Note: *The communication cost (telephone bill) is divided by two.
**The price of mangosteen is estimated from the average selling price.
Our analysis is based on the average proportion of the logistics cost. We found that the individual logistics cost of farmers is more variable than the individual structure of the logistics cost of farmers, as shown in Table 3.
This implies that most farmers have a similar pattern of expenses in logistics activities. The result show that the major logistics cost of farmers is material handling cost, at 69.29% of the total logistics cost. The second-highest logistics cost is for transportation cost, at 16.29%.
Procurement cost amounts to 9.74%, whereas the communications and customer service and inventory costs are 2.43% and 2.24%, respectively.
Although the depreciation of vehicles and equipment and loss during harvest and delivery are ignored, the major logistics cost is still material handling.
On the other hand, the transportation cost and procurement costs are about the same.
This shows that if the farmers own the vehicles or equipment, then the transportation cost and material handling cost will be increased.
Next, we analyze whether the size of the farms affects the logistics cost structure.
Most of the farmers grow several types of fruit.
The number of mangosteen plants is also different on each farm.
Then, we categorize the types of farms, according to the number of mangosteen stems per farm, into three types: large, medium and small farms, as shown in Table 4.
Due to the variety of material handling equipment and vehicles belonging to an individual farmer, we propose two methods to compute the logistics cost, as follows:
1. Including the depreciation of equipment in material handling activities and loss of harvesting and delivery in the logistics cost.
2. Excluding the depreciation of equipment in material handling activities and loss of harvesting and delivery in the logistics cost.
Table 3. Logistics cost and its structure interval based on activities of mangosteen farmers
Note: *The communication cost (telephone bill) is divided by two.**The price of mangosteen is estimated from the average selling price.Our analysis is based on the average proportion of the logistics cost. We found that the individual logistics cost of farmers is more variable than the individual structure of the logistics cost of farmers, as shown in Table 3. This implies that most farmers have a similar pattern of expenses in logistics activities. The result show that the major logistics cost of farmers is material handling cost, at 69.29% of the total logistics cost. The second-highest logistics cost is for transportation cost, at 16.29%. Procurement cost amounts to 9.74%, whereas the communications and customer service and inventory costs are 2.43% and 2.24%, respectively. Although the depreciation of vehicles and equipment and loss during harvest and delivery are ignored, the major logistics cost is still material handling. On the other hand, the transportation cost and procurement costs are about the same. This shows that if the farmers own the vehicles or equipment, then the transportation cost and material handling cost will be increased. Next, we analyze whether the size of the farms affects the logistics cost structure.Most of the farmers grow several types of fruit.The number of mangosteen plants is also different on each farm.Then, we categorize the types of farms, according to the number of mangosteen stems per farm, into three types: large, medium and small farms, as shown in Table 4. Due to the variety of material handling equipment and vehicles belonging to an individual farmer, we propose two methods to compute the logistics cost, as follows:1. Including the depreciation of equipment in material handling activities and loss of harvesting and delivery in the logistics cost.2. Excluding the depreciation of equipment in material handling activities and loss of harvesting and delivery in the logistics cost.Table 3. Logistics cost and its structure interval based on activities of mangosteen farmers
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