A Study of Effect Agribusiness Micro Finance for Beef Cattle Farmers in South Sulawesi Indonesia

Abstract

Abstract The low access to finance institution is one of the obstacles faced by beef cattle farmers in the rural area. The cause were the high interest rates, collateral, lack of information, inadequate credit supply, long procedures and a relatively long distance between farmers and finance institution. The existence of Agribusiness Micro finance Institutions in Indonesia is one of the steps taken to overcome the constraints access financing faced by the community in the rural area. The study examined the effect of Agribusiness Micro finance Institution beef cattle farmers in rural areas in South Sulawesi. The study used descriptive research. The convenient sampling procedure was used to select eighty beef cattle farmers. Data were generated through questionnaire and interview, then used descriptive and descriptive statistics analysis. The findings in this study were agrobusiness microfinance institutions increasing access to capital for beef cattle farmers, empowering farmer group members and increasing their involvement in farmer group activities, raising farmers awareness to allocate their savings for farmers group interest. Thus the micro agribusiness microfinance institution has had a positive impact on the economic life of the community farmer in the rural area.

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