The Management Product in the Farmers Level and The Role of Supporting Institutions for Cocoa Fermentation Process

Abstract

Indonesian cocoa production is significantly increasing, but the resulting quality is still low and varied. The main issue in improving the quality of cocoa, primarily in Blitar, and Jembrana, lies not in the lack of capacity of the processing industry, but rather on a strong commitment to implement fermentation seriously. Research objectives were to know the management of cocoa products, the marketing of cocoa at the farm level, and possible vertical integration between traders and farmers. Determining the location of the research used the purposive methods. There were in Blitar, and Jembrana, the both were center cocoa production areas in the East Java and Bali province. The sampling method used the snowing ball method. Data analysis was used the descriptive analysis and vertical integration of market used the concentration ratio analysis. The result of the research showed that most small farmers who do fermentation, the main factor, there were no pricing incentive for fermented cocoa. Marketing cocoa in Blitar district had a more complex marketing channels compared in Jembrana district. Key actor in the cocoa market in Blitar district was Gapoktan, which was able to export and processing. Key actor in the cocoa market in Jembrana district was Subak Abian. In addition, the price of cocoa at the farm level in the Jembrana district was affected by the price at the wholesalers, while in Blitar the wholesaler price was not affected.