The plant farm has an important contribution to the economy of the contribution of products in its contribution to Gross Domestic Product (GDP) as well as contributions markets. Another important role in the supply of human food especially with the increasing number of people, which means that the need for food also increased. Some countries as an agricultural country, there is an additional role of the plant farm sector, the improvement of social welfare which most now are below the poverty line.
Decreased levels of the plant farm sector's contribution to GDP and the threat of food insecurity, along with the threat of dependence on imported food (food trap) and there are many farmers who are still under the poverty line, change for the better through the development of the plant farm is needed. The essence of development is the improvement of social welfare so that the development must be based on equity. So not a material improvement as a goal first and foremost.
Similarly, the plant farm development, which first of all is not a problem but rather an increase in agricultural production of human liberation efforts of farmers, and included in it is an increase in welfare in general. Increasing agricultural production to be a factor in it and the results that follow.
The Plant Farm is the main economic sectors in developing countries. The role or contribution of the agricultural sector in the economic development of a country, occupy a vital position.
This is caused by:
1. The plant farm sector is a source of food supplies, and raw materials required by the state.
2. Huge demographic pressures in developing countries is often accompanied by rising incomes lead to increased needs. If this requirement is not met, the shortcomings have to be imported, which means reducing the foreign exchange needed for development input.
3. The plant farm sector should be able to provide the necessary factors for expansion into other sectors, especially industry. generally tangible capital, labor, and raw materials.
4. The plant farm sector is the basis of market relations are important, which can create a spread effect in the development process.
5. The plant farm sector can also create forward and backward linkages that when coupled with the right conditions can contribute to the development.
Support the development of the plant farm to the development of the industry:
1. A direct result of the success of the plant farm development is an increase in production (food, raw materials, industrial raw materials) and an increase in income (farmers).
2. Increased food production, raw materials and raw materials together will increase the value of exports and depress the value of imports, which in turn will increase the state's income is needed to buy capital goods from abroad.
3. The increase in income due to the success of the plant farm development will be brought up, namely: increasing public savings, increased investment, household consumption, consumption of agricultural inputs (production facilities, equipment and agricultural machinery), which together will increase the consumption of industrial products country.
4. Increasing numbers of foreign reserves, the development of capital from public savings, will further encourage the development of industries that are supported by the availability of raw materials, raw materials and cheap labor.
5. The growth of the construction industry would be expected to increase the quantity and quality of domestic industrial products, and declining prices of products produced by the domestic industry.
6. Total domestic production continues to increase quality and cheap selling price will strengthen its competitiveness in domestic and international markets.
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