Bambang SETIAJI Forthcoming Henri D. WAHYUDI Ihwan SUSILA

Supply Chain of Beef Market in Indonesia

Indonesian beef market is very interested, with 250 million people, a year around 670 million kg be consumed which are 440 million kg supplied by local production and 230 million be imported. The beef price in Indonesia market about double that in Australia as 9.1 USD to 4.2. The highly price and a wide margin are interested for research. The research question are how do supply chain look like, how do distribution of the wide margin from importers to retailers, is corruption still exist due to the import licensed, and who really enjoy the profit? This study aims to analyze the supply chain of beef industry and factor affecting meat prices in Indonesia. Data were collected through a survey of 134 respondents in seven districts and cities in Surakarta, Indonesia and also in-depth interviews with breeders, slaughters, wholesalers, retailers and consumers. The results showed that factor affecting meat prices is the bargaining power of several actors in the supply chain and market structure that discussed in this paper.