Market Analysis of Patchouli Oil in Aceh Jaya Aceh Province

In: International journal of multicultural and multireligious understanding: IJMMU, Band 7, Heft 9, S. 388

Abstract

Patchouli from Aceh is a source of patchouli oil producer with the best quality in the world. Aceh Jaya is one of the areas that is very suitable for the development of patchouli cultivation in Aceh and produces patchouli oil which exported to abroad. In the marketing process will involve institutions marketing institutions whose role is to convey the results of production from producer farmers to consumers. This research was conducted to determine the structure, behavior and performance of the patchouli market in the patchouli marketing process in Aceh Jaya. The method used was in-depth interviews assisted by questionnaires to be analyzed in a qualitative description by using Concentration Ratio for The Biggest Four (CR4). The results of the study showed that, the patchouli oil market structure in Aceh Jaya was highly concentrated and leads to monopoly, while the behavior of marketing institutions in determining the choice of patchouli oil marketing channels in Aceh Jaya was divided into 3 types namely, channel 1: farmers- small collectors-cooperatives-exporters-consumers; channel 2: farmer – small collector- bog collector- exporter-consumer; channel 3: farmer-cooperative-exporter-consumer. Judging from the marketing margin and farmer's share, the most efficient market performance was channel 3.