Analysis of Profit in Organic and Conventional Paddy Farming in Two Adjoining Villages

In Java Island, where half of Indonesia’s population resides, increasing rice farming efficiency to increase rice production becomes the alternative approach. Despite some regions being vulnerable to flooding, East Java Province is one of Indonesia's top paddy producers. Compared to non-organic paddy, organic paddy produces less and is less productive. The time it takes to switch from conventional to organic farming and the significant impact of input use are the barriers to organic paddy production and productivity. This study analyzes the farmers profit from conventional and organic paddy farmers in East Java Province. The research was conducted in Mulyo 2 group with 34 conventional farmers; meanwhile, the Sumber Makmur 1 group with 32 organic farmers was used as samples. The data used in this research was data from farming during the rainy season of 2023-2024. The data was analyzed by using SPSS statistics version 26.0. The results showed that the profit farmers in Sumber Makmur 1 group made from selling their organic paddy was more than the profit farmers in Mulyo 2 group made from selling their conventional paddy. The lower variable and fixed costs incurred in the Sumber Makmur 1 farmer group support the higher profit. Compared to conventional paddy, organic paddy produces more and sells for a higher price, spending less on variable, fixed, and total costs.