0 SMEs ministry to support Jatiluwih agro-tourism

The Cooperatives and Small and Medium Enterprises (SMEs) Ministry has since January agreed to support two cooperatives in Jatiluwih in the development of the area as an agro-tourism destination. The ministry’s three-year support program has so far hosted three capacity building training sessions for the two cooperatives in Jatiluwih, the farmers’ cooperative KUD Penebel and general cooperative KSU Sari Merta. 

Each of the cooperatives received funding of Rp 100 million (US$10,290) and the future opportunity to obtain loans from the Revolving Fund Management Agency (LPDB) for cooperatives or other financial institutions when they have managed to display some improvement in their work. “We are focusing on developing their businesses, so capacity building training will be provided continuously. 

The support will last for the next three years. If they display progress, we will facilitate them in accessing other funding sources,” deputy head of Resource Assessment and SMEs at the ministry, I Wayan Dipta, said on the sidelines of his visit to Denpasar cooperatives on Thursday. Jatiluwih is one of the centers of rice production in Tabanan regency. It is well known for its scenic rice field terracing, which is part of the Balinese traditional irrigation system. 

Thanks to this scenic beauty, UNESCO recognized Jatiluwih on its world cultural heritage list last year. Dipta said Jatiluwih area possessed huge potential for development as a tourism destination. To encourage direct benefit for the local community, the ministry decided to support the two long-established cooperatives in Jatiluwih. The cooperatives are expected to manage the area and be in charge of the development of accommodation facilities and other tourism supporting infrastructure. The accommodation facilities are to be homestay rooms in local residents’ homes. 

“Standardized management is required for this type of accommodation. The cooperatives will have the role of providing tour guides, operating simple restaurants and other supporting facilities. In short, we aim to revitalize the local cooperatives,” he said. In other parts of Indonesia, he said, such revitalization programs had been implemented with a number of cooperatives in the tourism destinations of Batu Raden (in Central Java), Minahasa (North Sulawesi), Bantaeng (in Makassar), and Samarinda (East Kalimantan). 

“In Bangli regency, we also have the Mertanadi cooperative. I believe the Jatiluwih cooperatives will bring better results because they have very promising natural potential,” said Dipta. He expected the synergy of the farmers’ cooperative and tourism in Jatiluwih to be as successful as that applied by the Japanese government in Yufuin district in Japan. In Yufuin, which is a hot spring resort, the tourism is managed and developed by the local cooperative, combining the agricultural potential of Oyama, the area in Yufuin that produces fish and vegetables, and Gifu, the area in Yufuin that serves as a handicraft center. 

Dipta regarded the concept as being very effective if adopted in Jatiluwih. Head of Bali Cooperatives and SMEs Agency Dewa Patra acknowledged that the activities of the cooperatives in Jatiluwih would be monitored directly by the ministry. “We support the efforts and will take part intensively,” he said. Patra cited that in the past, the two cooperatives had only performed conventional activities, like saving and loan services and provision of agricultural equipment. As a tourism destination, Jatiluwih has become an icon for Bali. Thus, Patra said, the local community must better engage and be empowered through developing the roles of their local cooperatives.

source : bali daily