Developing Stakeholders' Participatory Framework in Rice Agribusiness: The Case of Pandan Wangi Rice from Indonesia

Abstract

Rice is an important food crop in Indonesia pointing to the fact that majority of 267.7 million of Indonesian people consume rice in daily basis. Among hundreds of rice varieties in Indonesia, Pandan Wangi rice is superior rice cultivar and gains Geographical Indication (GI) certification for its unique characteristics. These attributes largely correspond with previous research finding of rice-eating consumers, which chose special features, quality of rice and certification logo as their rice preference (Sakolwitayanon et al., 2018). Despite the huge potential market and superior quality, the growth of Pandan Wangi rice agribusiness is still low. Previous research identified the need of stakeholder analysis to bring up development of rice agricultural sector (e.g. Spangenberg et al., 2018). However, current stakeholder analysis guideline is considered too general, lack applicability in stakeholder identification and good practice, and need a systematic framework particularly in a complex setting (Wang and Anies, 2019). Karakosta et al. (2017) suggested stakeholders' participatory approach which is capable of providing more accurate result based on key stakeholders' opinion in their specific area of expertise. In particular, Krywkow and Hare (2008) have developed four main phases of participatory processes: first, preparation of problem analysis and stakeholder layer; second, stakeholders' familiarization of problem and planning; third, dialogue among stakeholders to gain more solid information and contribute knowledge; and fourth, gaining response from the participants and validating the results. In view of the above, there is a need to investigate participation of key stakeholders in Pandan Wangi rice value chain as an effort to maximize Pandan Wangi rice business potential. Accordingly, the objective of this study is to develop stakeholder's participatory framework as the guideline tools to solve rice agribusiness growth problem. In particular, we assess preference of rice eating consumers, of which the result will generate input for the framework development and thus, allowing Pandan Wangi rice agribusiness to achieve the expected outcomes. Keywords: consumer preference; geographical indication; participatory framework; rice producer; stakeholders