Financial Analysis of Annual Plant-Cocoa Intercropping Farming at Kolaka Regency

Abstract

Annual plant-cocoa intercropping farm with cocoa+coconut+patchouli (KKN), cocoa+coconut+anacardium (KKJ), cocoa+coconut+banana (KKP) pattern could minimize a risk of crop failure because intercropping plants resulted in more than one product, hence if one of commodity failed then it was expected profit from others commodity. Farmer want to minimize use of productive input and maximizes output in order to get sustainable production. Objective of the research was to know financial feasibility of annual plant-cocoa intercropping farming in various patterns. Location of the study was Kolaka Regency, with 270 respondents of 9 villages representing 3 districts. This study used random sampling method. This research used financial analysis of farming, such as benefit cost ratio (BCR), net present value (NPV), and internal rate of return (IRR) analysis. The analysis indicated that KKN farming pattern was feasible. KKN pattern had high feasibility to use because had B/C, NPV, IRR, and payback period ratio more feasible that other patterns and the financial analysis of cocoa intercropping farming was more feasible than cocoa monoculture farming.