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Abstract
ABS-299
Middlemen (Tengkulak) and The Ijon System in Salt Production at Madura
Prasetyono, Emi Rahmawati, Fitri Agustin, Ach Fawaiq As^ad, Muhammad Syam Kusufi, Sultan Syah, Muhammad Akbar
Corresponding Author: Prasetyono Prasetyono


Question from Ms. Nur Laila Yuliani
2022.12.21 13:56:49

Good afternoon Mr. Prasetyono and team. Can you explain how can the middlemen really help the farmer? Is there no government funding program?

Reply from Dr. Prasetyono Prasetyono
2022.12.21 15:46:09

Thank you for your attention and question, Mrs. Nur Laila Yuliani.

1. Salt farmers need funds and capital to cultivate their salt ponds. Because they do not have sufficient funds, farmers borrow capital from middlemen. In practice, in the salt production system in Madura, middlemen are owners of capital who give loans to farmers. Loans by farmers occur because farmers experience capital difficulties to start production. Loans provided can be in the form of money/funds and geomembranes. If there is no help from middlemen, farmers cannot produce and produce salt, so they cannot earn income. The decision to borrow from the middleman is the final decision of the farmer. The implementation of this loan was carried out without a written agreement. The consequence of this loan is that farmers must be paid and deducted from the sale of salt.

2. The government has previously provided assistance in the form of geomembrane assistance. However, geomembrane has a limited economic life and must be replaced when going into production. So the government can^t help limiting each farmer^s salt production. Meanwhile, financial institutions are very difficult for farmers to reach because farmers do not have a guaranteed certificate.

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