Impact of Increase in Input And Output Prices Toward Rice Production In Banten Province-Indonesia
In year 2014 the production of rice in Banten amounted to 2,045,883 tons with a harvested area of 386,398 ha. The objective of this study are: 1) to know the factors of influencing rice production in Banten Province, 2) to know the impact of price increase of input and output on paddy production in Banten Province. This method of study used survey method with 120 respondents. The analysis method uses Simultaneous Equations Model which was estimated using Two Stages Least Squares (2SLS) method. The results of the study were 1) The factors that affect rice production in Banten Province significantly are: Total Use of Certified Seeds, Total Use of SP-36 Fertilizers, Total Use of Solid Growing Substances, Total Use of Solid Pesticides, Total Use of Liquid Herbicides, Total Use of Labor Rent, Land area, and Farm Household Income per year. 2) From the simulation results that the increase in grain prices by 20% will increase production by 4.4% and household income of 11.6%. A 20% increase in the price of Urea and NPK fertilizers could increase rice production by 2.5% and farm household income by 1.1%. So the increase of farm input prices (fertilizer and wage of tractor and labor rent) by 20% does not affect rice production and farmer's income.
Keywords: simultaneous equation model, input and output prices, rice production.
District, Pekalongan Regency. J. Social Economics of Agriculture. 1 (2): 99 -111.
Asnawi R. 2013. Analysis of Factors Affecting Paddy and Hybrid Rice Production in Lampung Province.
SEPA. 10 (1): 11-18.
Aslam ALM. 2015. An Econometric Analysis of Factors Affecting on Paddy Cultivation in Amapara
District. Second International Symposium, FIA-SEUSL. Page:117 – 121.
Anonymous. (2015). Banten in Figure 2015. Central Bureau of Statistic of Banten Province, Serang.
Anonymous. (2013). Banten in Figure 2012. Central Bureau of Statistic of Banten Province, Serang.
Anonymous. (2012). Increaing of Rice GPP not Guarantee the Farmer Welfare.
www.neraca.co.id/article/1090/ Download on 4th September 2014.
Gujarati D. 1988. Basic Econometric. Translation. Erlangga Publisher, Jakarta.
Intriligator, M. 1980. Econometric Model, Techniques and Applications. Prentice Hall of India, New
Koutsoyiannis A. (1978). The Theory of Econometrics: An Introductory Exposition of
Econometric Methods. Harper and Row Publishers. Inc., New York.
Labys. W. C. 1973. Dynamic Commodity Models: Specification. Estimation and Simulation.D. C.
Health and Company. Lexington. Mass.
Muhajirin, Y.Damayanti. Elwamendri. 2014. Analysis of Factors that Affect of Wetland Rice
Production in Batang Asai Sub district, Sarolangun District. J. Socio Economica of Bussiness.
17 (1) : 82 – 91. ISSN:1412-8241.
Nwaobiola C.U., Adesope OM. 2014. Economic Analysis of Small holder Rice Production
System in Ebonyi State South East Nigeria. J. Agriculture and Economic Sciences. 11 (23) :
1 – 10.
Onibala AG, Sondakh ML, Kaunang R, Mandei J. 2017. Analysis of Factors Affecting Rice Paddy
in Koya Village, South Tondano District. J. Agri-Socio Economic of Sam Ratulangi University.
13 (2): 237 - 242.
Prabandari AC, M. Sudarma, P.U..Wijayanti. 2013. Analysis of Factors that Affect Wetland Paddy
Production in Middle stream and Upstream of Ayung Watershed. E-Jurnal of Agribussiness
and Ecotourism.. 2 (3) : 89 – 98.
Sembiring SA. 2018. Analysis of rice policy based on presidential instruction on household food security:
simultaneous equation model. International Conference on Agriculture, Environment, and Food
Security.IOP Conf. Series, Earth and Environmental Science. IOPPublishing. Page: 1 – 6.
Sinaga. B. M. 1997. Quantitative Approach in Agribusiness. Journal of Agricultural And Resource
Socio-Economics). Faculty of Agriculture. Bogor Agricultural University, Bogor. 10 (1): 48
Singarimbun. M., Sofian E.. (1989). Methode of Survey Research. Research Institution Education
and Information of Economic Social, Jakarta
Siagian.V. (2005). Impact Policy of Increase Price of Input and Output toward Production and Farmer
Income in Irrigation Land in West Java Province. Thesis of Master Sciences. Postgraduate
Faculty. Bogor: Bogor Agricultural University.
Siagian V. 2011. Factors which Affect Wetland Rice Production on Dry Season in South Sumatra
Province. Proceeding of National Seminar of Empowering Farmer Through Technology
Innovation of Specific Location. Yogyakarta,25th October 2011. Cooperation between AIAT
of Central Java and Agriculture Extension School of Yogyakarta. Page: 1255 – 1270.
Siagian V. 2011. Factors that influence certified paddy seeds in South Sumatra in 2009/2010 Rainy
Season. Proceeding of National Seminar of Acceleration of Agricultural Development and
Rural Based Innovation and Local Resources. Manokwari, 28th September 2011. Cooperatioon
between Center for Agricultural Technology Assesment and Development and Departement of
Agriculture, Animal Husbandary and Food Security of West Papua Province. Page: 632 – 637.
Authors wishing to include figures, tables, or text passages that have already been published elsewhere are required to obtain permission from the copyright owner(s) for both the print and online format and to include evidence that such permission has been granted when submitting their papers. Any material received without such evidence will be assumed to originate from the authors.
All authors of manuscripts accepted for publication in the journal Transactions on Networks and Communications are required to license the Scholar Publishing to publish the manuscript. Each author should sign one of the following forms, as appropriate:
License to publish; to be used by most authors. This grants the publisher a license of copyright. Download forms (MS Word formats) - (doc)
Publication agreement — Crown copyright; to be used by authors who are public servants in a Commonwealth country, such as Canada, U.K., Australia. Download forms (Adobe or MS Word formats) - (doc)
License to publish — U.S. official; to be used by authors who are officials of the U.S. government. Download forms (Adobe or MS Word formats) – (doc)
The preferred method to submit a completed, signed copyright form is to upload it within the task assigned to you in the Manuscript submission system, after the submission of your manuscript. Alternatively, you can submit it by email email@example.com