SEED PRODUCTION ASSESSMENT AND FINANCIAL FEASIBILITY ANALYSIS OF RICE SEED PRODUCTION BUSINESS IN SOUTHEAST SULAWESI, INDONESIA Dahya, Cipto Nugroho, Rusdin, Bungati, Imran, and Asmin
Badan Riset dan Inovasi Nasional
Abstract
Abstract
Quality seed is critical in rice farming because they are a determining factor in increasing rice productivity. Seeds must always be available and easily accessible to farmers in terms of quantity and quality. Therefore, it is essential to assess the rice seeds production and financial feasibility of the seeds production business. The study was carried out in Konawe Regency, Southeast Sulawesi, Indonesia, in 2021. The study area includes nine hectares of rice growing, involving nine farmers who planted the Mekongga cultivar. Among the nine farmers, six were rice seed producers, and three were rice non-seeds producers (consumable rice producers). Each farmer cultivated rice in an area of one hectare. The study reveals that rice seed production is profitable and feasible for businesses. It was shown by the R/C ratio of rice seed production higher than rice non-seed production, 2.83 and 2.27, respectively. The rice seed production also performed a high value of MBCR 4.71. The Rice seed production business is relatively insensitive to the changes in prices and the decline of seed production, although there was a decrease in production by 20% and an increase in production inputs by 20%. Therefore, the rice seed production business needs to be encouraged for smallholder farmers to support seed self-sufficiency.
Keywords: Seed production study, financial advisability, sensitivity.
Keywords: Seed production study, financial advisability, sensitivity
