ANALYSIS OF LABOR PRODUCTIVITY RESPONSE OF INDEPENDENT PALM OIL PLANTATION TOWARDS PRICE FLUCTUATION OF FRESH FRUIT BUNCH IN BANYUASIN REGENCY

Abstract

Analysis of Labor Productivity Response of Independent Palm Oil Plantation towards Price Fluctuation of Fresh Fruit Bunch (FFB) in Banyuasin Regency. A study which examined how independent farmers manage their allocated working time on their palm oil plantation. One of the production factors to be analyzed was the factor of labor productivity which has an important role in every farming activity. Measuring the labor productivity in managing independent palm oil plantations, whether it can be managed and utilized properly to achieve optimal results, can be attributed to the development of fluctuating FFB prices. In the last few years, some agricultural commodities which have export value such as palm oil had fluctuating selling prices, where the CPO selling price was influenced by the world crude oil price of which automatically impacted the price of FFB received by palm oil farmers. The study was conducted in the Banyuasin Regency area. The data from primary and secondary sources of independent palm oil farmers, i.e. the sample characteristics, plantation area, production, costs of production factors, number of labor, labor costs and the selling price of FFB. Thus this study was examine how labor productivity response of independent plantation towards price fluctuation of FFB analyzed by the income of independent farmers, the FFB production, and the production costs using the regression equation analysis model approach. Then it was discussed descriptively how independent farmers managing their palm oil plantations.

Keywords

• fluctuation
• palm oil
• labor
• plantation