ABSTRACT: Indonesia is an archipelagic country where half of the total land area has the potential to be an agricultural area, but only 46.17 percent has been cultivated. Indonesia or particularly Central Java area should have been a national food barn, however, rice imports is still continue to be carried out to meet the food needs of the population. Furthermore, This study not only finding out the backward and forward linkage, but also calculates the impact of the output multiplier and multiplier effects of the food crop sector in Central Java. This study also trying to determine the end of the food crop sector’s demand changes to the output of other sectors.
The method used is descriptive quantitative, which is an elaboration of the approach to analysis of Central Java input output 88 sectors in 2008 and 2013 which were aggregated into 24 sectors. The results showed that the food crop sub-sector in 2008 and 2013 had a low backward linkage and high forward linkages, however, this subsector only depends on a number of sectors. Flow on impact in output and income was much lower if compared to the other sectors, such as rice mill industry sector. The proportion of the final demand for the food
crop sector fell by more than 10 percent both directly and indirectly.
KEYWORDS: Input Output,backward and forward linkage, multiplier effect