Willingness to pay on cattle business insurance in supporting UPSUS SIWAB in Bangka Belitung Province

Suharyanto Suharyanto,Akhmad Ansyor,Zikril Hidayat,M Senge,M.F Kamarudin,A.A Aziz,M.M Tjale,Triyono Triyono,Z Rozaki

doi:10.1051/e3sconf/202131602021

Suharyanto Suharyanto, Akhmad Ansyor + Show 7 more

Open Access

https://doi.org/10.1051/e3sconf/202131602021

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Abstract

Apart from productivity problems, the implementation of beef cattle business is faced with various risks. Several risks faced by smallholder beef cattle business, such as; price, disease, feed, marketing, theft, and relationship with traders. In order to maintain the sustainability of the livestock business, breeders need a guarantee in order to continue their business. This guarantee can be in the form of livestock insurance. Cattle insurance is one of the important programs to support the livestock sector, given the important role of cattle insurance not only for breeders but for various parties. This study aims to obtain information about the willingness to pay (WTP) on cattle business insurance in Bangka Belitung Province. This research was conducted from June to October 2018 in Bangka Belitung Province. Data collection was carried out by interviewing 150 farmers as respondents as primary data. In order to strengthen this, secondary data was collected from the agricultural agency at the provincial level. The WTP value obtained shows that it is still below the value of the premium paid at this time, this indicates that farmers still want subsidies from the government for the implementation of AUTS to minimize the risk of livestock business.

Highlights

Animal husbandry development is part of the development of national resilience to achieve food security and improve the welfare of farmers/ breeders
This study aims to obtain information about the willingness to pay on cattle business insurance in supporting Special Efforts to Accelerate for Increasing Population of Cows and Buffalo in Bangka Belitung Province
The primary data collected is the amount of willingness to pay for the AUTS program, level of readiness of farmers to face risks. while secondary data is the amount of government budget realization in the AUTS program, the data is processed and discussed descriptively

Summary

Introduction

Animal husbandry development is part of the development of national resilience to achieve food security and improve the welfare of farmers/ breeders. The livestock subsector has a very important role in supporting the achievement of national food security. This is because livestock is a provider of animal food from livestock through increased production of various commodities, as well as a provider of raw materials for industry. Seeing the increasing rate of demand for beef, the government is tryingto be able to fulfill it from domestic products, while imports are made to meet its shortcomings [5]. The expected result of beef self-sufficiency is that 10% of the need is met from imports, the rest is met from local beef [6]

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