Adrianus et al. / JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) 9(3):625-629

625
Income Analysis of Cattle Business Integrated With Rice Farming in
Semangga District, Merauke Regency, Indonesia
Adrianus
1
, Yosehi Mekiuw
1
, Abdul Rizal
1*
, Nurliah
1
, Nursalam
2
1
Faculty of Agriculture, University of Musamus,
Jl. Kamizaun Mopah Lama, Merauke, Indonesia
2
Faculty of Agriculture, University of Sembilanbelas November,
Jl. Pemuda No 339 Kolaka, Indonesia
*Corresponding author: [email protected]
(Submitted: Novembeer 18, 2021; Accepted: July 03, 2022)
ABSTRACT
Integration efforts generally have the main goal of increasing the production and productivity of
both cattle and rice plants. Increased production and productivity will be in line with the increase in the
income of farmers and will ensure the sustainability of the agribusiness system activities. The main
objective of implementing integration is to increase cattle and rice plant production. The increase in
production will correspond to an increase in the income of farmers and breeders, ensuring the sustainability
of the agribusiness system. The purpose of this quantitative research was to evaluate the income of the
cattle business integrated with rice farming. The method used was a survey with Stratified Random
Sampling technique and the location chosen was Semangga because it is one of the districts in Merauke
Regency with the highest rice production where the majority of the farmers integrate cattle and rice farming
businesses. In this research, the population consisted of farmers as well as breeders who work together.
Primary and secondary data were employed with income analysis followed by R/C Ratio analysis. In
conclusion, the cattle business integrated with rice farming has the potential to be a commercial business
because it can increase farmers' income by IDR 34,434,752 within one year with an R/C of 1.90.
Keywords: cattle, income, integration, rice business
INTRODUCTION
Semangga is one of twenty districts in
Merauke Regency located near urban areas with a
population of 14,698 people and a density of 16.23
km
2
(BPS, 2020). According to the initial survey
results, the community is mainly characterized by
transmigration with livelihoods as farmers and
breeders. A close relationship exists between
Livestock and agricultural businesses in terms of
supporting economic development that generates
community income (Lindawati, 2015; Kusumastuti
et al., 2022; Sulfiar et al., 2022). One benefit of
these two businesses is that they have a symbiotic
relationship, hence, they can support the
development of the agricultural and livestock
sectors, such as the beef self-sufficiency program
which has been endorsed as a priority scale by the
Ministry of Agriculture (Zulkarnain et al., 2021;
Rusli et al., 2021).
One indicator of the success of the
government's beef self-sufficiency program is the
development of the cattle business integrated with
rice farming in terms of production and
productivity (Wardani et al., 2021). This business
has the potential to be developed because it has a
promising economic value and the beef can be
consumed by communities for the fulfillment of
the daily nutritional requirements (Rizal et al.,
2021; Watuwaya & Syamsu, 2021; Zamaya et al.,
2022). Similarly, the rice business has enormous
prospects because it is a primary human necessity.
In practice, cattle are fed rice straw while rice
plants are fertilized with cow dung. The harvested
rice area is 9,614 ha with a production of
55,184.36 tons and a productivity of 5.74 tons/ha
(BPS, 2020).

p-ISSN: 2406-7489 e-ISSN: 2406-9337

Accredited by
Ministry of Research and Technology/NRIA
Strengthening No: 200/M/KPT/2020; December 23, 2020

JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis)
September 2022, 9(3):625-629

DOI: 10.33772/jitro.v9i3. 21731
http://ojs.uho.ac.id/index.php/peternakan-tropis

JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) is licensed under a Creative Commons
Attribution-ShareAlike 4.0 International License.

Adrianus et al. / JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) 9(3):625-629

626
The main objective of implementing
integration is to increase cattle and rice plant
production (Kurniati et al., 2019). The increase in
production will correspond to an increase in the
income of farmers and breeders, ensuring the
sustainability of the agribusiness system (Hastuty,
2015; Amam et al., 2021). Based on these
conditions, this study aims to determine the
income of cattle farming integrated with rice crops
in Semangga District, Merauke Regency by using
income analysis and followed by R/C ratio
analysis.
MATERIAL AND METHOD
In this research, the sample consists of
farmers who work as rice farmers and breeders in
an integrated manner. This quantitative research
utilizes a survey method with the Stratified
Random Sampling technique. Semangga Disctrict
was chosen as the research location because it is
one of the districts in Merauke Regency with the
highest rice production and the majority of the
population are rice farmers who integrate with
cattle.
Several techniques were utilized in the
collection of primary and secondary data. These
techniques include direct observation of the object
in the field to acquire the initial data, followed by
direct interviews with the respondents, namely
farmers and breeders. These interviews were
conducted with the help of questionnaires tailored
to the research needs and documentation was
carried out in the form of photographs, data,
reports, and relevant journals.
The operation and measurement of research
variables are as follows: (a) The cattle business is
integrated with the rice plant business during the
one-year production period, (b) Cattle production
includes all business activities that produce cattle
commodities that are ready to be sold as consumer
goods, (c) Rice production includes all farming
activities that produce rice commodities as
foodstuffs, (d) Cattle production factors comprise
labor measured by people, materials measured by
fruit, and machines measured by units, (e) Rice
production factors include fertilizers measured by
kg, pesticides measured by kg, labor measured by
people, and tools measured by units, (f) Total costs
include all expenses incurred in carrying out the
integration, and (g) Revenue is the final result
obtained by breeder farmers after deducting all
costs used.
The data analysis used is income analysis
with the following formula:
Pd = TR – TC (Soekartawi, 2006)
Note: Pd = Income earned by integrated farming
(IDR); TR = Total revenue multiplied by selling
price (IDR); TC = Total cost or all expenses
incurred in the integrated business (IDR).
Furthermore, an analysis of the R/C Ratio,
which is known as the ratio between revenues and
costs, was carried out. Mathematically, this can be
written using a formula (Soekartawi, 2006), if the
R/C ratio = 1, then there is no profit or loss, while
if the R/C ratio is greater than one, then the
integrated business is profitable.
RESULTS AND DISCUSSION
Analysis of Production, Total Cost, and
Business Income
Fixed and variable costs are the expenses
incurred in the integrated business of cattle and
rice farming. These costs are issued with planting
twice in one year. Furthermore, this business has
assumed that the means of production are
expressed in rupiah (IDR). The cost components
used are shown in Table 1 below.
According to the table above, the total fixed
cost incurred for cattle business was IDR
6,393,610 which was derived from the
depreciation cost of IDR 1,110,277 and the initial
capital cost of IDR 5,283,333. The depreciation
cost was obtained from the depreciation of tools
such as cages, boat shoes, ropes, hoes, buckets,
machetes, and sickles utilized during the period.
Meanwhile, the initial capital was obtained from
the value of the cattle during the business run,
whether purchased directly or through a rowdy
system. The variable cost of the cattle business
was IDR 6,904,722 and obtained from the
purchase of forage, straw, bran, medicine, and
labor, although the labor used was family.
The total cost for the rice business was IDR
25,003,582 obtained from a fixed cost of IDR
18,311,666 and a variable cost of IDR 6,691,916.
Fixed cost in this business includes land rent,
tractor rental, depreciation of equipment, and tax
payments. Meanwhile, the variable cost includes
the purchase of fertilizers, seeds, pesticides, and
labor (Bakari, 2019). The labor used was a family
with an average of three people.
Rice seeds are still used traditionally
because they are acquired from harvests carried
out by farmers and not certified. This will
undoubtedly have an impact on the amount of rice
produced by farmers (Fatmawati, 2019). In
addition, pesticides and inorganic fertilizers used
by farmers were purchased at farm shops while

Adrianus et al. / JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) 9(3):625-629

627
organic fertilizers were obtained from cow dung
released in rice fields which are converted to a
usable form.
Table 1. Average production cost of cattle and rice
integrated business
Cost Component Value (IDR)
A. Cattle Business
Fixed cost
Initial capital 5,283,333
Depreciation 1,110,277
Total 6,393,610
Variable Cost
Forage Feed 3,960,000
Straw 456,333
Bran 2,280,000
Medicine 77,833
Labor 1,800,556
Total 6,904,722
B. Rice Business
Fixed cost
Depreciation cost 12,050,000
Tax 20,000
Land Rent 2,658.333
Tractor Rental 3,583,333
Total 18,311,666
Variable Cost
Seed 565,000
Fertilizer 1,616,250
Pesticide 1,079,000
Labor 3,431,666
Total 6,691,916
Total Fixed and Variable
Costs
38,301,914
Source: Primary Data Processed in 2021
Integrated Business Production and Revenue
Analysis
Identifying the overall production cost of
the beef cattle integrated rice business is crucial for
analyzing the production and revenue of this
business. Furthermore, it is related to the amount
of production and revenue of the integrated
business.
Table 2. Average Revenue of Cattle and Rice
Integrated Business
Production and Revenue
Components
Value (IDR)
Rice Production at Planting
Period 1
34,865,000
Rice Production at Planting
Period 2
22,538,333
Total 57,403,333
Cattle Sales 15,333,333
Total 15,333,333
Total Production and
Revenue
72,736,666
Source: Primary Data Processed in 2021
The table above shows that the production
from the rice business was calculated for two
plantings periods in one year. Rice production
during planting periods one and two was IDR
34,865,000 and IDR 22,538,333, respectively.
Furthermore, the cattle sale was IDR 15,333,333
generated from the sale of calves, brooders, and
bulls sold by farmers for one year. The total
revenue generated from the integrated cattle and
rice farming business was IDR 72,736,666.
Analysis of Production, Income Level, and
Farming Profits
Production and income analysis is an
analytical process related to the breakdown of the
production facility cost, the amount produced, and
farming income. Farming income is the difference
between revenue and production costs incurred
during one year of integrated business
(Soekartawi, 2006).
According to Table 3, the total cost
incurred was IDR 38,301,914 obtained from the
fixed and variable costs (Mustamin, 2018). There
is a decrease in costs of feed and fertilizer since the
integrated cattle and rice farming business reduces
the production cost. Rice straw can be used as feed
by cattle while cow dung is used as fertilizer for
rice plants. This reduces the amount of expenditure
incurred by farmers in farming, resulting in an
increase in income.
The total revenue from the integrated
cattle business with rice farming was IDR
72,736,666 with an income of IDR 34,434,752.
The R/C Ratio obtained from the analysis of
integrated farming production and total costs was
1.90. Therefore, it can be stated that implementing
integrated farming is profitable because the R/C
Ratio is greater than 1. This means that the greater
the R/C Ratio, the more profitable the farming
activities are because the amount of revenue
obtained by farmers from each production cost
incurred by 1 unit will be even greater.
Table 3. Recapitulation of Total Cost, Revenue, and
Farming Income
Description Value (IDR)
Total cost 38,301,914
Rice Production 57,403,333
Cattle Sales 15,333,333
Revenue 72,736,666
Income 34,434,752
R/C Ratio 1.90
Source: Primary Data Processed in 2021

Adrianus et al. / JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) 9(3):625-629

628
CONCLUSION
The integrated cattle business with rice
plants has the potential to be developed as a
commercial business because it can increase
farmers' income. The amount of income generated
from the integrated cattle and rice farming
business in one year is IDR 34,434,752 with an
R/C of 1.90.
CONFLICT OF INTEREST
The author also states that there is no
conflicts of interest with financial relationships,
personal, or otherwise with a person or
organization others related to the material
discussed in the script.
ACKNOWLEDGMENT
This manuscript is part of a long series of
research and sustainable, so that it involves many
parties in the implementation of this research.
Writer team express gratitude to: a) Institute for
Research and Service to Community (LP2M)
Musamus University; b) Agribusiness Research
Group c) Faculty of Agriculture students,
Musamus University was involved in this research.
REFERENCES
Amam, H.B. Setyawan, M.W. Jadmiko, P.A.
Harsita, S. Rusdiana, & M. Luthfi. 2021.
Pengaruh Sumber Daya Manusia Terhadap
Aksesibilitas Sumber Daya Usaha Ternak
Sapi Potong Rakyat. Jurnal Ilmu dan
Teknologi Peternakan Tropis 8(1):57-65.
[Indonesian]
Bakari. Y. 2019. Analisis karakteristik biaya dan
pendapatan usaha tani padi sawah. Jurnal
Sosial Ekonomi Pertanian 15(3):265-277.
[BPS] Badan Pusat Statistik. 2020. Kabupaten
Merauke Dalam Angka 2020. BPS
KabupatenMerauke. Merauke. [Indonesian]
Kurniati, N., E. Efrita, & D. Damaiyanti. 2019.
Sistem usaha tani integrasi berbasis padi
dan Sapi Meningkatkan Pendapatan Petani
di Kelurahan Rimbo Kedui Kabupaten
Seluma Provinsi Bengkulu. Agrikan
12(1):64-69. [Indonesian]
Kusumastuti, A.E., R.B. Nugroho, & U
Wisaptiningsih. 2022. Peran Kelompok
Ternak Margo Makmur Mandiri terhadap
pendapatan peternak sapi perah di Dusun
Brau, Kota Batu. Jurnal Ilmu dan Teknologi
Peternakan Tropis 9(1)129-140. [Indonesian]
Fatmawati. 2019. Local knowledge of farmers in
farming tradition of Tapango Community in
Polewali Mandar. Journal Walasuji
10(1):85-95.
Hastuty, S. 2015. Pola Usahatani Terpadu dalam
Upaya Pengembangan Agribisnis di
Kecamatan Bara Kota Palopo. Journal of
Mathematics and Natural Sciences 4(1):1-
14. [Indonesian]
Lindawati. 2015. Analisis Faktor yang
Memengaruhi Perilaku Ekonomi dan
Kesejateraan Rumah Tangga Petani
Usahatani Terpadu Padi-Sapi di Provinsi
Jawa Barat. Institut Pertanian Bogor. Bogor.
[Indonesian]
Mustamin. 2018. Faktor-faktor yang mempengaruhi
biaya usaha tani. Jurnal Hukum Ekonomi
Syariah 2(2):135-144. [Indonesian]
Rizal, A., M. Abadi, Surahmanto, & L. Harudin.
2021. An Analysis of the Development and
Income of Sahiwal Cross Cattle Business
during the Covid 19 pandemic in Konda
District South Konawe Regency. Journal
Chalaza of Animal Husbandry 6(1):6-11.
Rusli, M., L.O. Nafiu, & H. Hafid. 2021. Strategi
pengembangan ternak sapi potong melalui
program Upsus Siwab di Sulawesi
Tenggara. Jurnal Ilmu dan Teknologi
Peternakan Tropis 8(3):353-361. [Indonesian]
Soekartawi. 2006. Analisis Usahatani. Jakarta. UI
Press. Jakarta. [Indonesian]
Sulfiar, A.E.T., C. Agustin, & T. Nugroho. 2022.
Profile and income of bali cattle farmers
under different farming systems in
Southeast Sulawesi, Indonesia. Jurnal Ilmu
dan Teknologi Peternakan Tropis 9(2):536-
542.
Wardani, L.A., M.F. Sitepu, & E. Frimawaty.
2021. Pengembangan peternakan sapi
rakyat melalui penerapan kandang komunal
berkelanjutan. Jurnal Ilmu dan Teknologi
Peternakan Tropis 8(3):310-318. [Indonesian]
Watuwaya, B.K. & J.A. Syamsu. 2021. Potensi
pengembangan sapi sumba ongole
berdasarkan pemanfaatan limbah pertanian:
studi kasus Kabupaten Sumba Timur. Jurnal
Ilmu dan Teknologi Peternakan Tropis
8(3):328-336.

Adrianus et al. / JITRO (Jurnal Ilmu dan Teknologi Peternakan Tropis) 9(3):625-629

629
Zamaya, Y., A. Pramana, A.R. Ningsih, D.
Kurnia, & L. Manis. 2022. Analysis of
supply chain beef cattle in Riau Province.
Jurnal Ilmu dan Teknologi Peternakan
Tropis 9(2):529-535.
Zulkarnain, D., M. Rusdin, B. Purwanti, & L.O.
Munadi. 2021. Potensi integrasi ternak sapi
bali dan tanaman pangan di Kabupaten
Muna Barat. Jurnal Ilmu dan Teknologi
Peternakan Tropis 8(3):381-389.