Articolo
Versione Digitale

Feasibility study on indigenous confectionery business : the case of gulo puan industries

2022 - Franco Angeli

1-30 p.

  • Artisanal food industry from agricultural and livestock crops have major potential on improving local community welfare and even contributing to sustainability if they are processed, produced and marketed properly. Agricultural and dairy products can be processed into a more diverse range of products that can attract wider consumers, particularly burgeoning urban middleclass. However, studies on such industry, particularly those in low and lowermiddle income countries, are disproportionally sparse in the literature. In this study, we examine economic viability of product diversification of swamp buffalo milkbased artisanal confectionery product named gulo puan, which is exclusively produced in Pampangan subdistrict, Ogan Komering Ilir regency, South Sumatra, Indonesia. To improve its marketability, the diversification of gulo puan into chocolate barlike products was proposed.
  • Financial feasibility analyses with the investment criteria, namely NPV, Net B/C, IRR, payback period, and sensitivity analysis were conducted and show that the proposed implementation is viable, robust, and realistic. However, declining number of swamp buffaloes in recent years due to farming mechanization, as well as lack of infrastructure for supply chain, remain as challenges in the future that need to be addressed by stakeholders and policymakers. [Publisher's text].

Fa parte di

Economia agro-alimentare : XXIV, 1, 2022