| dc.description.abstract | National and regional economic development requires economic growth to
achieve prosperity. The achievement of economic growth as seen from the growth
of Gross Domestic Product (GDP) and Gross Regional Domestic Product (GRDP)
should be achievable by all regions in Indonesia, including Riau Province. In
order to pursue high economic growth, the government of Riau Province and the
public need to know information about what sectors are able to produce the high
Gross Regional Domestic Product (GRDP).
Riau Province is the largest contributor to the GDP of Sumatra and has the
major players in pulp and paper industry operating in Perawang and Kerinci,
where both located in Riau Province. Based on the data from the GDRP of Riau
Province in 2010, manufacturing sector has gave the highest contribution, where
pulp and paper industry is one of the prominent players. Paper industry has been
giving major contribution to regional and national economy through export
increase, investment value added, business opportunities creation and human
resources employment as well as national income from tax and non-tax revenues.
The supporting factors for the above mentioned are the availability of main raw
materials for paper industry which are natural resources especially woods supply,
climate condition that is conducive for raw materials growth; and lower
production costs compared to other producer countries.
With two largest players in paper industry are operated in Riau Province,
this study will analyze the role of the paper industry in the economy of Riau
Province through the contribution in GDRP and the linkages with other sectors.
The method use is through the analysis of Input-Output Table Riau Province in
2010 classification of 112 sectors, aggregated into 22 sectors. The analysis
includes linkage analysis, dispersion analysis, and multiplier analysis. From the
analysis it can be seen that pulp and paper industry has a relatively high value.
Therefore, pulp and paper industry is one of the priority sectors in the economy of
Riau Province. These results can be used as a reference for the development of
pulp and paper industry in Riau Province as an economic sector that has the
ability to increase the economic output and income. The government of Riau
Province is expected to overcome the obstacles in the development of pulp and
paper industry. | id |