Other Agriculture Study

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Addressing the Aggregation and Coordination Problems in Smallholder-based Value Chains

(World Bank, Washington, DC, 2018) Shepherd, Andrew W.

Smallholder production predominates in many areas of primary food production in Indonesia. Yet, outside of oil palm and poultry, contract farming is rare as are other forms of collective action or vertical coordination. Fragmented production and market interfaces give rise to high transaction costs and problems in matching supply with downstream or consumer requirements. Yet, there is a growing body of international experience promoting multiple models to help realize some economies of scale within smallholder-based production systems and effectively addressing the aggregation and market-matching problems. These include different forms of joint farming operations, shared services, farmer organizations, contracting arrangements or partnerships with agro-enterprises, and other models. Their suitability and need for public enabling support varies depending upon the underlying circumstances. This note synthesizes experiences, lessons learned, and success factors with potential relevance for Indonesian staple food crop and horticultural production.
The Economics of Tobacco Farming in Indonesia

(World Bank, Washington, DC, 2017-10-06) World Bank Group

This report aims to contribute to the policy debate over the reform of the Indonesian tobacco excise tax system by reporting results of a nationally representative survey of and focus group discussion with smallholder tobacco farmers that examine their livelihoods and how tobacco tax reform may affect these households.
The Economics of Clove Farming in Indonesia

(World Bank, Washington, DC, 2017-09-23) World Bank Group

This report aims to inform the current debate over the taxation of kreteks in Indonesia by examining clove-farming livelihoods. It presents results from a comprehensive, household-level, economically-focused survey of 600 clove farmers across the two largest clove-growing regions, Sulawesi and Central Java. The survey examines the role that clove farming plays in these households’ economic lives, among other related topics.