Agro Bussines Development Nexus Tourism In West Sumatera Province
Abstract
The focus of this research is to analyze the future and backward linkages of agro-industry products that support the West Sumatra tourism creative industry and vertical integration between typical snack food products of West Sumatra culinary that have added value. This study uses a regional economic approach with the Grubel-Llyod index method and analysis of input output from snack industry sector. Result of the study shows that the market potential of West Sumatra agro-industry products still has low added value due to the low value of intermediate inputs compared to the final demand. Increasing the added value of agro-industry products based on food crop products is carried out by external regions such as North Sumatra and Riau. Integration between vertical market and regional external markets occurs in fruit-based agro industry products such as mangosteen, jackfruit, and bananas, which are shown by the highest Grubel-Llyord Index value with the demand value is lower than the final demand. The development of agro-industry food products and agro-business activities supporting culinary tourism in West Sumatra can be conducted by increasing the added value of superior products through agro-processing at household producer level and creating agglomeration to enhance local demand.
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DOI: https://doi.org/10.29313/mimbar.v35i1.4111
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