ESTABLISHING SUSTAINABLE COFFEE BUSINESS PARTNERSHIP AT THE FARM LEVEL
Abstract
In Indonesia, the agricultural sector still has a significant role in the national economy, such as the plantation subsector, namely the coffee commodity which is able to contribute to the country's foreign exchange aside from meeting domestic industrial needs. Coffee business partnerships are needed to provide added value and profits among market actors. This study aims to provide an overview of the concept of building sustainable coffee business partnerships. This study was carried out in two coffee production centers, namely Pupuan District, Tabanan Regency as a center for Robusta coffee production, and Kintamani District, Bangli Regency, as a center for Arabica coffee production. The key respondents selected were farmers, farmer group administrators, coffee business actors, government and universities. Data was collected using interview techniques, observation, documentation and focus group discussions. Data analysis uses descriptive methods.
The research results show that coffee business partnerships in the Kintamani and Pupuan areas are one of the efforts that can be made to increase the income of coffee farmers. Business partnerships between market actors are based on a business model that is determined in advance. The market actors involved are farmers/coffee farmer groups, coffee entrepreneurs/coffee exporters, universities, financial institutions, government. This coffee business partnership aims to increase coffee production and the income of coffee farmers as producers. All market actors have a harmonious relationship and gain proportional economic benefits in playing their roles in this partnership. This means that developing coffee business partnerships will provide added value and income for coffee farmers as members of farmer groups. There is a need for intensive assistance to farmer groups, as well as monitoring and evaluation activities to realize the sustainability of coffee business partnerships.
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