Analisis Efisiensi Produksi Padi Sawah Di Provinsi Riau

Abstract

This study aimed to determine the application of techniques and the efficiency level of rice farming in Riau Province. Descriptive analysis and Data Envelopment Analysis was used to analyze the efficiency level. The main findings of the study indicate that the application of rice farming technique in Riau Province has not been done properly. The using of maintenance and cultivation technique have not fully implemented the Six Precise system, i.e the exact number, place, type, price, quality, and time. Based on the results of the analysis using DEA: Firstly, most rice farming is technically inefficient because of the land using, seed, fertilizer, pesticide and labor which still exceeds the required capacity. Secondly, almost all rice farmers are inefficiently allocative because of the high ratio of input prices and output prices. Third, rice farming is almost entirely economically inefficient. The policies that can be applied by the government is to subsidize production factors, especially seeds, fertilizers and pesticides. It is necessary to apply the policy of giving bigger price incentive to the farmers on every kilogram of rice produced. Besides, the policy of agricultural insurance to rice farmers need to be applied so that farmers remain motivated to continue to conduct rice farming activities.