Sensitivity Analysis of Swiftlet Farming in Kota Bangun, District Kutai Kartanegara Regency, Indonesia

DOI

10.2991/absr.k.220102.011How to use a DOI?

Keywords

Benefit; Cost; Financial feasibility; Sensitivity analysis; Swiftlet

Abstract

farming is a high-risk business. However, given the level of income (as measured by financial viability), most swiftlet farmers take the risk. Swiftlet farming is a business that lasts for a long time. During this period there are several changes that occur, which will affect the viability of the business. These changes include costs, selling prices and production. This research aimed to analyze the sensitivity of swiftlet farming in Kota Bangun Subdistrict, East Kalimantan, Indonesia. This research used quantitative analysis method. Data were collected using purposive sampling to determine the location and sample of swiftlet houses, as well as in-depth interviews with respondents. The sensitivity analysis of Swiftlet farming was analyzed using the net Benefit-Cost Ratio (net B/C), Net Present Value (NPV), Internal Rate of Return (IRR) and Payback Period (PP) methods, assuming an increase in operating costs of 15 % and a 30% reduction in benefits. The results showed that Swiftlet farming in Kota Bangun District is still financially feasible if there is an increased in operational costs by 15% or a decreased in benefits by 30%, as well as an increased in operational costs and a decreased in benefits occured simultaneously.

Copyright

© 2022 The Authors. Published by Atlantis Press International B.V.

Open Access

This is an open access article under the CC BY-NC license.

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TY  - CONF
AU  - Mursidah Mursidah
AU  - Abubakar M. Lahjie
AU  - Masjaya Masjaya
AU  - Yaya Rayadin
PY  - 2022
DA  - 2022/01/07
TI  - Sensitivity Analysis of Swiftlet Farming in Kota Bangun, District Kutai Kartanegara Regency, Indonesia
BT  - Proceedings of the  International Conference on Tropical Agrifood, Feed and Fuel (ICTAFF 2021)
PB  - Atlantis Press
SP  - 69
EP  - 73
SN  - 2468-5747
UR  - https://doi.org/10.2991/absr.k.220102.011
DO  - 10.2991/absr.k.220102.011
ID  - Mursidah2022
ER  -