Risks of Shallot Farming in Kulonprogo Regency, Special Region of Yogyakarta

Abstract

One commodity in the vegetable horticulture subsector that is susceptible to failure is shallots. Farmers who are logical in their core are risk averse. Farmers’ risk-taking behavior is influenced by socioeconomic factors. The study intends to examine three key aspects of risk: (1) its level; (2) farmers’ risk-taking behavior; and (3) social factors influencing farmers’ risk-taking behavior in relation to shallot farming. The analysis used in the study was descriptive in nature. Observation and interviews were used to collect data, with questionnaire guidance. Compared to the Srikayang variety, the tajuk variety carries a higher risk of shallot farming. Most farmers exhibit aversion to the risks associated with growing shallots. A farmer’s aversion to risk increases with the size of their land, their age, and how frequently their venture fails. Farmers’ risk aversion decreases with education level, amount of shallot farming experience, number of family members, and farm income. Compared to the Srikayang variety, farmers are less willing to take on the risk of growing shallot of the tajuk variety. Farmers who plant shallots in a timely manner will reap the best benefits. Farmers are taught when to plant shallots through counseling.