Indonesia is the eighth largest peanut producing country in the world. Nevertheless, its population consumes more than it can produce, which leaves a shortfall of around one million metric tonnes every year which is then imported. A clear business opportunity exists to increase the production volume and the quality of peanuts for the domestic market. Java is the centre of the country’s peanut production with East Java supplying 30 percent of total national production. The 408,000 peanut farmers in East Java use a local seed variety which gives a poor yield. Farmers also have little access to information on quality seed and despite two varieties of better quality peanut seeds being available, there are few nurseries able to produce it in commercial quantities. Farmers also lack knowledge on market standards and limited knowledge of good post-harvest handling practices.
PRISMA has partnered with a private company, CV. Trubus Gumelar to improve the agricultural practices of farmers and promote the use of good quality seed. The nurseries and collectors will work together to establish good, reliable distribution channels thereby providing farmers with access to good quality seed. The nurseries and agro input companies will collaborate to provide embedded services aimed at improving farmers’ understanding of the need for Good Agricultural Practices and post-harvest quality control.