Input and output market risk Vaname Shrimp hatchery business (Litopenaeus vannamei)

Abstract

Abstract The research aims to identify and analyze the sources of risk from the input and output markets of the vaname shrimp hatchery business, and to find strategies to overcome the risks. The study was conducted in June - August 2019 in the Barru Regency, South Sulawesi Province. Survey research type. Descriptive analysis methods are used to explain the source of risk. Value at Risk (VaR) is used to analyze the source of risk, and the analysis of preventive strategies is used to find strategies to minimize risk. The results of the study: (1) sources of input market risk consist of feed prices with a probability of 36.53% and a parent price with a probability of 25.93%. Sources of output market risk; consist of fry prices with a probability of 44.74%. and fry sales with a probability of 78.52%. (2) sources of feed price risk are in quadrant II, and sources of risk for parent prices, fry prices, and fry sales are in quadrant III. (3) strategies for overcoming risks, namely making feed purchase contracts for the stability of feed and parent prices, market control, management control, and distribution supervision to the consumer level.