Abstract
This study aims to: (1) analyze the risk of production, price, and income of technical irrigated rice fields and rainfed rice field in South Lampung regency, 2) to analyze farmer behavior against rice farming risk on the technical irrigated rice field and rainfed rice field. The research was conducted in August - September 2016 in Kecamatan Palas, rice production center in South Lampung. The sample of farmers consist of 23 technical irrigated rice field farmers, and 37 rainfed rice field farmers, taken proportionally by random sampling method .Data were analyzed quantitatively including Coefficient of variation analysis, Bernoulli Theory, and Neuman Morgenstern The results show: (1) the risk of production, price, and income faced by rice farmers on technical irrigated rice field is lower than from rainfed; (2) most rice farmers behave neutrally to the risk, on technical irrigated rice fieldvalued78,26 percent and in rainfed rice field valued 81.08 percent. No farmers were found to be brave at risk either on technical irrigated rice fields or on the rain fed rice field.
Highlights
Rice is a staple food for more than 95% of Indonesia’s population
In connection with the existing conditions, this study aims to determine the behavior of farmers towards the risk of rice farming
The results showed that the average age of rice farmers was years on technical irrigated rice field and years in rainfed rice field, each with an average education level of elementary school (SD) and quite experienced in rice farming
Summary
Rice is a staple food for more than 95% of Indonesia’s population. Increased rice production continues to be driven by the Government through the Special Program for Rice, Corn, and Soybean (Pajale) since 2016 until now (Bappenas 2015 and Ministry of RI, 2016). Various efforts have been made to increase production and productivity of rice in order to achieve food sovereignty and to increase the income and welfare of farmers. Increased rice production must be accompanied by risk control. The risk of uncertainty describes a situation that allows for the existence of various types of business results or various kinds of consequences of certain businesses. Failure to achieve the expected income is caused by a variety of risks that cannot be resolved (Kadarsan 1995). Uncertainty situations always occur in agriculture, which results in uncertain outcomes. Fluctuations in agricultural output (production) and price fluctuations are sources of uncertainty in the agricultural sector (Ningsih, 2013)
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