Traditional Salt Production in East Java: Economic, Social, and Environmental Management Innovations

¹ Faculty of Economics and Business, Universitas Padjadjaran, Bandung 40132, Indonesia
² Faculty of Economics and Business, Institut Teknologi dan Bisnis Ahmad Dahlan Lamongan, Lamongan 62218, Indonesia
³ Research Center for Cooperative, Corporation, and People’s Economy, National Research and Innovation Agency, Jakarta 12710, Indonesia

^* Corresponding author: roudlotul24001@mail.unpad.ac.id

Abstract

East Java Province plays a vital role in Indonesia’s salt production. Meanwhile, for salt production, the mineral-rich bittern waste is discarded, causing environmental pollution and loss of economic potential. The research aims to explore the potential of salt ponds and sustainable production of smallholder salt in East Java using a qualitative approach through observation, interviews, and documentation. The results show that East Java has a land area of 7,897.26 hectares, 6,613 farmers, and a total production of 847,011.33 tons, with a productivity of 107.25 tons per hectare in 2023. Economically sustainable production includes innovations in processed salt products (health therapy salt, salt soap, livestock salt, and fish salt), service innovations (educational tourism and health salt therapy), and processing waste into fertilizer. Socially, it includes training and technology assistance for farmers and job creation. In terms of the environment, there is the use of production technology (tarpaulin, geomembrane, tunnel, prism, and on-off system) and renewable energy (solar, windmill, wind power plant, and solar cell), as well as waste management through sales for fertilizer and hospital needs, or reuse in salt production. The research shows significant business potential for salt in East Java and promotes sustainable solutions from an economic, social, and environmental perspective.