Institutional Factor Analysis in Soybean Farming in East Java

Abstract

Institutional Factor Analysis in Soybean Farming in East Java

Bambang Siswadi

Email: bsdidiek171@unisma.ac.id

 

ABSTRACT

The government of Indonesia has tried to increase soybean production towards soybean self-sufficiency since current soybean production is still unable to meet the domestic needs thus it should be met through import. One of policy strategies to increase soybean production is through the empowerment of its supporting institutional factors. The research aimed to analyze and determine factors related to soybean institution used as a consideration for farmers in soybean farming development. The research was conducted in East Java using survey method. About 96 soybean farmers selected as sample using simple random sampling method. Data was analyzed using multivariate method, which was factor analysis. The research result indicates that labor availability, superior seeds guarantee, production risk, member interaction in farmer group, technological innovation, extension intensity, and financial resources were soybean institutional factors that determine farmers’ consideration in soybean farming development. The performance of input market institutions and extension factors were influenced by labor availability, technological innovation, and extension intensity factors. The performance of farming institutional factor was influenced by member interaction in farmer group and production risk factors. The performance of external institutional factors was influenced by financial source and soybean superior seeds guarantee factors.

Keywords: institution, self-sufficiency, soybean, East Java