Capital Strategy in Diversification Farming Efforts Using SWOT Analysis

Damanhuri, Damanhuri and Setyohadi, D P S and Utami, M M D and Kurnianto, M F and Hariono, B (2018) Capital Strategy in Diversification Farming Efforts Using SWOT Analysis. Journal of Physics: Conference Series, 953. 012121. ISSN 1742-6596

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Abstract

Wetland farm diversification program in the district of Bojonegoro, Tulungagung, and Ponorogo can not provide an optimal contribution to the income of farmers caused because farmers are not able to cultivate high value-added commodities due to limited capital. This study aims to identify the characteristics of farming, capital pattern, stakeholder role, to analyze farming to know the pattern of planting suggestions and prospects, and to formulate capital facilitation strategy. Farming capital is obtained through loans in financial institutions with different patterns. Small farmers tend to utilize savings and credit cooperatives, microcredit, and loan sharks, while farmers with large wetland holdings tend to utilize commercial banks. P enelitian using descriptive method of farming profit analysis, and SWOT. The government through the banking institutions have provided much facilitation in the form of low-interest loans with flexible payment method. The generic strategy of selected capital facilitation is to empower farmers through farmer groups who have the capability in managing the capital needs of their members.

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