Financial Analysis of Minister of Agriculture Regulation no 49 / permentan/ pk. 440/10/2016 About the Ratio of Import Cattle

Abstract

This study aims to analyze the effect of minister of agriculture regulation No 49 / PK. 440/10/2016 for the feedlot beef cattle company. This regulation is about pattern ofration import with the ratio of imports of feeder cattle and heifer is 1: 1 for the feedlot company and 10: 1 for farmers cooperatives. This study used financial analysis with price and cost production obtained from interviews with 9 companies in Java islands and Lampung  province. Sampling was determined by purposive sampling study of 9 cattle companies respondents. Financial analysis of uses some parameter such as Net Present Value (NPV), Benefit per Cost Ratio (B/C ratio), Internal Rate of Return (IRR) and Payback Period with 12% per year of discount factor. The surveyed companies have a housing capacity scale of business between 1000 5 30,000 heads of cattle. The result of financial analysis is obtain with the simulation of housing capacity for 10,000 heads cattle. The results of financial analysis in accordance with the regulation No. 49 / PK. 440/10/2106 is NPV3.111.211.292, IRR5 2,91%, BCR1,04 and payback period 19,31 cyclus (6,44 years) years. It means that the regulation is not feasible for the feedlot cattle company that using intensive system for rearing cattle.