Strategy for Export-Oriented Fresh Vegetable Supply Chain in Yogyakarta

Abstract

Vegetable products in Indonesia, especially in Yogyakarta actually are potential to be developed into a leading export commodities. Meanwhile, from importer countries' perspective such as Singapore, Indonesian vegetable commodity is still in the third class below Australia, China, Taiwan and Malaysia as the best producers due to its inability to guarantee the sustainability in terms of quality, minimum supply and accuracy of its delivery time. To address this issue, this research proposes a strategy for building an effective and efficient fresh vegetable supply chain system. Analytical Hierarchy Process methodology is used to selected pre-eminent vegetable products followed by SWOT analysis for formulating the strategy. A number of findings are revealed in this research. First, fresh vegetable exporters for Central Java Province are performed by three groups, namely duty agriculture, group of farmers and private exporters. Secondly, the province of Yogyakarta has not formulated the policy for exporting vegetables, while in Singapore as the targeted export destination has a standard quality for its imported products as written in Good Agricultural Practice for Vagetable Farming issued by Agrifood and Veterinary Authority of Singapore. Based on this standard, particularly price criterion, geographical condition and technical support, it is recommended that Yogyakarta should prioritise a number of commodities to be exported to Singapura, namely broccoli, tomatoes, kale, spinach and small mustard. Apart from that, it is strongly suggested to provide training to the farmers, establish cooperation among farmers, and build a technical team to support the farmers in exporting their commodities. This technical team also play an important role in helping farmers in providing important information regarding the market and price. In addition, it assists local government to map the commodities and to plan the planting schedule for the commodities.