dc.description.abstract |
Agricultural extension plays a crucial role in the Indonesian Agricultural
Revitalization Program for the 2005-2025 periods, where sugarcane is one of the
fourteen priority crops. The provision of an agricultural extension was aimed to
increase the income and productivity of sugarcane farmers. This study aimed to
evaluate the effect of agricultural extension access on smallholder sugarcane
farmers' performance in Indonesia. This study used data from the 2014
Indonesian Sugarcane Farm Household Survey, consisting of 8,831 farmers.
This study employed propensity score matching to estimate the effect of access
to an agricultural extension on several outcome variables. These variables were
gross value-added (GVA), net value added (NVA), labor productivity (LP), land
productivity (LDP), net income (NI), and remuneration of family labor (ROFL).
The result shows that having access to an agricultural extension increases GVA
by 40.5%, NVA by 40.3%, labor productivity by 42.8%, and NI by 40.2%.
However, access to agricultural extension insignificantly affects ROFL due to the
differences in family working units. Also, farmers with Agricultural Extension
access have 13.7% lower land productivity than non-Agricultural Extension
farmers since the former has lower input use intensity than the latter. These
results suggest that providing agricultural extension service is adequate to
improve sugarcane farmers' economic performance. |
en_US |