TRANSACTION COST ANALYSIS ON CARDAMOM MARKETING IN PADASARI VILLAGE, CIMALAKA DISTRICT, SUMEDANG REGENCY
SENJAWATI, NANIK DARA
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The high exportsand domestic demandson the cardamom commodity make a good prospect for an agribusiness. In Padasari village, many farmers have been cultivating cardamoms on their private lands as well as the public land owned by Perum Perhutani. However, this agribusiness has not supported yet by the adequate institutional. Consequently, the condition has affected tot he farmers’ bargaining position and the market information availability. The incurred transactions usually happen due to the asymmetric information among farmers as sellers. The cardamom farmers have two marketing channels. Firstly, the farmers directly sell their harvests to the wholesalers defined as channel I. Secondly, the farmers sell the harvests to the collector defined as channel II. This research aims :to analyze the transaction cost incurred by the farmers and their margin in the two marketing channels, to analyze the marketing margins for farmers and collectors, to investigate the difficulties in forming farmer groups. The snowball technique is used to determine respondents. The analyses include descriptive analysis, transaction cost analysis, and margin analysis. The results show that the transaction cost incurred by the farmers in channel I is higher than in channel II. However the margins in the two channel were not different. If the dried cardamom harvests are sold, the farmers’ margin would be higher than the collector’s margin in channel II. The non-optimal government support and the uneven farmer consciousness with respect to the importance of institutional have become the obstacles in forming the cardamom farmer group.