ANALYSIS OF CHANNELS AND MARKETING EFFICIENCY OF LOCAL FISHERIES IN MERAUKE

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1 International Journal of Mechanical Engineering and Technology (IJMET) Volume 10, Issue 03, March 2019, pp Article ID: IJMET_10_03_080 Available online at ISSN Print: and ISSN Online: IAEME Publication Scopus Indexed ANALYSIS OF CHANNELS AND MARKETING EFFICIENCY OF LOCAL FISHERIES IN MERAUKE Department of Development Economics, Faculty of Economics and Business, Universitas Musamus, Merauke, Indonesia ABSTRACT Marine fisheries is one of the dominant agricultural sub-sectors in Malind District, Merauke Regency. An activity related to fisheries has parties who play a role in both the production process and its distribution. In an effort to increase income at the level of local fishermen in the Malind District of Merauke Regency, a study of channel analysis and marketing efficiency for the catch of local fishermen is needed. The objectives to be achieved from this research are Analyzing channels and the efficiency of marketing the catch of marine products of local fishermen in Malind District, Merauke Regency. The method used in this study is Survey. The marketing output data for local nelyan sea catches in the Malind District of Merauke Regency in this study are very descriptive by using the Participatoriy Rut Appraisal (PRA) method with the Snow Ball sampling approach in which local fishermen are the starting point. The sample in this study were 30 fishermen, 3 collectors, 3 wholesalers, 3 retailers through the snowball sampling technique. Data were analyzed descriptively against distribution patterns and margins of capture fish marketing. The results of the study are in the Malind District there are three distribution patterns, namely first; fishermen to collectors to wholesalers to retailers to consumers; second, the fishermen to the traders to the retailers to consumers; third, fishermen to large traders to retailers to consumers. The lowest marketing margin occurs in channel III, which is Rp.3,120 and Farmer value 'highest share of 88.90%, effective marketing channel efficiency occurs on channel III with farmer value "highest share compared to marketing channels I and II. Keywords: Sea Catch, Channels, Margin, Marketing Efficiency Cite this Article, Analysis of Channels and Marketing Efficiency of Local Fisheries in Merauke, International Journal of Mechanical Engineering and Technology, 10(3), 2019, pp editor@iaeme.com

2 Analysis of Channels and Marketing Efficiency of Local Fisheries in Merauke 1. INTRODUCTION The Marine and Fisheries Sector is one of the potential sectors for the source of economic growth and is a source of livelihood for many people and hopes for the future of the nation. This is because many people are involved in the marine and fisheries business. Particularly the Merauke Regency region which has large marine and fisheries potential, the utilization and management of fisheries resources must be implemented with an integrated fisheries business system starting from production, processing to marketing. The vast territory of Merauke Regency and the very long distance between one district and another district with inadequate road infrastructure is a problem for local fishermen to distribute / market their catches. Through improved marketing techniques, good can increase the income of local fishermen by considering the marketing system according to recommendations and needs in handling since the fish was captured, then marketed to be accepted by consumers and can minimize all costs of the marketing channel so as to create added value for fishermen local Marketing / distribution chain is a human activity directed at efforts to satisfy their desires or needs through an exchange process, which includes a series of activities aimed at moving production from the producer sector to the consumer sector. The fisheries marketing channel is a marketing institution that is passed by goods and services ranging from fishermen to consumers (Rosdiana, Rosyida, Alimudin, 2011: 5). The marketing system for catching local fishery marine products greatly affects the income / value of farmer sahre of local fishermen in Merauke regency, whereas a low marketing value will cause high costs and final sales prices, which in turn will affect the overall marketing system. The consumptive catch of marine products of local fishermen in Merauke is increasing, which is based on the data obtained that fish production for local consumption comes from marine fisheries 3,457 tons (92.88%), while the rest comes from inland fisheries. This proves that consumption patterns undergo changes in line with increasing income, education and easy access to information. To create a good and conducive marketing performance of local fishermen's catches, a distribution function is needed, from the producer region to the consumer area, thus marketing is one of the important factors in influencing the price level of each market actor. Fishing business activities carried out by local coastal fishermen in general in the Malind District in three villages namely the Kumbe village, Onggari village and Domande village were not managed with a good management system. The results of business and household needs for daily needs are often put together, so that the net income from fishing business activities is not clearly known. This makes fishermen do not know clearly how much business income they generate from fishing in the sea. Therefore, the marketing system for marine catches for local fishermen on the coast must require a better calculation of business income in order to determine the level of income and efficiency of fishing activities carried out by fishermen so that they are able to run effectively in accordance with the dynamics of market changes. 2. METHODOLOGY This research will be carried out in 2017 in Merauke Regency, Papua Province. Retrieval of respondents' data was spread in three local villages, namely Village Kumbe, Village Onggari and Village Domande, Malind District, Merauke Regency editor@iaeme.com

3 The research method used is the research survey (Mangkoedihardjo and April, 2012; Samudro & Mangkoedihardjo, 2012). The research data was collected using questionnaires / questionnaires. Data from the sea catching system by fishermen in Merauke Regency in this study is descriptive using Participatory Rural Appraisal (PRA) method with the approach of Snow Ball Sampling where fishermen are the Starting Points. Primary data was collected from 10% of the total population so that the number of samples was obtained by 30 fishermen, 3 collectors, 3 wholesalers and 3 retailers. Secondary data is collected from the Marine Fisheries Service, and other related agencies / agencies. The research data will be analyzed statistically according to the purpose of the study to be able to answer the existing research problems. Study market linkages and study in detail the components of costs and margins, farmer shares, along the sea catch distribution chain which will affect the level of income efficiency of local fishermen. 3. RESULTS AND DISCUSSION 3.1. Pattern of fish marketing channels The pattern of distribution of catches of local fishermen marine products based on respondents' data for each channel shows how the fish distribution channels in these three Malind district villages differ from the distribution channels of marine fish catches from the selection of fish / distribution marketing channels based on several methods including transportation use, selling prices, ease of sale. The results of the observation show that the fish marketing channels carried out by local coastal fishermen in three villages have three (3) marketing channels used, namely: 1. Marketing channel I : Fishermen-Collector Traders-Wholesalers-Consumer- Retailers 2. Marketing channel II : Fishermen - Collector Traders - Consumer Retailers 3. Marketing channel III : Big-scale Fishermen-Consumer-Retailers 3.2. Analysis of channels and marketing margins In this study the marketing margin is calculated as the difference between the selling price of capture fish at the fishermen level and the fish selling price at the retail level. This analytical procedure is done by selecting and following the marketing channel of a specific commodity, comparing prices at different levels of marketing, and collecting gross sales and purchase data for each type of trader. The following is the result of marketing margin analysis which consists of costs needed by marketing agents to carry out marketing functions and profits received by marketing actors in each trade marketing chain of catches of local fishermen in the Malind District of Merauke Regency, in table 1 below as follows. Tabel 1. Local Fishermen's Catching Channel and Marketing Margin in the Malind District Uraian channel I channel II channel III Local fishermen Selling price , , ,00 Collector Purchase price , ,00 Marketing margin 1.667, ,00 Marketing costs 1.200, , editor@iaeme.com

4 Analysis of Channels and Marketing Efficiency of Local Fisheries in Merauke Profit margin 467, ,00 Selling price , ,00 Wholesalers Purchase price , ,00 Marketing margin 1.111, ,00 Marketing costs 675, ,00 Profit margin 436,00 478,00 Selling price , ,00 Retailers Purchase price , , ,00 Marketing margin 1.575, , ,00 Marketing costs 1.380, , ,00 Profit margin 195,00 816,00 132,00 Selling price , , ,00 Source: Primary data processed (2017) Based on Table 1. above, it can be explained that out of the three distribution channels there is one distribution channel or the one most often used by local fishermen (when selling catches of fresh fish). Analysis of each of the marketing distribution channels of marine fish catches in three villages, as well as marketing margins in related institutions can be explained in the following discussion: Marketing channel I: This channel consists of: Fishermen - Collector Traders - Wholesalers - Retailers - Consumers. In this channel the fishermen sell their catch directly to the collector at a price of Rp.24,000 - per kg, then the collector sells to large traders of Rp.25,667, - the main financing (marketing cost) for the collector includes the cost of preserving fish, transportation costs, the cost of loading and unloading and retribution is Rp. 1,200, - per kilogram of fresh fish and the marketing margin obtained from traders is Rp. 1,667 / kg of fresh fish. The selling price of fish from large traders to retailers is Rp.26,778, - the main financing for large traders includes fish preservation costs, transportation costs, loading and unloading costs of Rp. 675, - per kilogram of fresh fish and the marketing margin obtained from traders is Rp.1,110 / kg of fresh fish. Marketing channel II: This channel consists of: Fishermen - Collectors - Retailers - Consumers. In this channel the fishermen sell their catch directly to the collector at a price of Rp.24,000 - per kg, then the collector sells directly to retailers in the amount of Rp.26,789, - the main financing for collector traders includes fish preservation costs, transportation costs, unloading costs load, and retribution is Rp. 1,400 per kilogram of fresh fish and marketing margins obtained from traders amounting to Rp. 2,789 / kg of fresh fish. Furthermore, the selling price of retailers to consumers is Rp.29,000, - the main financing of retailers includes costs of preserving fish, transportation costs, costs loading and unloading, and retribution is Rp. 1,395, - per kilogram of fresh fish and marketing margins obtained from traders amounting to Rp.2,211 / kg of fresh fish. Marketing channel III: This channel consists of; Fishermen - big traders - retailers - end consumers In this channel, fishermen sell their catch directly to large traders, because the fishermen's catch is very little, unlike the catch, so that part of the catch is sold to large traders who editor@iaeme.com

5 intentionally come directly to the fishermen's house with prices ranging from Rp. 25,000 / kg. Furthermore, wholesalers sell to retailers in the amount of Rp.26,778 / kg, the main financing for large traders includes fish preservation costs, transportation costs, loading and unloading costs, and levies of Rp. 1,300 per kilogram of fresh fish, the marketing margin obtained from traders is Rp. 1,778 / kg of fresh fish. Furthermore, the selling price of retailers to consumers is Rp. 28,120 / kg of fresh fish, the main financing for retailers includes the cost of preserving fish., transportation costs, loading and unloading costs, and fees are Rp. 1,210, - per kilogram of fresh fish and the marketing margin obtained from traders is Rp. 1,342 / kg of fresh fish Farmer s share analysis and level of marketing efficiency Analisis Farmer s Share The Farmer's share is the difference between prices at the retail level for food products and marketing margins. To find out how much the average price at the fisherman level, prices at the consumer level, marketing margins and farmer's share in each marketing channel in the Malind District, are explained in table 2 as follows. Tabel 2. Average Price at Fisherman Level, Price at Consumer Level, Marketing Margin and Farmer s Share Every Marketing Channel in Rp. channel Prices at the fisherman level Price at the Consumer level Marketing Margin Farmer s Share channel I , , ,00 84,65 channel II , , ,00 82,76 channel III , , ,00 88,90 Source: Primary data processed (2017) Based on table 2. above, it can be informed that on the third channel, the marketing of catches of local fishermen has the lowest marketing margin and the highest portion received by fishermen (farmer s share) is Rp. 3, and 88.90%. With the low marketing margin and high farmer's share, the price difference between fishermen and end consumers is also low and the higher the percentage of prices received by fishermen from the consumer's purchase price. So that marketing channel III is the most economically efficient marketing channel among other marketing channels. Marketing channel II of the local fishermen's catch is the most inefficient marketing channel among existing marketing channels. It can be seen in the table above that the biggest marketing channel marketing margin II is Rp. 5,000, while the smallest farmer share among the other channels is 82.76%. In the marketing channel II, the number of intermediaries is equal to channel III, namely two intermediaries, but in this channel the marketing costs are high, this is due to the high value of marketing distribution costs that occur, namely the high cost of transportation. Thus it cannot be used as an efficient measure of a marketing channel. Marketing channel I is a marketing channel that is widely used by fishermen, but this marketing channel is less efficient because of the length of the channel and the marketing margin of Rp. 4,353 and farmer's share of 84.65%, only slightly above the marketing margin and farmer's marketing channel III Marketing efficiency To find out the efficiency of economically marketing fresh sea fish is to look at the marketing margin and the portion received by fishermen (Farmer s Share) in each existing marketing channel editor@iaeme.com

6 Analysis of Channels and Marketing Efficiency of Local Fisheries in Merauke From the results of the analysis showing that the marketing channel III captured by local fishermen is the marketing channel with the highest farmer share, it can be concluded that the marketing channel III is the most efficient marketing channel among other marketing channels. By following the channel pattern of efficiency, it will directly increase the income of local coastal fishing households in the Malind District of Merauke Regency. 4. CONCLUSION The results of the study concluded that there were 3 (three) marketing channels for marine products in the Malind District of Merauke Regency as follows: 1) Marketing Channels I: Fishermen - Collector Traders - Wholesalers - Retailers - Consumers. 2) Marketing Channels II: Fishermen - Collectors - Retailers - Consumers. 3) Marketing Channels III: Fishermen - wholesalers - retailers - end consumers The results of the analysis of the marketing channels formed indicate that at marketing channel I the marketing margin value is Rp. 4,353, - and the farmer's share value is 84.65%, for marketing channel II the marketing margin value is Rp. 5,000, and the farmer's share value is %. and on the marketing channel III the value of the marketing margin is Rp. 3,120.00, - and the farmer's share value is 88.90%. While the efficiency of the most effective marketing channel is the marketing channel III. REFERENCES [1] Alexander Phuk Tjilen, Fitriani, Hesty Tambayong, Albertus Yosep Maturan, Samel Watina Ririhena and Fenty Y. Manuhutu, Participation in Empowering Women and the Potential of the Local Community Economy, a Case Study in Merauke Regency, Papua Province, International Journal of Mechanical Engineering and Technology, 9(12), pp [2] Anindita, R Dasar-dasar Pemasaran Hasil Pertanian. Malang: Universitas Brawijaya [3] Chyntia Novita Kalalo, Online Self-Presentation Relationship with Instagram Addiction in Students of the Department of Physical Education, Health and Recreation, University of Musamus, Merauke, Indonesia, International Journal of Mechanical Engineering and Technology, 9(10), pp [4] Dinas Perikanan laut, Kabupaten Merauke, [5] Elisabeth Lia Riani Kore, the Effect of Service Quality and Prices on Consumer Decisions Using Workshop Services a Case Study in Merauke, International Journal of Mechanical Engineering and Technology, 9(12), pp [6] Fajar, Laksana Manajemen Pemasaran. Yogyakarta: Graha Ilmu. [7] Fitriani; Betaubun, Philipus; Pure, Ermelinda A. G.; Tikson, Dedy; Maturbongs, Edoardus E.; Cahyanti, Theresia Widi asih; Waas, Ruloff Fabian Relationship of Employee Ethnic Background in Validation of Situational Leadership Theory. Indian Journal of Public Health Research & Development. Vol. 9 Issue 4, p [8] Funnisia Lamalewa and Elisabeth Lia Riani Kore, the Effect of Teller Service Quality and Satisfaction on Customer Loyalty of Pt Bank Mandiri Tbk Merauke Branch, International Journal of Mechanical Engineering and Technology, 9(12), pp [9] Kotler dan Amstrong Dasar-dasar Pemasaran. Jilid 1, Alih Bahasa Alexander Sindoro dan Benyamin Molan. Jakarta: Prenhallindo. [10] Listianingsih, W Sistim Pemasaran hasil Perikanan dan Kemiskinan Nelayan Insitut Pertanian Bogor editor@iaeme.com

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