Feasibility Analysis and Efficiency of Porang Farming in Gowa Regency Arsal Salama1*, Mahyuddin2, Abd. Haris Bahrun2
1*Student of Agribusiness Postgraduate Program from Hasanuddin University, Makassar
2Lecturer of Agribusiness Postgraduate Program from Hasanuddin University, Makassar
Abstract
Gowa Regency was one of the porang-producing areas in South Sulawesi as shown by the data collected from the South Sulawesi Food Crops and Horticulture Agency in 2021, the harvested area for porang plants was 2,632.69 hectares with a total production of 18,429.83 tons. This study aimed to analyze the profitability and efficiency of porang farming in Majannang Village, Parigi District, Gowa Regency. The method used in this research was schontatic frontier analysis performed to 30 farmer respondents. The results showed that porang farming in Majannang Village obtained an average value of the total revenue cost ratio of 1.67 (>1), while the average value of the total benefit cost ratio was 0.67 (<1) which means the B/C ratio is unbeneficial. Therefore, porang farming in Majannang Village, Gowa Regency was unprofitable but could be improved by performing an excellent development process. The technical efficiency of porang farming was inefficient with an average technical efficiency value of 0.849 (<1). The allocative price efficiency of Porang farming was inefficient shown by the efficiency value of 2.87 (>1) and based on the value of technical efficiency at the efficient price, the value of economic efficiency was 2.43 (>1) which means it was economically inefficient.
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