SMALLHOLDER ADOPTION OF TREE CROPS - A CASE-STUDY OF COCOA IN SULAWESI

Tree crops play an important role in the Indonesian economy. A large share of these crops is grown by smallholders, most of whom have not been assisted in any way by government policies. In order to assess the future potential for tree crops, it would be useful to know what factors determine smallholder tree crop adoption. This paper uses survey data from Sulawesi to assess the role of such factors as education, land ownership and information in explaining the adoption of cocoa, a new tree crop introduced into the region in the late 1970s.