Tropentag, October 5 - 7, 2011 in Bonn "Development on the margin"

Collective Action for the Marketing of Mango in West Java, Indonesia

¹University of Bonn, Agricultural Science and Resource Management in the Tropics and Sub Tropics, Germany
²University of Bonn, Center for Development Research (ZEF), Germany

Abstract

Mango (Mangifera indica) has become a major importance to the incomes in Indonesia especially for the export market. However, low quality mango production is the main constraint to penetrate export market. Not merely for export market, the obstacles that may prohibit the attempt of producers to market their product are a limited capital and lack of information on market requirements and prices. To overcome the barrier resulting from small size productions and limited resources, pooling resources and market products collectively in the form of community based organisation can be a solution to reduce high transaction cost and provide better access for mango growers. The study evaluates the external and internal factors that trigger the willingness to work together and motivation to act collectively to achieve visible collective benefits from market participations.

This research employs a qualitative approach through case study. The aim of this approach is to understand the coordinated behaviour for mango production and its supply chain through level of trust and reciprocity among individual group members. Interviews were conducted with 30 respondents representing the mango growers and rent-trees farmers in Cirebon, West Java as well as other stakeholders concerned.

The empirical work itself was conducted in the year of 2010 in Cirebon, West Java, Indonesia. The key findings are as follows: firstly, internal and external factors may induce the motivation of acting collectively. The dimensions of human and economic capital act as the boundary to internal factors whereas external intervention is the important aspect on external environment. Secondly, a patron vassal relationship remains vital; namely a leading role that attracts members to comply with good mango production practices and encourage members to access input market such as fertiliser and pesticide collectively. Thirdly, individual group members state that financial and technical supports are the reason to participate in group activities. Fourth, working together is the main reason to obtain price premium and incentives toward willingness to comply with standards set by external bodies (e.g. government, retailers, NGOs).

Keywords: Collective benefit, coordinated behaviour, Indonesia, mango

Contact Address: Yacinta Esti, University of Bonn, Agricultural Science and Resource Management in the Tropics and Sub Tropics, 10640 Bonn, Germany, e-mail: Yacintadaad-alumni.de