Journal of Socioeconomics and Development Vol 2, No 1, April 2019, 45 53 DOI: 10.31328/jsed.v2i1.975 Widyagama Farm Partnership between Farmers and the Company in Production and Marketing of Vegetables Commodity Devy Anggita Puspitaningrum 1 and Siwi Gayatri 1 1 Faculty of Animal and Agriculture Science, Diponegoro University, Semarang (Received April 15, 2019; Accepted May 14, 2019; Published May 22, 2019) ABSTRACT. Farm partnership model between farmers and industries is expected to give advantages in many aspects such as economic, technical, and social. The research aims to analyze the farm partnership model between vegetable farmers and PT. Bumi Sari Lestari company. Primary data were collected using an interview. Secondary data were gotten by documentation. The data were analyzed by the analytical technique. The result shows that the type of partnership between farmers and the company is Inti-Plasma model based on Memorandum of Understanding (MoU) containing the clause if farmers were not able to provide sufficient vegetable, the company would buy directly from the market. The vegetables bought by industry would be cultivated by the farmer and controlled by industry. There are many issues that have to be solved by the farmers and the company. First, farmers will choose a traditional ceremony instead of harvesting the plants. Hence, the vegetables will get rotten. Farmers will prefer to sell their vegetables to the market instead of bringing it to the company when the price gets high in the normal market. Vegetables will get rotten easily during the transportation process to the company. The last is the company needs to make an agreement with the farmers to decide optimal production based on the farm size in order to avoid over production. Keywords: agribusiness, farmer, horticulture, farm partnership JEL Classification: D19, J54, Q12 INTRODUCTION The partnership is a relationship between two or more parties ranging from production to marketing activities (Saptana, Sunarsih, & Indraningsih, 2017). Partnerships can be implemented by using several models. They are Inti-Plasma (Inti Rakyat Pattern, PIR), subcontracting, general trading, agribusiness operational cooperation, franchise, and agency. The Inti-Plasma model is a relationship between industry and some parties designing company as the provider of land/field, input, technical guidance, and financial support. In agricultural sector, the implementation of the partnership model will be accompanied by the company’s officers that will support technical cultivation, provision of production facilities and credit. Officer assistance is needed by farmers to achieve the expected product quality by market needs (Purnaningsih, Ginting, Slamet, Saefuddin, & Padmowihardjo, 2006). The subcontracting model is partnership done by farmers in supplying their crops to the company for further marketing. The general trading pattern is a company selling the farmers’ products, while the franchise is cooperation in which the right of trading the product is given by franchisor to the franchisee (Qonita, 2012). The partnership pattern that is established by the company can give benefits in economic, technical and social aspects (Purnaningsih & Sugihen, 2008). The involvement of farmers in its partnership with companies is able to increase the income of local farmers, to realize government program and also to increase commodity competitiveness. * Corresponding author email: gayatri.siwi@gmail.com, ISSN 2615-6075 online; ISSN 2615-6946 print @UWG Press, 2019 OJS http://publishing-widyagama.ac.id/ejournal- v2/index.php/jsed/