Abstract

Red chilli pepper is one of commodities which the price is fluctuate. The study was aimed to determine the performance of farmer institutional and to analyse the economic feasibility of red chilli pepper farming. A purposive sampling method was applied in this study. The study was conducted within August to December 2017, in Kepung District, Kediri Regency, East Java Province. Either the primary and secondary data were collected. As much as 25 respondents have been chosen randomly to obtain farmer institutional information in the study area. The economic feasibility was analysed based on Revenue-Cost Ratio (RCR). The results showed that the red chilli pepper farming in Kepung District was economically feasible as the R/C ratio value was 1.77. The skilled human resources, one aspects of farmer institutional, play important role to support the success of red chilli pepper farming. In conclusion, the red chilli pepper farming in Kepung District is greatly contributed to farmer’s income.

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