UI Provides Advocacy and Financing for Micro Businesses in Sembalun, Lombok
Universitas Indonesia’s Community Service and Empowerment Team (Tim Pengabdian dan Pemberdayaan Masyarakat, PPM) is organizing a program to provide training, financing and advocacy for more than 20 micro business players to support efforts to help micro businesses recover from the Covid-19 pandemic. The two-month program that lasts from September 2020 to November 2020 is designed for members of the Sembalun Women Farmers Group in Sembalun sub-district, East Lombok district, West Nusa Tenggara (NTB).
The economic sector is one of the sectors that have been the hardest hit by the Covid-19 pandemic. The pandemic has not only affected the national economy but has also greatly affected micro businesses. In view of the situation, FEB UI academician Dr. Rambat Lupiyoadi and his team organized the PPM program.
Dr. Rambat said, “The sub-district was selected because it was the hardest hit by an earthquake [that hit Lombok in 2018, ed.] and is now being affected by the Covid-19 pandemic. Due to the implementation of the large-scale social restrictions, Mount Rinjani Geopark’s hiking trails are closed and tourism activity is halted. As a result, the number of foreign and local tourist visits has declined sharply and this in turn has caused micro-economic activities that rely on tourists tourism to collapse. This has prompted the local people to turn to farming as they can no longer rely on tourism for their livelihoods. However, we saw during field observation that the price of tomatoes and other primary commodities had plunged; the crops were practically worthless. A basket of tomatoes only sold for Rp10,000, not enough to cover the cost of harvesting let alone production cost. Farmers resigned to their fate and allowed the crops to rot.”
The condition prompted the PPM Team to organize a program to provide advocacy for the farmers to help revive micro businesses in Sembalun. The team expanded the scope of training to cover various micro businesses, including businesses that produce snacks from string beans, black garlic, carrot rengginang (chips made from glutinous rice mixed with carrots), wine coffee, chilli sauce with shrimp paste, palm sugar, cashew nuts, potato chips, souvenirs and a produce store. The activity started with data collection, followed by advocacy for micro businesses and financing for business development.
“In addition to training, we also provide Rp2,000,000 for each micro business to help them recover. To ensure that the funds are used as intended, we conduct monitoring through our Whatsapp Group. Advocacy and monitoring activities are supported by local mentors who are our partners. Participants are assigned tasks, receive directions and are able to seek consultation from PPM Team members anytime,” said Rambat, who is also a lecturer of entrepreneurship and marketing management at FEB UI.
Rambat added that “The business recovery training was held on 7 September 2020 at the Produce Store in Sembalun. No less than 20 micro business players were selected to join the training and all of them were very enthusiastic. Also present to show support was Sembalun Sub-district Head Serkapudin and his staff and Sembalun Bumbung Village Head Sunardi. The local leaders expressed appreciation for UI’s attention to the local people, not just this year, but also in 2018 when the area was hit by an earthquake and the university sent a medical team there. This year’s program is carried out in adherence to strict health protocols to prevent the spread of COVID-19.”
Speaking on the same occasion, Sembalun Bumbung Village Head Sunardi expressed appreciation for the PPM Team’s support. He said, “Dr. Rambat and the UI team came to Sembalun three years ago to encourage women farmers to increase the value of their produce by making black garlic that sells well. The black garlic business has continued to this day, although hampered slightly by the massive earthquake that hit Lombok in 2018.”
In a similar tone, Murtadi, a micro business owner who produces potato chips (under the Leofood brand), said, “This is the first time we receive outside help. We are deeply touched and happy because UI, which is far from us, pays attention to us in a time of distress.”
The program is supported by the Directorate of Community Service and Empowerment, Universitas Indonesia (DPPM UI) through its community service and empowerment grants. Rambat and his team organized a similar program in 2019 for the Sembalun Women Farmers Group led by Sri Wardaningsih to introduce a new, modern method for producing and marketing black garlic. They also innovated and use black garlic powder as a spice added to the coffee produced in Sembalun. The result has received quite good response from the local people and tourists. (hjtp)
Dra. Amelita Lusia, M.Si. CPR
Head of UI Public Relations Office and KIP
Media Contact: Egia Etha Tarigan, S.Sos, MM (media relations UI), humas-ui@ui.ac.id; 08151500-0002)
(lem)