Scrutinizing Indonesia’s Agricultural Start-ups

Abstract

Enormous agricultural resources and broad market coverage have not made agricultural startups develop more massively than non-agricultural startups. Agricultural startups play a vital role in helping to provide and improve food accessibility and stimulate the welfare of producers. This study aims to analyze the development strategy of Indonesian agricultural startups. The method used is a qualitative and quantitative approach carried out with discussions/interviews with agricultural startup stakeholders and analysis of Strengths, Weaknesses, Opportunities, and Threats (SWOT). The results show that the right strategy is an aggressive strategy by conducting business expansion in concentration on horizontal integration in each part, both on the upstream side, onfarm, downstream, and as supporting roles. For this reason, various efforts and policies are still needed to reduce the risk of agricultural startup businesses, namely (1) build and develop digital infrastructure, including the development of digital talent, (2) cooperation between the government and the private sector to introduce technology and innovation. In agriculture, (3) developing commodity futures markets and warehouse receipt systems, (4) increasing the role of incubation and or acceleration of agricultural startups, and (5) increasing the availability and accessibility of integrated data as a basis for decision making.

Supporting Start-ups in Indonesia: Examining Government Policies, Incubator Business, and Sustainable Structure for Entrepreneurial Ecosystems and Capital

“…For instance, the legislative framework must be changed to support the government's initiative to develop 1000 digital companies and the national innovation system (Pratama, 2018). Additionally, there is a need for a more comprehensive support system for start-ups, including improved access to and availability of integrated data for decision-making, the growth of digital talent and infrastructure, and improved cooperation between the public and private sectors to implement technology and Innovation across a range of industries (Hermawan et al, 2021).…”