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Research Paper

Year: 2020 | Month: November | Volume: 7 | Issue: 11 | Pages: 63-67

Value Added Analysis and Factors Affecting the Income of Arabica Coffee Farming in Payung District, Karo Regency

Aditia Erick Cantona Simatupang1, Kelin Tarigan2, Rahmanta2

1Postgraduate Students Department of Agribusiness, Faculty of Agriculture at Universitas Sumatera Utara, Indonesia.
2Postgraduate Lecturer Department of Agribusiness, Faculty of Agriculture at Universitas Sumatera Utara, Indonesia.

Corresponding Author: Aditia Erick Cantona Simatupang

ABSTRACT

The purpose of this study was to analyze the added value of processing arabica coffee in the form of unhulled, greenbean and powder, to analyze the income of processing arabica coffee in the form of unhulled, greenbean and powder, and to analyze the factors that affect the income of Arabica Coffee Farming in the study area. This research was conducted in Payung District, Karo Regency, with a purposive method. The number of samples obtained was 88 samples of Arabica Coffee Farming using the slovin method. The analytical method used in this research is descriptive analysis, income analysis, multiple linear regression analysis. The results showed that the added value obtained from processing arabica coffee in the form of unhulled was Rp1,773.30, greenbean form was Rp9,311.08, and the powder form was  Rp136,347.69. Arabica coffee processing income in the form of unhulled is Rp2,377,742.3/production, in the form of greenbean is Rp3,823,977.5/production, powder of Rp11,152,347.7/production. Production factors, labor wages, seed costs, fertilizer costs, and selling prices have a significant effect simultaneously on the income of Arabica Coffee Farming in Payung District. Production factors, labor wages, fertilizer costs, and selling prices have a significant effect on the income of Arabica Coffee Farming, while seed costs has no significant effect on the income of Arabica Coffee Farming in Payung District.  

Keywords: Production Factors, Seed Costs, Fertilizer Costs, Labor Wages, Selling. Prices, Income.

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