DIMENSI OLIGOPSONISTIK PASAR DOMESTIK CABAI MERAH

Abstract

The oligopsonistic market with high potential and persistent growth in domestic demand and
supply has partly led the supply-side government policies in the form of extensification and
intensification program of chilli to be ineffective to pursue the objective of improving
farmer’s welfare. The paper is intended to investigate marketing performance and system
through its elements, namely market chain, number and share of maarket agents, agent market
power. It concludes that farmer receives the least returns relative to others. The wholesale
trader seems to have strong influence in price discovery. Given the circumstances, the
government support is called for dissolving the oligopsonistic power of the wholesaler.