indonesia in 2015–2020

Marcelina Anggraeni (), Arivina Ratih and Ghania Atiqasani ()
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Marcelina Anggraeni: Lampung University, Economics Development
Arivina Ratih: Lampung University, Economics Development
Ghania Atiqasani: Lampung University, Economics Development

A chapter in Proceedings of the International Conference of Economics, Business, and Entrepreneur (ICEBE 2022), 2023, pp 139-146 from Springer

Abstract: Abstract The agricultural sector in Indonesia is an important sector in the national economy, but its role in the formation of GRDP in most regions has begun to decline. This was followed by a decrease in the area of harvested land. The purpose of this study is to look at the agricultural sector and sub-sector that acts as the base sector in each province in Indonesia. The method used in this study uses the Location Quotient (LQ) method during the period 2015 to 2020. The results of this study indicate that the agricultural sector is still the base sector in most provinces in Indonesia. The agricultural sector is a non-basic sector in the Riau Islands Province, DKI Jakarta, West Java, DI Yogyakarta, East Java, Banten, East Kalimantan, West Papua and Papua. On average, the LQ value for the Sumatra region is 1.76 percent, indicating that the agricultural sector is the base sector of Sumatra. The agricultural sector in the Java region is a non-basic sector with an average LQ value of 0.37 percent. The Bali region has an average LQ value of 1.63 percent with the base sector being the agricultural sector. On average, the LQ value for the agricultural sector in the Kalimantan region is 1.26 percent. The agricultural sector is the base sector in the Sulawesi region with an LQ value of 2.22 percent. The Maluku region has an LQ value of the agricultural sector of 1.80 percent. Meanwhile, the Papuan agricultural sector is a non-basic sector with an LQ value of 0.80 percent on average. The sub-sectors of agriculture, plantations, hunting and agricultural services, food crops and plantation crops are the supporting sub-sectors for the agricultural sector in most provinces. The agriculture, plantation, hunting and agricultural services sub-sectors contributed an average of 1.65 percent to the provinces of Aceh, North Sumatra, Riau, Jambi, South Sumatra, Bengkulu, Lampung, West Nusa Tenggara, East Nusa Tenggara, West Kalimantan, Central Kalimantan, North Sulawesi, Central Sulawesi, South Sulawesi, Gorontalo, West Sulawesi, and North Maluku. The food crops sub-sector contributed 1.51 percent to Gorontalo Province. Meanwhile, the plantation sub-sector contributed 1.35 percent on average to the provinces of Riau, Jambi, Central Kalimantan, and West Sulawesi.

Keywords: agriculture; Location quotient (LQ); Base sector; Non-basic sektor (search for similar items in EconPapers)
Date: 2023
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DOI: 10.2991/978-2-38476-064-0_16

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