Analysis of Rubber Price Difference in Regency Level and Integrated Market in West Sumatera Province

Abstract

The purpose of this study is to analyze the price of rubber in each district and city in West Sumatra. Analysis of rubber prices is influenced by distance factors between cities and districts. The research approach method used is a multiple linear regression. If the quality of infrastructure does not meet the transportation of rubber from cities and districts, the impact of rubber prices will increase. This problem causes a high cost of transporting raw rubber to be sent to rubber processing companies. The result, Quality of the raw rubber production produced by farmers also has an impact on the rubber price. If the farmer’s rubber is in a good quality, the price of rubber will increase. The price difference is a matter of production per hectare, and output, which is the level of commodity output normalized by the society of West Sumatra province. West Sumatra Province is an area where the plantation commodities play important role for the industrial economic activities. The price game is set by the rubber suppliers in Pasar Nagari and big traders in regencies. Keywords—rubber price; distance; production; land area