Abstract

Marelan District is one of the vegetable supplier areas for market needs in Medan City. Mostly the farmers in Marelan District cultivate spinach and mustard. In vegetable farming, farmers are faced the risk of price that can be seen from fluctuations in the price of spinach and mustard. Therefore, alternative that vegetable farmers can do to minimize the impact of risk is by doing diversification. In this research diversification is to combine spinach and mustard crop in farmer’s cultivation area. This combination is referred to as a crop farming portfolio. The results showed that diversification can reduce the risks of farming spinach and mustard. In addition, the portfolio that can be chosen by farmers is the third portfolio which is the portfolio with the lowest risk value compared to other portfolios.

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