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Identifying the Sugarcane Trading System in Indonesia: An Institutional Economics Perspective

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Islamic Finance

Part of the book series: Contributions to Management Science ((MANAGEMENT SC.))

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Abstract

This study identifies the most efficient sugarcane trading systems in Indonesia on the basis of trading transaction costs. The design of this study is a qualitative approach by interviewing 142 sugarcane farmers. The data was analyzed using content analysis. The result indicates three sugarcane trading systems in Indonesia. First, the farmers sell the sugarcane directly to the mills. Second, farmers sell sugarcane to wholesalers. Third, farmers sell sugarcane to sugarcane traders (cash sugarcane). Thus, this study has identified that the second trading system is the most efficient sugarcane trading technique compared to the first and second systems.

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Acknowledgments

This study was funded by the Competitive Internal Funding of Universitas Negeri Malang under contract number 5.4.60/UN32.20.1/LT/2023.

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Authors and Affiliations

  1. Department of Development Economics, Faculty of Economics and Business, Universitas Negeri Malang, Malang, Indonesia

    Muhammad Hasyim Ibnu Abbas, Lustina Fajar Prastiwi & Magistyo Purboyo Priambodo

  2. Department of Economics, Faculty of Business, Economics and Social Development, Universiti Malaysia Terengganu, Kuala Terengganu, Malaysia

    Jumadil Saputra

Authors
  1. Muhammad Hasyim Ibnu Abbas
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  2. Jumadil Saputra
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  3. Lustina Fajar Prastiwi
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  4. Magistyo Purboyo Priambodo
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Corresponding author

Correspondence to Muhammad Hasyim Ibnu Abbas .

Editor information

Editors and Affiliations

  1. Department of Finance, University of Sousse-Tunisia and University of Salamanca-Spain, Monastir, Tunisia

    Nadia Mansour

  2. Faculty of Law, University of Salamanca, Salamanca, Spain

    Lorenzo Bujosa

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Abbas, M.H.I., Saputra, J., Prastiwi, L.F., Priambodo, M.P. (2024). Identifying the Sugarcane Trading System in Indonesia: An Institutional Economics Perspective. In: Mansour, N., Bujosa, L. (eds) Islamic Finance. Contributions to Management Science. Springer, Cham. https://doi.org/10.1007/978-3-031-48770-5_33

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