Abstract

This study aims to determine the contribution of the agriculture sector in the economy in North Sumatra Province and to find out the superior agriculture commodities. The data used in this study is secondary data, namely data on the production of various agricultural commodities in North Sumatra Province and Indonesia for the period 2019-2020. Quantitative description analysis in the form of contribution analysis and growth analysis is used to determine the contribution of the agricultural sector in the economy in North Sumatra Province in 2016-2020. Static Location Quotient (SLQ) and Dynamic Location Quotient (DLQ) analyses are used to analyze superior agricultural commodities. The results show that the contribution of the agricultural sector has decreased to the economy in North Sumatra Province in the 2016-2020 period. The results of the SLQ and DLQ analyses show that the superior agricultural commodities that are cross-sub-sectoral are Red Chili, Cabbage, Tomato, Eggplant, Durian, Salak, Rubber, and Fisheries. The superior agricultural commodities come from the Horticulture Sub-sector, Plantation Sub-sector, and Fisheries Sub-sector. Meanwhile, commodities originating from the Food crop Sub-sector and Livestock Sub-sector did not contribute to the creation of superior agriculture commodities in North Sumatra Province in 2019-2020.

Highlights

  • National development goals can be achieved through achieving development goals in each region [1]

  • The agricultural sector is the mainstay sector as a contributor to GRDP and as the sector that absorbs the most labor compared to other sectors

  • the growth rate of the agricultural sector in the 2016-2020 period is still lower than the general Gross Regional Domestic Product (GDP) growth rate

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Summary

Introduction

National development goals can be achieved through achieving development goals in each region [1]. One of them is the achievement of agricultural development This is because the agricultural sector is still a sector that contributes greatly to national development [2]. The agricultural sector is the dominant sector in the economy in North Sumatra This is because the agricultural sector is the main contributor to the formation of Gross Regional Domestic Product (GDP). In 2017, the GRDP of the agricultural sector reached 121,300.05 billion rupiahs, or 24.88 percent of the total GRDP [3]. Another important position is the high export value of agricultural commodities (18.58%), the value of industrial exports, which are mostly agriculture-based industries, and the agricultural sector is still where most of the people work (38%)

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