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Sahara Sahara
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Journal : Indonesian Journal of Forestry Research

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THE IMPACTS OF INVESTMENT IN THE FORESTRY SECTOR ON THE INDONESIAN ECONOMY Sahara, Sahara; Nur Arrasyiid Sane Pratinda, Wildan; Djaenudin, Deden
Indonesian Journal of Forestry Research Vol. 9 No. 2 (2022): Indonesian Journal of Forestry Research
Publisher : Association of Indonesian Forestry and Environment Researchers and Technicians

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59465/ijfr.2022.9.2.251-263

Abstract

Indonesia has abundant forest resources, reaching 120 million hectares of forest area. However, the forestry sector's contribution to the national economy continues to decline. The low performance of the forestry sector cannot be separated from the limited availability of round-wood materials for its processing industries and insufficient development of the multi-businesses activities among the forestry companies. Therefore, increasing the forestry sector's productivity is necessary through raising investment. This study investigates the impacts of investment in the forestry sector on Indonesian economic performance, including output, income, employment, and import, using the Input-Output (I-O) Model. The results show that investment in the forestry sector will increase output, income, and labour in the forestry sector and its related sectors. However, with the increase in its output, the demand for inputs, including round-wood materials, will also increase, encouraging a rise in imports. Thus, an increase in investment in the forestry sector needs to be balanced with the availability of roundwood materials and other associated inputs in Indonesia. For the follow-up research, it is important to separate the investment into upstream and downstream activities along the forestry value chain and include a regional aspect in the analysis.
Co-Authors Adelina, Elvy Adhila Adhila Afiqoh, Ika Kumala Ahmad, Fahmi Salam Aini Nurul Amruddin, Amruddin Andi, Laode Andrea Emma Pravitasari, Andrea Emma Andriansyah, Fajar Anggraini, Lukytawanti ANISA, Desty Cristya Anna Muslikhah Jamil Aprianto, Dwi Arief Daryanto Arpizal Asifa, Asifa Asrilis Saban Aurelia, Millenia Azzahra, Latifah Fajrin Batara Silalahi, Rudi Yanto Bayu Krisnamurthi Cristya, Desty Dadi Satria Dahlia Dahlia Dasril Aldo Deden Djaenudin Dedi Budiman Hakim Dedi Rahman Habibie Desideria Regina Dewi Anggraini Dian Noviyanti Dwijayanti, Novia Sri Elsya Nadia Elvy Adelina Ernan Rustiadi Fachruddiansyah Muslim Fahasini, La Ode Feronika, Findy Findy Feronika Firmansyah, Muhammad Raafi'u Fitri, Amatul Fuadah, Alfi Gusla Nengsih, Yeyi Hakim , Dedi Budiman Hariselmi Hariselmi Hariselmi, Hariselmi Harizon Harizon Haryanto Haryanto Heriyani, Heriyani Ilham Falani Iryanto, Rivaldo Kurniawan Isnaini, Luluk Jasmine, Najmi Annyndya Kandatong, Hasanuddin Khadijah Khadijah Kuswanto Kuswanto La Ode Arsad Sani La Ode Fahasini Latuconsina, Zulfikar Mohamad Yamin Leni Lestari Lestari, Leni M. Yogi Riyantama Isjoni Magneta Hisyam Manggabarani, Ishak Mareta, Yoan Miftahul Ilmi Miftahul Ilmi, Miftahul Moh. Solehatul Mustofa Muhamad Hanafi, Muhamad Muhammad Ivan Vadilaksono Mukhlas Mukhlas Musram Abadi Nadir Nadir, Nadir Nasution, Nazla Atikah Hikmatias Nur Arrasyiid Sane Pratinda, Wildan Nurmala Sari Octariyadi, Nabila Umami Pane, Maykel Rifandi Prawira, Gunawan Probokawuryan, Mutiara Putra, Iwan Eka Putri, Jesi Idona Prasetia Putri, Lovina Aresta Putro, Fikri Aldi Dwi R. Sapto Hendri Boedi Soesatyo Ratna Winandi Rina Oktaviani Romi Kurniadi Romundza, Febbry Rukun Santoso Rusyqy Fuad Arsa Barus Saban , Asrilis Boy Sandra , Indah Kartika Sapitri, Dwi Eliza Sari, Rani Puspita Simamora, Helprida SIREGAR, DWI RAYANA Sofyan Sauri Sriwati Sriwati Stevan Gneissanda Hage Stevan Gneissanda Hage, Stevan Gneissanda Sucihatiningsih Dian Wisika Prajanti Sugema, Iman Suleman, Panji Suzzana Josephine L. Tobing Syarifah Amaliah Tanassy, Rika Putri Tanti Novianti Thaibah Tunnisa Mufti Sirait Tiara Sani, Ratna Ulfah, Fadilla Wahyu Akbar wahyuni wahyuni Widiarni, Anis Wika Yolanda Yaldi , Destri Yanto Batara Silalahi, Rudi Yohani Setiya Rafika Nur Yolanda, Wika Zahra, Zhena Nofhatiaz