ANALISIS DAMPAK KEBIJAKAN TARIF IMPOR SERAT KAPAS TERHADAP KESEJAHTERAAN PETANI SERAT KAPAS DI INDONESIA

Cotton is a raw material behind the rapidly expanding textile and product textile industry, which most of cotton is imported. On the other side Indonesia'a area is potential for cotton cultivation. Due to that phenomenon, cotton is part of the national industrial system and government intervention is expected to ensure budget revenues and self sufficiency. This research is to analyze the impact of impor tariff policies on cotton farmer welfare. This research uses time series data, with simultaneous model. Based on the results showed that (1) policy of raising import tariff will not increase cotton production yet that set by the Ministry of Agriculture in 2014, although it can still improve cotton farmers welfare, (2) import tariffs policy combination with an area extension of cotton give positive impact on production, despite having positive impact on farmers welfare relatively small compared to other policy in the future. Combination of this policy has significant meaning in order to encourage cotton production in the country, and (3) without any policy of import tariff which followed by incerasing of world price cotton is able to give the higest positive impacts to welfare of cotton farmers.