Abstract
Food commodities play an important role in income increase of people, job opportunities, and regional and national development. Competitiveness of food commodities needs for community welfare increase and national food security and sovereignty. The aims of this research were: (1) to analysis of competitiveness of strategic food commodities in Lampung Province, (2) to analyze the impact of changes of input and output prices against of strategic food commodities in Lampung Province, and (3) to know the policy of suitable minimum prices of strategic food commodities in Lampung Province. This research conducted in Lampung Province from September 2013 to September 2014. The regencies as a sample selected by purposive sampling were Middle Lampung, North Lampung, South Lampung, and East Lampung. The determination of the farmers used stratified simple random sampling. The sample in this study was 120 respondents. The results showed that the farming of strategic food commodities (paddy and corn) had PCR and DCR value less than one point. Strategic food commodities had lesser value due to an increase in fertilizer price and a decline in output prices. The competitiveness of strategic food commodities in Lampung Province was sensitive to output prices decrease. The policy of the minimum price of paddy at least two times greater than the price of corn.
Highlights
Agricultural development intends to achieve competitive and sustainable industrial agriculture based on local resources, to expand food security and nutrition, to improve food diversification, to increase value, competitiveness, and export, as well as to increase welfare and income
Competitiveness of food commodities needs for community welfare increase and national food security and sovereignty
Based on the research that has been conducted, it is concluded that the strategic food commodities farm in Lampung Province are financially and economically competitive with Private Cost Ratio (PCR) and Domestic Resources Cost Ratio (DRC) value less than one
Summary
Agricultural development intends to achieve competitive and sustainable industrial agriculture based on local resources, to expand food security and nutrition, to improve food diversification, to increase value, competitiveness, and export, as well as to increase welfare and income. To achieve those goals, Ministry of Agriculture has set prime target, i.e.: achieve rice self and sustainable sufficiency in production, improvement food diversification, increase added value and export, and improvement of farmers welfare (KementerianPertanian, 2009). The decreased of farm land affect the production of important agricultural commodities in Lampung, namely rice and maize. Low selling prices and high production costs caused low profits
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