Peran Pertanian Bawang Merah Dalam Meningkatkan Perputaran Usaha Mikro Perekonomian Lokal di Daerah Pangalengan

Abstract

The agricultural sector, particularly leading commodities such as shallots, has great potential as an economic driver in production centers. Pangalengan, known as a major horticultural center in West Java, relies on shallots as the primary source of income for its community. Price fluctuations and post-harvest vulnerability necessitate in-depth analysis of the role of this farming activity, not only at the farmer level but also its impact on the supporting sector, namely local Micro, Small, and Medium Enterprises MSMEs. This study aims to analyze and identify the economic contribution of shallot farming to farmer household income in Pangalengan, and the multiplication role multiplier effect of shallot farming in increasing capital turnover and business volume within the micro-enterprise sector e.g small shops, processing services, and suppliers of production inputs in Pangalengan’s local economy. The research uses a descriptive qualitative approach supported by quantitative data. Data collection techniques involve in-depth interviews with shallot farmer groups, related MSME actors collectors, agricultural input providers, processors, and key figures in Pangalengan. Data analysis is performed using the multiplier effect model to observe the extent to which the increase in farmer income stimulates the growth of surrounding microenterprises. The research results indicate that shallot farming plays a significant role in sustaining the local economy. The largest contribution lies in increasing farmers’ purchasing power, which directly boosts the turnover of micro-enterprises supplying daily needs and agricultural inputs fertilizers, seeds, equipment rental. Furthermore, the emergence of new MSMEs in post-harvest processing e.g. fried shallots serves as a risk mitigation effort against price fluctuations, further strengthening the microeconomic structure in the area. Shallot farming in Pangalengan functions not only as a source of livelihood but also as an engine driving local microenterprise turnover. To optimize this role, it is recommended that policies be focused on price stabilization, increasing capital access for processing MSMEs, and strengthening the supply chain so that economic benefits can be enjoyed more equitably and sustainably by the people of Pangalengan.