Analysis of Rubber Price Differences in Jambi Province

DOI

10.2991/aer.k.210825.059How to use a DOI?

Keywords

Rubber, Rubber marketing pattern, Price differences, Marketing Efficiency

Abstract

Rubber is the most valuable export crop produced by small scale agriculture and plays a crucial role in inclusive economic development. Rubber becomes very close to the farmers because of cultivation and processing techniques and provides economic value directly. Jambi Province also one of the third rubber producers in Indonesia. Although rubber plays an essential role as a source of farmers’ income, they always get low prices and are different from other regions in the Jambi province. This research aims to describe the rubber marketing pattern from farmers to the Crumb rubber factory in Jambi Province. Secondly, it aims to analyse the rubber price differences in Jambi Province. The survey method was used at the Region with the highest price in Sarolangun District and the lowest price in Muaro Jambi District. The data collected were primary and secondary sources. The result showed that the pattern of rubber marketing in regions with low and high rubber prices has three marketing channels, but there are only high prices. Marketing institutions involved in marketing rubber produced by farmers are middleman, wholesalers, and crumb rubber factories, where efficient marketing channels are the shortest channel, both in areas with high and low prices. The high difference in rubber prices between the two districts is the difference in the quality of rubber materials, the marketing mechanism, and the frequency of rubber sales. In the future, both rubber farmers in the lowest and highest region price form a fixed farmer group to do rubber marketing and follow the government policy about the rubber processing and marketing unit to cut the channel marketing straight to the factories to get higher prices.

Copyright

© 2021, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Mirawati Yanita
AU  - ErnawatI Hamid
AU  - Zulkifli Alamsyah
PY  - 2021
DA  - 2021/08/26
TI  - Analysis of Rubber Price Differences in Jambi Province
BT  - Proceedings of the 3rd Green Development International Conference (GDIC 2020)
PB  - Atlantis Press
SP  - 336
EP  - 342
SN  - 2352-5401
UR  - https://doi.org/10.2991/aer.k.210825.059
DO  - 10.2991/aer.k.210825.059
ID  - Yanita2021
ER  -