Triangle of Linkages among Modernising Markets, Sprayer–traders, and Mango-farming Intensification in Indonesia

March 20, 2017

Sara Ratna Qanti, Thomas Reardon & Arief Iswariyadi (2017): Triangle of Linkages Among Modernizing Markets, Sprayer-Traders, And Mango Farming Intensification In Indonesia, Bulletin of Indonesian Economic Studies, March 20, 2017. https://www.tandfonline.com/doi/full/10.1080/00074918.2017.1299923

ABSTRACT
The domestic mango value chain in Indonesia is transforming rapidly. This article examines the triangle of linkages among farmers’ participation in modernising markets, the emerging use of outsourced services by sprayer–traders (STs), and farm technology intensification. The key findings are as follows. First, small farmers—not just larger farmers—participate in modernising markets. However, the participation is by the upper tier of small farmers, defined in non-land asset terms. Second, although both small and larger farmers use STs, the strongest determinant of use of an ST is the interaction between having non-farm employment (thus, demand for substitution for own labour on the farm) and having a medium-sized commercial farm (thus, demand for skilled agronomic services). Farmers in mango cluster areas also tend to use STs. Finally, use of STs and participation in modernising markets spur farming intensification through the use of modern inputs.

Sistem rantai nilai domestik untuk tanaman mangga di Indonesia sedang mengalami transformasi yang cepat. Tulisan ini menelaah hubungan segitiga antara partisipasi petani dalam memodernisasi pasar, munculnya penggunaan jasa alih daya oleh penyemprot-pedagang (sprayer-trader, ST), serta intensifikasi teknologi. Temuan-temuan utama adalah sebagai berikut. Pertama, petani kecil, dan bukan hanya petani besar, dapat turut berpartisipasi dalam memodernisasi pasar. Meski demikian, partisipasi tersebut dilakukan oleh kelas atas dari segmen petani kecil, berdasarkan aset non-lahan. Kedua, meskipun kedua kelompok tani baik besar maupun kecil menggunakan jasa ST, faktor penentu terkuat untuk penggunaan ST adalah interaksi antara mempunyai lapangan pekerjaan non-pertanian (yang menimbulkan permintaan untuk substitusi atas pekerja sendiri di dalam pertanian tersebut) dan mempunyai lahan pertanian komersil yang berukuran sedang (yang menimbulkan permintaan untuk jasa agronomi berketerampilan). Para petani di dalam area klaster mangga juga cenderung menggunakan STs. Terakhir, penggunaan ST dan partisipasi dalam pasar modern mendorong intensifikasi pertanian melalui penggunaan bahan baku modern.

Keywords: modernising value chains, customised agricultural services, technology intensification

Tags: agrifood system transformation, customised agricultural services, fsg peer reviewed publications, indonesia, modernising value chains, sustainable agricultural intensification, technology intensification


Authors

Thomas Reardon

Thomas Reardon
517-355-4563
reardon@msu.edu

Sara Ratna Qanti, Thomas Reardon & Arief Iswariyadi


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