Economic Analysis of Cattle Business in Program Sosial Bank Indonesia (PSBI) at Pesantren An-Nur II, Malang, Indonesia

Abstract : Cattle fattening business has great potential in enhancing the economic independence of Islamic boarding schools (pondok pesantren) and supporting national food security. This research analyzes the economic and technical aspects of cattle fattening business at An-Nur II Islamic Boarding School, supported by Bank Indonesia’s Social Program (PSBI) through the provision of sustainable cattle farming infrastructure. This program implements an integrated livestock-plant system that builds an environmentally friendly, independent, and sustainable farming ecosystem. Research results show that in the initial stage of maintenance, this business produces an R/C Ratio value of 1.08, indicating that the business is profitable, albeit with a small margin. Projection analysis shows that by utilizing land for self-production of forage and maximizing stable capacity, the R/C ratio value can increase to 1.17, with a profit per head reaching Rp3,640,806. The main challenges in implementing this business are non-standardized feeding practices and lack of intensive monitoring of cattle body weight. Additionally, the livestock purchasing system is still based on estimates without accurately considering body weight, so profit potential is not yet maximized. To improve business efficiency, optimization of the feeding system, monitoring of body weight growth, and implementation of better management-based livestock technology are needed. With improvements in technical and managerial aspects, this business model has the potential to be replicated in other Islamic boarding schools to enhance economic welfare and support national food security.