Supply Response and Determining the Sale Price of Rice on the Level Farmer in the Province of Central Sulawesi - Indonesia

Abstract

This research aimed to analyze the price of rice decent on the farm level and analyze the effect of seed’s amount, seed’s price, rice’s price, corn’s price, and cassava’s price to the supply of rice in the province of Central Sulawesi-Indonesia.  The research was determined by method of Multi Stage Random Sampling, in 12 villages located in 6 subdistricts in Parigi Moutong Regency, Sigi Regency, and Donggala Regency, while respondents were 120 farmer households was determined by simple random sampling. The results showed that, when referred to the poverty indicators set by Sayogyo, the sale price must be offered by the rice farmers amounted Rp16,470 kg^-1, and if it referred to the adequacy of the standards of the World Bank in the amount  U.S. $ 2 per day per soul, then selling price of rice  must be offered by farmers Rp17,647 kg^-1. The rice’s price and seed’s amount had positive effect and significant on the supply of rice in Central Sulawesi Province - Indonesia, while the seed’s price and cassava’s price had the negative effect and significant.

Keywords: prices, supply response, rice