Supply Chain Risk Rotential of Smallholder Robusta Coffee Farmers in Argopuro Mountain Area

Abstract

The supply of coffee can be varied depending on several factors such as low productivity, low quality and behind the control of producers (weather, disease). Due to inelastic demand and supply, any change in supply can cause fluctuation in market price. However, coffee farmers face several problems including the various risk involved in the coffee supply chain. The aim of this research was to identify various risks involved in the coffee supply chain and to analyze and evaluate the supply chain actors’ members with the highest risk in the coffee supply chain management. The study was conducted in small enterprise of robust coffee in Argopuro mountain area Jember District, East Java. Analytical Network Process (ANP) and Weighted Failure Mode Effect Analysis (WFMEA) method was used to determine and analyze the highest risk in the coffee supply chain. The results showed that there were six risks identified in the supply chain, such as the quality of Robusta coffee production, prices, supply, environment and transport. The priority of the members of the value chain in the coffee supply chain risk management were the farmer (0.296) with the greatest priority was quality risk (WRNP 222.45).