LEADING COMMODITIES OF LIVESTOCK SUBSECTOR IN RIAU ISLANDS PROVINCE Komoditas Unggulan Subsektor Peternakan di Provinsi Kepulauan Riau

This study aims to determine the leading commodities of livestock subsector in Riau Islands Province and to fi nd out its growth structure. Location quotient (LQ), dynamic location quotient (DLQ), Klassen Typology (KT) and shift-share analysis (SSA) were applied in the analysis. The results at the subsector level shows that livestock becomes the leading subsector of agriculture in Riau Islands Province. At the commodity level, the livestock commodities used as research objects are selected based on relatively dominant production in Riau Islands Province, so it is expected to meet the representation in subsector. The selected commodities are: pig, broiler, cattle, goat, duck and egg of layer chicken. Pigs are the leading commodity in the livestock subsector in the Riau Islands Province. The growth structure of the livestock subsector is entirely positive in the economy. Livestock subsector has become the biggest contributor of GRDP growth in agriculture sector in Riau Islands Province. All growth components of this subsector are positive and categorized in quadrant I (rapid growth) Klassen Typology. Likewise at the commodity level, the growth structure of leading commodities (pigs) are the same as the subsector level.

Kata kunci: Kepulauan Riau, Klassen Typology, komoditas unggulan pertanian, location quotient, shift-share analysis Islands Province is a relatively small sector of its contribution to the economy.(2011) shows that as many as quarter of "good jobs" (above average wage) can be destroyed in liberalization., where: Where: where: The conclusion can be obtained through shift-share analysis: 1.The Regional Growth (RG) component shows the changes that will occur in sector i in a region if the industry grows at the same level with the average national economic growth rate (GDP) during the period of time studied (expected change).

Positive Proportional Growth (PG)
gives an indication that the sector i is an advanced sector, growing faster than the overall economic growth rate.
Negative PG indicates that the sector is slow sector.Agro Ekonomi Vol.29/Issue.2, December 2018 3. Regional Share Growth (RSG) shows the competitiveness of a sector i in a region compared with the same sector at the national level.

Subsector Analysis
The result of LQ analysis shows that currently the leading subsector consists  4,419.83 11,208.45 Total 282,015.15 484,984.88 15,969.73Source: Analysis of secondary data, 2018 The livestock subsector is the only one that has a positive value on all growth components.The food crops and livestock subsectors have growth rates above the national average, the relative measure of their economic performance can be seen in positive value of the net relative change.

Commodity Analysis
Further analysis is carried out on the scope of the leading subsector for commodity shows that the growth of this actual value has exceeded the expected regional growth.
This can be attributed to the two components that make up the relative net change, namely proportional growth (PG) and regional share growth (RSG).
The livestock subsector in total has structural strength as refl ected in positive value of total industrial mix/proportional growth (PG > 0) and the superiority of regional competitiveness as indicated by the positive value of total regional competitiveness/ regional share growth (RSG > 0).308.74 38,800.12 35,108.86 4 Total 291,788.53 121,742.00 103,615.12 66,431.40 170,046.53Source: Analysis of secondary data, 2018 commodities contributed positively to the growth of the livestock subsector.

CONCLUSION AND SUGGESTION
The Based on the results of the study, it is suggested to increase the role of livestock subsector as the leading subsector through various commodities.Existing leading commodities need to be accompanied by an increase in other livestock commodities.
Cattle and goats have been known to be expected to be the future leading commodities.
This was very different from the condition of Riau Province, as the origin province which was separated in 2004, which was quite dominant in the agricultural sector.Nevertheless, the development of border region is one of the priority agenda of Indonesia Government policy at the moment.The development of export-oriented food barns in border areas represents the implementation of such policy in the agricultural sector, one of them is Riau Islands Province (Kepri) bordering to Malaysia and Singapore.Accordingly, the 3 rd Regional Medium Term Development Plan (RPJM) of Riau Islands Province leads to agricultural and plantation products with the main commodity in accordance with the local environmental condition.Library research found that the literature with themes around agriculture in the Riau Islands Province, especially the INTRODUCTION The availability of agricultural products is very important to concern considering of closely linked with the basic needs of society, especially food.Lack of supply can be anticipated through trade activities, but the presence of trade liberalization concept based on the principle of non-discrimination and open market cannot be interpreted as the principle in the implementation level.Certain standard difference adopted among countries will have a negative effect on the country that is not prepared and has a high dependence on other country.Davis & Harrigan (2011) states that trade liberalization is in fact still very controversial, the majority in the United States says it costs jobs and lowers wages.Simulation of Davis & Harrigan et al., (2015) analyze the contribution of the agricultural sector to South Sumatra GRDP, identifying leading agricultural sectors and subsector, and analyzing the component of growth in the agricultural sector.Generally researchers use LQ, DLQ, Shift-Share and Klassen Typology as a method of analysis.Each focuses on a particular location as the scope of the research.This study intends to focus on locations in the Riau Islands Province, with the object of study up to the subsector and commodities levels in the agricultural sector, which according to BPS classifi cation, are included in the agricultural business field (agriculture, forestry and fi sheries).The objectives of this study are to determine the leading commodities of livestock subsector in Riau Islands Province, and to fi nd out its growth structure.METHODS This analytical descriptive research uses secondary data in the form of time series for seven years from 2010 to 2016.The data collected as follows: production of agricultural commodities at provincial and national level (Riau Islands Province and Indonesia); commodity price data, GRDP, GDP, and other supporting data related to the description of area and scope of the study.Data collection uses two approaches are library research and data collection sourced from: BPS; Ministry of Agriculture of the Republic of Indonesia and related parties by downloading, copying data already available or taking notes.The analysis used to determine leading subsectors and commodities of agriculture in Riau Islands Province that are location quotient (LQ) and dynamic location quotient (DLQ).The following LQ formula is used (Kowalewksi, 2015; Darlen et al., 2015): ; means the commodity becomes the base (source of growth).Commodity has comparative advantage, the results not only meet the needs of the region but also can be exported out of the region.2. LQ=1; the commodity is classified as non-base, has no comparative advantage.Its production is just enough to meet the needs of its own region.3. LQ<1; the commodity includes nonbase.Production of commodity in a region can not meet its own needs so need to supply or import from outside.DLQ is variance of LQ by introducing growth rate to provide additional information on static LQ results, predicting possible changes or sectoral repositioning(Wibowo et al., 2016;Oksatriandhi & Santoso, 2014).
average growth rate of subsector (commodity) i of Riau Islands Province g j = average growth rate of total subsector (commodity) of Riau Islands Province G i = average growth rate of subsector (commodity) i at national level G n = average growth rate of total subsector (commodity) at national level z = analyzed time period.DLQ calculation result is defi ned as follows: 1. DLQ>1; means the proportion of subsector (commodity) (i) growth rate to its total growth rate in Riau Islands Province is higher than the proportion of the same subsector (commodity) growth rate at the national level (potential to be better).2. DLQ=1; means the proportion of subsector (commodity) (i) growth rate to its total growth rate in Riau Islands Province is equal to the proportion of the same subsector (commodity) growth rate at the national level (stagnant potential).3. DLQ<1; means the proportion of subsector (commodity) (i) growth rate to its total growth rate in Riau Islands Province is lower than the proportion of the same subsector (commodity) growth rate at the national level (potential to decline).The next purpose of this research is to fi nd out the growth structure of agriculture leading commodities in economic dynamics, obtained by using Klassen Typology and Shift-share.Commodity (subsector) is classifi ed by Klassen Typology in one of the four categories as shown at Table 1.The calculation step of Klassen Typology analysis follows (Wahyuningtyas et al., 2013), with adjustments, as follows: Calculating the contribution rate of commodity (subsector) i for Riau Islands Province and national, by formula: the growth rate of commodity (subsector) i for Riau Islands Province and national, by formula: analysis assumed that the change in the production value or GRDP of a region can be divided into three growth components that are regional growth component (RG), proportional growth or industrial mix (PG), regional share growth component (RSG).The form of mathematical equation as follows(Sari & Santoso, 2016;Ramswamy & Ganti, 2015;Herath et al., 2011): change in the value of subsector (commodity) i in province j V ij = value of subsector (commodity) i at province j in the initial year of analysis V' ij = value of subsector (commodity) i at province j in the fi nal year of analysis G = the growth rate at the national average growth rate (GDP) during the analysis period P i = value of subsector (commodity) i at national level in the initial year of analysis P' i = value of subsector (commodity) i at national level in the fi nal year of analysis.
leading subsector of agriculture in Riau Islands Province is the livestock subsector.At the commodity level, pigs are the leading commodity in the livestock subsector in the Riau Islands Province.The growth structure of the livestock subsector, as a leading subsector, is entirely positive in the economy.Livestock subsector has become the biggest contributor of GDP growth in agriculture sector in Riau Islands Province.All growth components of this subsector are positive and categorized in quadrant I (rapid growth).At commodity level, the growth structure of leading commodities (pig) is in quadrant I (rapid growth) in Klassen Typology, have positive growth in all growth components.

Table 2 .
Growth Structure of GRDP Agricultural Sector in Riau Islands Province, 2010-2016

Table 3 .
Distribution of Major Livestock Populations by Regency / City in Riau Islands Province, 2016 Source: Food, Agriculture and Animal Health Offi ce of Riau Islands Province (BPS) Kepri, leading subsector in Riau Islands Province.level.The results of shift-share analysis are presented in Table 2.It shows the growth structure of GRDP Agricultural Sector in Riau Islands (Kepri) Province.

Table 4 .
Growth Pattern of Production Value of Some Commodities of Livestock Subsector in Riau Islands Province, 2010-2016