Russian Journal of Agricultural and Socio-Economic Sciences (Jan 2019)
USING INPUT-OUTPUT ANALYSIS APPROACH TO IDENTIFY THE ROLE OF AGRICULTURAL SECTORS IN JAMBI ECONOMY
Abstract
This study aims to analyze the linkages of agriculture sector to other sectors of the economy of Jambi Province and also to know the multiplier output and export multiplier of the agricultural sector. The agricultural sector which in fact is the dominant sector in Jambi can not develop optimally due to lack of maximum use of existing resources, so can not meet the needs of the region. The results of this study indicate that the structure of demand and supply tends to fluctuate; the structure of trade output has the largest contribution followed by the oil, gas and geothermal mining sector. The largest structure of value added is from the oil, gas and geothermal mining sector and is followed by the trade sector. GDP according to the largest business sector is from the agricultural sector and shows an increasing trend. The biggest number of output multipliers is the rubber sector, sawmills and wood processing, and other goods industries. While the biggest income multipliers are from the palm oil sector, other goods industries and the beverage industry. The biggest linkages between backward sectors are the rubber sector, sawmill and wood processing industry, and other goods industries. The biggest future linkages are the oil, gas and geothermal refining industry, financial institution banks, and other food industries. The key sectors in the economy of Jambi Province during the 2007-2016 were other food industry sectors, industrial goods from rubber and plastic, electricity and drinking water and land transportation.
Keywords