Competitive Advantage of Banana Stone

Abstract

Banana stone (Musa balbisiana), which was formerly known as wild banana, has now become a tame banana, because it is no longer only found growing on marginal land, but has expanded to become a versatile commercial plant. This study aims to analyze (1) the cost and return of banana stone farming, and (2) the competitive advantage of banana stone. This research was carried out with a survey research approach. Determination of respondents was carried out by stratified random sampling method. Strata is made based on the area of banana stone farming, with 81 people as respondents. The economic value of banana stone was analyzed quantitatively by the analysis of the return cost ratio, and the competitive advantage of banana stone was analysis by a policy analysis matrix (PAM). The result showed that (1) banana stone farming had R/C > 1, economically categorized cultivated, and (2) banana stone farming had a competitive advantage indicated by the PCR coefficient < 1. It was concluded banana stone farming was feasible because every one unit cost incurred result in revenues that are greater than one unit, and to save one foreign exchange unit at the level of private prices required a domestic resources cost that is smaller than one unit. It is recommended that farmers develop further banana stone farming as an instrument to maintain the sustainability of the agricultural sector.