The feasibility of Indonesian potato’s farming and its global competitiveness
Abstract Potato’s farming in Indonesia is thought to be profitable. However, its competitiveness in global production is questionable. The purpose of this study is to analyze the financial feasibility of potato’s farming in Indonesia and its competitiveness in global production. The data used were the results of National Farmers Panel (PATANAS) surveys in 2008, 2011 and 2017. The cost and benefit analysis were used to analyze the financial feasibility. In addition, productivity and producer price were used to measure its global competitiveness. The results showed that potato’s farming during the period of 2008 to 2017 was highly profitable. The R/C ratios were high and continued to increase. These results showed that potato’s farming in the study area is profitable and feasible to be done. In contrast, although potato’s farming in the study area is very profitable, it has no competitiveness in global production, due to the relatively low yield and high cost shown by producer price. The highest cost component was seed. Therefore, there should be a significant effort to find out the efficient use of seed, as well as to increase the capacity of farmers in producing good quality seeds efficiently. It is a challenge for breeding research to produce potato’s varieties with higher yields than currently exist in Indonesia. Another challenge is the research on the use of cut seed into pieces with minimum of two shoots per section.