The profitability analysis of rubber plantation in Batang Hari Regency and Sanggau Regency (Case study: Penerokan Village and Semoncol Village)

Abstract

During 2009-2012 the price of rubber increased sharply, on the contrary during 2012-2018 the price decreased, and the farm price level in 2018 was lower than the average in 2009. The decline in rubber prices had an impact on the income of rubber farming. This study aims to analyze the changes in rubber prices on the performance of rubber farming and rubber farmers’ incomes The main data used is the ICASEPS’ Patanas database for 2009, 2012, and 2018. This study took cases in small-holder farmer in Penerokan Village (Batang Hari Regency, Jambi) and Semoncol Village (Sanggau Regency, West Kalimantan). Data analysis using R/C ratio. The results showed that the average price of rubber during 2009-2012 increased from IDR7,961/kg to IDR12,968/kg or increased by 62.9%, but in 2018 its decreased by an average of 45% to IDR6,875/kg and tended to decrease. Revenue from rubber farming during 2009, 2012 and 2019 in Penerokan was IDR12,974,000 respectively; IDR10,843,000 and IDR7,878,000 with an R/C ratio of 1.67; 1.87 and 1.67. Revenue from rubber farming in Semoncol 2009, 2012 and 2019 was IDR 10,656,000 respectively; IDR15,990,000 and IDR10,950,000 with an R/C ratio of 1.50; 2.00 and 1.29. The R/C ratio of rubber farming in both villages is more than 1, indicating that rubber farming is economically feasible. Household income in both locations still dominated by agricultural activities.