The Influence Of Rubber Price Fluctuation On The Performance Of Smallholder Rubber Plantation In Central Kalimantan, Indonesia

Abstract: The fact is that today the price of rubber in the international market fluctuates every year. These conditions indicate the magnitude of the risks faced by rubber farmers. This research relates to the symptoms implementation of the Clean Bokar Program, as well as its impact on the household economic behavior of rubber farmers. The purpose of this study is to identify the profile of rubber plantation business in Central Kalimantan, to assess the performance of the farmers as a result of international rubber price fluctuations, and to analyze the policy simulation of bokar (pre-processed rubber) price enhancement at the farm level on the economic performance of rubber farmer households. The samples were determined by using the disproportionate stratified random sampling method. The data was processed with SAS program (Statistical Analysis System). The results show that the plantation sub-sector has a relatively large contribution to the agricultural. This fluctuating international rubber prices have a significant effect on the activity and production decisions of both rubber farmer groups and rubber farmer households. In addition, the obvious effects are the reduction in the type of products produced, in the working time of the head of the households, and in the type of farming input. The 30 percent increase in bokar price policy simulation (at the farm level) has increased the rubber latex productivity by 22,504 percent in which the total bokar production increased by 25,383 percent. This means that a 30 percent increase in bokar price (at the farm level) increase. Key-Words: Rubber Price, Farmer Performance, Households Economy, Production Decisio