Challenges and opportunities for the development of national hybrid seed production in the agribusiness perspective in Indonesia

Abstract

The development of national hybrid corn seed production is faced by two factors that interplay namely; challenges and opportunities. In an agribusiness perspective, overcoming challenges means creating opportunities. The more challenges that are over come the more opportunities available. Many factors are challenges and obstacles, and many factors are opportunities that can motivate the development of national hybrid corn seeds. The research were conducted in four provinces; in South Sulawesi for 3 years, in Central Sulawesi for 4 years, in Southeast Sulawesi for 3 years, and NTB for 4 years. Five variables i.e. the cohesiveness of farmer groups applying SOP for seed production, institutional support, marketing support, government policy support, and farming profits were considered in the study. The results showed that the most serious challenge faced in developing hybrid corn seed production was marketing. In Central Sulawesi, which has better marketing institutions, breeding corn seeds is more developed than other regions. Profits range from 15 million to 17 million rupiah per hectare. Conversely in NTB and Southeast Sulawesi, marketing is not smooth so breeding does not develop. In NTB, from 2015 to 2017 marketing is carried out within groups and out side groups at a price of Rp.25,000/kg. Likewise in Southeast Sulawesi, the regional government did not provide marketing guarantees so farmers sought their own and had difficulty finding markets because of the emergence of assisted seeds in the region. Captive breeding area in NTB in 2015 was 1.0 ha increased to 3 ha in the second year, increased to 5 ha in the third yea turned to 1 ha in the fourth year. Then the factor as the strong motivator was the establishment of a national corn seed use policy which provides a quota portion of 40% of the need for assisted seeds. This policy motivates all parties concerned to coordinate, both internally coordinating each agency, and externally sothat the quota set by the government can be properly fulfilled.