Farmers’ Decision to Delay Selling of Coffee in West Lampung, Indonesia

Abstract

Robusta coffee is a leading export commodity in Lampung Province. Coffee farmers face the problem of high coffee price fluctuations. During the harvest season, the price of coffee will decrease, so farmers are advised to adopt a system of delay selling. This study aims to analyze the system of selling coffee by farmers and to analyze the determinants of coffee farmers’ decisions to delay selling coffee. The research was conducted in West Lampung Regency in November-December 2022. The sub-districts of Way Tenong, Air Hitam, and Batu Brak were purposively selected as research locations. The number of samples is 190 coffee farmers taken by random sampling. Data were analyzed using binary logistic regression. The results showed that 26.84% of the farmers applied a system of delayed selling. Farmers stored coffee in the form of dry coffee fruit to delay selling between 1-10 months after the coffee fruit has dried. With a delayed selling system, farmers got a higher selling price. The determinants of a farmer’s decision to delay selling coffee are farming experience, education level, coffee production, coffee price, household income, and number of family members.