CHANGES FROM THE INDIVIDUAL FARMING MODEL TO THE GROUP FARMING MODEL: TYPES, IMPACTS, AND EXAMPLE OF CHANGES

Abstract

The problem of farmers in Indonesia, where the average business is small scale with an average land area of 0,2 hectares, making it difficult to optimize income. This research aims to find out what happens if farming in merged into a business group to increase the business scale. This research uses a combination of researchers’ concepts with the result of previous research. The expected result is a reference for a new business model that can be implemented by farmers. The objects studied include the types of changes that occur along with their impacts and a description of changes in costs due to changes in technology used. The results of this research show several impacts of the changes made. At first glance, some changes seem detrimental to several parties especially farmers. In fact, these changes only substitute factors that usually occur into other factors that provide higher profits.  Such as changes in land processing technology, transplanter machines and combine harvesters which require large capital at the start. In fact, these three types of technology provide many benefits such as accuracy and speed of work, cost efficiency and increased quality of result.