Marketing analysis of “Siam” local rice in South Kalimantan during the pandemic of Covid-19

Abdul Sabur,Lira Mailena,Retna Qomariah,Rubiyo Rubiyo,C Indrawanto

doi:10.1051/e3sconf/202130602017

Abdul Sabur, Lira Mailena + Show 3 more

Open Access

https://doi.org/10.1051/e3sconf/202130602017

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Abstract

Social restrictions during the pandemic of Covid-19 caused serious disruptions to the food marketing including marketing of Siam local rice in South Kalimantan. The study aims to analyse the marketing performance and efficiency of Siam local rice in South Kalimantan during the pandemic of Covid-19. The research was conducted in March - June 2020. Respondents were farmers, local traders and wholesalers who were selected using snowball sampling technique. Descriptive analysis was carried out based on the framework of Food Supply Chain Network (FSCN). The data was analysed using quantitative analysis related to marketing efficiency, marketing margin and farmer’s share. The finding of this study revealed that marketing of Siam local rice during pandemic of Covid-19 was remains efficient with the efficiency rate at 10 marketing channels ranged from 6.48%-10.57%. The lowest marketing margin occurred in channel 4 with the largest B/C ratio (2.3) and largest farmer’s share (78.7%) as well since only farmers and wholesaler were actors in this channel. Group of farmers sold grain to wholesalers and wholesalers processed the grain and sold bulk rice to consumers outside the province Therefore, direct marketing channel between group of farmers and wholesaler need to be strengthened in the new normal.

Highlights

The COVID-19 pandemic requires serious handling program to prevent and suppress the spread of the virus
The marketing of Siam local rice was aimed at fulfill the food needs of Banjar etnis in South Kalimantan, Central Kalimantan and East Kalimantan who prefer to consume the dry rice with the small shape and long slender, not spoil and good tastes
Consumers in these two provinces have always received a supply of Siam local rice from South Kalimantan because many Banjar peoples lived in these provinces

Summary

Introduction

The COVID-19 pandemic requires serious handling program to prevent and suppress the spread of the virus. The strategy of large-scale social restrictions will only be effective as long as basic food is available especially rice which was consumed by the majority of Indonesian people [1]. Many farmers in South Kalimantan persist in cultivating this local variety of rice because it had good resistance to agro-ecosystem conditions in this province and has a high production as well. Social restrictions during the pandemic of Covid-19 caused serious disruptions to the food marketing. Mmbado et al [3] mentioned that high transaction costs have caused decreasing on the farmer price. The efficient marketing system potentially decreased the transaction cost and influenced largely the profitability increase as well [4]

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