MODEL DEVELOPMENT TO MAINTAIN STABILITY OF RAW MATERIAL SUPPLY STAPLE COMMODITIES (CASE STUDY: RAW MATERIALS CRUDE PALM OIL (CPO) ON COOKING OIL PRODUCTS)

• Main Author: MAULIDA HAKIM (NIM : 23409033); Pembimbing : Dr.Andi Cakravastia, ST.MT, INAKI
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/16039
• Institution: Institut Teknologi Bandung

Cooking oil is produced from main raw material is crude palm oil (CPO) is a staple food and leading commodity for Indonesia. However, the distribution of cooking oil in the domestic market experienced price volatility and supply problems which caused disadvantages between producer and consumer. This situation is caused by more CPO exported so that the cooking oil industry of raw material shortages. Therefore, the government should make in order to ptotective a policy oil industry as well as to maintain price stability and supply balance in the domestic market. <br /> <br /> <br /> This study aims to provide an alternative model to maintain a stability supply of crrude palm oil from producers to the oil industry so as to obtain reasonable prices for consumers of cooking oil users in the domestic market. Government intervention to maintain a stability supply of raw materials and commodity prices on cooking oil can be done by setting out the duties given to producers of raw materials and subsidies program given to oil consumers in the domestic market to be able to overcome the problem of instability of supply and price of raw materials so as to maximize the total benefits for each entity involved in the distribution system cooking oil. <br /> <br /> <br /> Development model in this study using the supply demand balance mechanism between the two markets they are domestic markets experiencing excess demand and export markets are experiencing an excess supply, by shifting the supply curve and demand assuming a constant so as to form the equilibrium price for determining the price band as a form of government intervention. Development of a model consists of three models and formulated in mathematical formulations. The combination of the three models into the final model in this study are used to solve existing problems in the oil commodities. <br /> <br /> <br /> The optimization programming model used to formulate the development model of performance criteria is the total benefit of any entity that is the government, producers of CPO, cooking oil industry and consumers. From the numerical examples shown that the proposed model is capable of handling the problem of instability of supply and demand and price stability. Supply stability is formed from needs raw materials and cooking oil in the domestic market. Price stability can be shown from the price equilibrium that is formed is in the range of price band formed by consumers and producers of raw materials and industrial consumer of CPO and cooking oil