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Abstract

Beef production in Bali is dominated by smallholders. Three different beef cattle development schemes have been introduced to encourage beef production, including the Beef NES scheme, the Food Safety Credit and the Food Safety Project. They differ in profit and cost sharing arrangements. The Beef NES scheme is conducted under a contract farming system between farmers and finance providers. The Food Safety Credit scheme provides subsidised credit to farmers, while the last scheme is a cooperative-type of arrangement under a Bali government grant. A gross margin analysis of these schemes is conducted to compare profitability of the schemes. The results show that the Food Safety Project provides the highest gross margin to farmer participants and can potentially improve the quality of Bali beef.

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