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Analysis of The Impact of Tractor Technology Use on Time Efficiency, Rice Production Costs, and Farmers' Welfare in Cangkring Village, Plered District, Cirebon Regency

Year: 2025

Type: article

Abstract: Mechanized two-wheel tractors have become increasingly important for improving smallholder rice farming efficiency in Indonesia.This research analyzes the impact of introducing tractor-based tillage on labor time, production costs, and farmer welfare in Cangkring Village, Plered, Cirebon.A quantitative survey of 60 rice farmers was conducted, measuring farm budgets and using SEM-PLS modeling to link tractor adoption to efficiency and income outcomes.Results show average paddy yields of 7,000 kg/ha at IDR 6,500/kg, giving gross revenue ~IDR 45.5 million/ha.Total production cost averaged about IDR 20.635 million/ha (≈Rp17.97Mfixed and Rp2.67M variable), yielding a net profit of IDR 24.865 million/ha (R/C≈2.2).The cost of mechanized operations (hand tractor plowing plus power-threshing) was relatively low (~IDR 1.39 million/ha).SEM-PLS analysis confirms that tractor use significantly improved field efficiency (path β≈0.36, p=0.001) and reduced unit production costs (β≈0.58,p<0.001).Both greater time efficiency (β≈0.45,p<0.001) and lower costs (β≈0.22,p=0.034) had significant positive effects on farmer welfare, and tractor use also had a significant direct positive effect on welfare (p=0.025).Mediation tests revealed strong indirect effects of mechanization on welfare via efficiency and cost savings (indirect β≈0.806 and 0.804, p<0.001 each).These findings indicate that small-scale tractor mechanization substantially boosts productivity and profitability for Indonesian rice farmers.In conclusion, adopting tractor-based mechanization greatly enhances labor productivity and income among rural smallholders, suggesting that targeted support (training, subsidies) for such technology can significantly improve farmer welfare and agricultural efficiency in Indonesia..

Source: Jurnal Ekonomi Teknologi dan Bisnis (JETBIS)

DOI: 10.57185/jetbis.v4i8.190

Authors: Annisa Madani, Salma Nurul Dzakiyyati Nabilah, Dwi Purnomo

Institution: Universitas Swadaya Gunung Jati

Language: English

Topic: Agricultural Innovations and Practices

Subfield: General Agricultural and Biological Sciences

Field: Agricultural and Biological Sciences

Domain: Life Sciences

SDGs: Decent work and economic growth, Zero hunger, Industry, innovation and infrastructure, No poverty

Open Access status: diamond

OpenAlex ID: W4413505705

FWCI:

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