ROLE ANALYSIS OF AGRICULTURAL SECTOR ON ECONOMIC GROWTH IN WEST SUMATERA PROVINCE

Abstract

By                          : Yoni NofriandiCounselor I           : Dr. Erni Febrina Harahap SE., M. SISupervisor II        : Drs. Firdaus SY, MP

SUMMARY

Economic development in general aims to improve people's lives, increase income, ensure the availability of employment and as drivers of change and renewal in the field of life. The success of this development is supported by the linkage and support of various parties and the role of various business fields. In the process of economic development, any sector or field of business that supports economic activity needs special attention.

Indonesia is known as an agrarian country that relies on the agricultural sector either as a source of livelihood or as a support for development. The agricultural sector includes food crops sub-sector, horticulture subsector, fishery sub-sector, livestock sub-sector, and forestry sub-sector. Agriculture is one of the most dominant sectors in the income society in Indonesia because the majority of Indonesians work as farmers.

Indonesia is a developing country, as a developing country will not be separated from development problems. Development is a multidimensional effort that includes changes in various aspects of life that aims to improve the welfare of the community.

Based on the results of LQ analysis tool shows that the base sector in West Sumatera Province is the food crops, horticultural crops, agriculture and plantation services sector, the result of Shift-Share analysis of agriculture sector that has competitiveness is the food crop, plantation crops, livestock and services agriculture and plantations, but the horticultural crop sector has no competitiveness. Result of analysis of Growth Ratio Model (GRM), sectors that are in classification II is plantation sector, classification III is food crop and horticulture crop sector, and classification IV is livestock sector and agriculture and plantation services.

Keywords : Agricultural sector, base sector, Location Quotient, Shift-Share, Growth Ratio Model.