ISHS Acta Horticulturae 369: Symposium on Small Scale vegetable production and Horticultural Economics in Developing Countries
IMPACT OF MARKET DIVERSIFICATION ON HORTICULTURE FARM DEVELOPMENT IN TANAH KARO, NORTH SUMATERA |
| Authors: | B. Hutabarat, B. Winarso |
| Abstract:
Tanah Karo is known to be a production center for horticultural crops, especially vegetables, in North Sumatera. Development of horticulture, however is subject to the interaction of existing market forces, that is domestic and export market. Other factors affecting the development are existing market organization and costs and margin of marketing of the commodities. The paper is aimed to investigate and analyze the interaction among those factors. Fieldwork was undertaken in February to April 1992, by focusing attention on two commodities, potatoes and spring onion, by interviewing farmers, middlemen and traders. It is shown that potatoes posseses export and domestic market outlet, thereby its price and development is more dynamic than that of spring onion. Marketing margins for potatoes during the time of fieldwork are; middlemen pricr Rp 345.00; wholesale price Rp 412.50; export price Rp 400.00 per kg. In the mean time although spring onion has export potential. Its volume is small relative to domestic distribution, its margins are; wholesale price Rp 490.00; inter-island or province traders Rp 700.00 per kg. The research also identifies that the major constrains to development of marketing organization and agent are lack of capital and facility to enter the market. | |
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