Agro Bussines Development Nexus Tourism In West Sumatera Province

Ansofino Bin Ansofino Anas Yatim, Zusmelia Binti Zusmelia Zubir Arif


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.



Agro-industry, value-added, vertical market

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