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All Journal Agroindustrial Technology Journal AGROMIX Adimas : Jurnal Pengabdian Kepada Masyarakat Journal of Community Development Sinar Sang Surya: Jurnal Pusat Pengabdian kepada Masyarakat Prosiding University Research Colloquium JATIMAS : Jurnal Pertanian dan Pengabdian Masyarakat Jurnal Pengabdian Indonesia ABDIMASTEK
Afan Bagus Mananda
Universitas Muhammadiyah Jember
Agriculture, Biological Sciences & Forestry Humanities Chemical Engineering, Chemistry & Bioengineering Civil Engineering, Building, Construction & Architecture Computer Science & IT Control & Systems Engineering Decision Sciences, Operations Research & Management Education Energy Engineering Environmental Science Industrial & Manufacturing Engineering Law, Crime, Criminology & Criminal Justice Mechanical Engineering Medicine & Pharmacology Nursing Physics Public Health Social Sciences

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Location selection, added value analysis, and financial feasibility of developing a non-smoking tobacco agroindustry in Jember District Wardhana, Danu Indra; Aulia, Anisa Nurina; Mananda, Afan Bagus; Putra Setiawan, Andika; Ayu Lestari, Shafira
AGROMIX Vol 16 No 2 (2025)
Publisher : Fakultas Pertanian Universitas Yudharta Pasuruan

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35891/agx.v16i2.6074

Abstract

Introduction: Jember Regency is the largest tobacco producer in East Java, reaching 37,821 tons in 2022. Tobacco offers strong development potential and provides significant income for farmers, yet the industry faces challenges due to the health impacts of smoking. Developing non-cigarette tobacco agro-industries is a promising alternative, especially since tobacco waste remains underutilized. Therefore, this study aims to identify potential areas for the development of non-cigarette tobacco agro-industries in Jember Regency and evaluate products with the highest added value and feasibility. Methods: The Exponential Comparison Method (MPE) was used to determine the most suitable districts for agro-industrial development, while the Hayami Method assessed the added value of various tobacco-based products. Financial feasibility was analyzed using Net Present Value (NPV), Internal Rate of Return (IRR), Net Benefit-Cost Ratio, and sensitivity tests on changes in raw material prices and product selling prices. Results: Wuluhan District was identified as the most promising area. Added value analysis showed that biopellets generated the highest added value, with a profit percentage of 46.94% and IDR 28,750 added value. Financial analysis confirmed feasibility, yielding an NPV of IDR 9,728,771,339, an IRR of 68.75%, and a Net B/C ratio of 1.39 at a 6% interest rate. The break-even point was 45,720 units per year, with a payback period of 2.24 years. Sensitivity analysis showed feasibility even with raw material price increases up to 30%, while selling price decreases of up to 20% remained feasible; a 30% decrease made the project unfeasible. Conclusion: Wuluhan District is the most suitable area for developing non-cigarette tobacco agro-industries. Biopellets offer the highest added value and strong financial feasibility, providing economic and environmental benefits.
Co-Authors Alim, Alda Wata Anisa Nurina Aulia Ara Nugrahayu Nalawati Asrori, Muchammad Imam Ayu Lestari, Shafira Dwi Pamungkas, Ajodyo Yogo Eryani, Nanda Putri Firmansyah, Aprilian Hasanah , Sofiatul Heni Pujiastuti Muliasari, Risa Martha Murtianingsih, Hidayah Nuriyatul, Mega Saniya Juli Prasetyo, Lucky Wahyu Putri , Diana Rafiq, Muhammad Ainur Seftiana , Angelita Setiawan, Andika Putra Sofiana , Putri Delta Syafia, Fina Wahyuni , Alivia Rosita Wardhana, Danu Indra