The opportunities and challenges of institutional arrangement for Besuki Na-Oogst tobacco cultivation business: case study in Jember Regency Indonesia

Abstract

Purpose. This research aims at formulating the development strategy for institutional pattern amongst the stakeholders and the policy makers for Besuki Na-Oogst Tobacco in Jember Regency. Methodology / approach. Analytical Hierarchy Process (AHP) and Qualitative Descriptive are applied to obtain and elaborate the perception of all stakeholders related to Besuki Na-Oogst Tobacco Institution in Jember Regency. Samples are collected by using in-depth interview and focus group discussion involving farmer groups, exporters, and policy makers (government). Results. The analysis indicates that the main factor which becomes the priority for developing the institution for Besuki Na-Oogst Tobacco Cultivation is access to all stakeholders, amongst farmers, exporters and policy makers. Originality / scientific novelty. The access to information and technology becomes crucial to increase productivity, the quality, and the sustainability of Besuki Na-Oogst Tobacco. Practical value / implications. The effectiveness and the sustainability of producers as well as the institutional arrangement with market players and the policy makers are the result of the Besuki Na-Oogst Tobacco stakeholders’ relation, which are bonding, bridging and linking. These are essential in the access to national and international market and also yield a positive sum game to cooperate, reach and increase profit as well as share advantages and loss