THE CONTRIBUTION OF AGRICULTRAL SECTORS ON ECONOMIC GROWTH
Yunus Arifien, Taufik Rahmat and James Sinurat
Universitas Nusa Bangsa
Program Pascasarjana Ekonomi Pembangunan
Abstract
Bogor Regency produces agricultural products, especially paddy and horticulture. In the last decade, agricultural products has been decreased significantly. It can be seen from the decrease of contribution of agricultural sector to the GDP of Bogor Regency. At the same time farmers income has not been improved even it is examined based on the exchange rates faced by farmers. The agricultural exchange rate has been declined. The development funding and agricultural development are supplied by government and non-government. The aims of this study are (1) to analyze potential sectors which have comparative advantages and specialties to be developed and (2) to analyze the role of the agricultural sector, especially paddy, on economic growth. The researh method used is Location Quotient analysis, shift share, typology and regression. The results of the research are that the basic sectors in West Java Province are agriculture, forestry and fisheries; processing industry; and construction. The addition of budget allocations to the agricultural sector, such as training, seed and equipment assistance to farmers have contribution on economic growth. The development of the economic sector can be directed at efforts to create home industry centers on the basis of local excellence in West Java Province. It is also necessary to increase the productivity of the primary sector by implementing appropriate technology, increasing farmers welfare, increasing added value and marketing agricultural products.
Keywords: Agricultural sector, base sector and economic growth
Topic: Economics