Warehouse receipt system and food security: Factors that influenced farmers' decisions

Abstract

Abstract The Warehouse Receipt System (WRS) aims to increase commodity selling prices through sales delays and financing. Credit with stored production collateral is used to meet the needs of farmers in facing the next crop season. The research objective is to find out what factors influence farmers’ decisions in utilizing WRS. The research method is a survey with 18 respondents or 50 percent of farmers who use WRS. Data were analyzed by logistic regression. The results showed that the factors that significantly influenced farmers’ decisions to use WRS were the distance from the warehouse to farming and the costs associated with using WRS as an external factor. WRS needs to be supported by WRS cost subsidies as a WRS capitalization process in the agricultural sector.

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