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Comparison of Risks and Farm Management Feasibility of
Some Potential Agribusiness Commodity in Aceh

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T Fauzi , Mujiburrahmad , A Baihaqi , Romano , and Ramayana 2
1 Department of Agribusiness, Faculty of Agriculture, Syiah Kuala University,
Banda Aceh.
2 Department of Industry, Technology Institute of Medan
E-mail: tfauzi@unsyiah.ac.id

Abstract. Agricultural sector has good potential in improving the economy of Aceh because as
a source of livelihood. Some of the agricultural commodities are patchouli, melon, chili, corn
and soybeans. Such commodities have high economic value, but also high risk, especially
financial, production and market risk. This study aims to identify sources of farm management
risk of potential commodities in Aceh and compare the impact of farm management risks on
agricultural farming systems. This research was conducted in five regencies, 15 districts, and 75
villages throughout Aceh. The samples used were farmers of patchouli, melons, chilies, corn
and soybeans. The samples were determined by systematic sampling in 75 study locations. Data
collection was carried out by field observations and interviews using a questionnaire. The
analysis method is measure farm management risk from some aspects such as production,
market and financing using Risk Assessment (RA) and comparing the amount of risk with the
benefits. The results showed that the greater the risk of farm management, the greater the
potential benefits that will be obtained. The more intensive of farm management, the greater the
cost per unit area but the less risk of farm management. The order of commodities according to
risk is melon, patchouli, chilies, corn and soybeans. The sequence of potential profits earned
also follows this sequence.

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