Premium Rice Agro-Industry Business Innovation in Increasing the Competitiveness of MSMEs in Sidenreng Rappang Regency

Sari

Micro, Small, and Medium Enterprises (MSMEs) in the premium rice agro-industry play an important role in strengthening the regional economy of Sidenreng Rappang Regency, one of the major rice-producing areas in South Sulawesi. However, increasing market competition, limited product differentiation, conventional packaging, weak branding, and suboptimal use of digital technology remain challenges to MSME competitiveness. This study aims to examine the forms of business innovation implemented by premium rice agro-industry MSMEs and their contribution to increasing competitiveness in Sidenreng Rappang Regency. This study employed a qualitative descriptive approach. Informants consisted of premium rice MSME owners, representatives of the Cooperatives, SMEs, Manpower and Transmigration Office, the Agriculture Office, agricultural extension workers, rice milling associations, and consumers. Data were collected through observation, in-depth interviews, documentation, and literature review. Data were analyzed using the interactive model of Miles, Huberman, and Saldaña, involving data condensation, data display, and conclusion drawing and verification. Data credibility was strengthened through source triangulation, technique triangulation, and member checking. The findings show that business innovation is implemented through three main areas: product innovation, packaging and branding innovation, and marketing innovation. Product innovation involves the adoption of modern Rice Milling Unit (RMU) technology, improved quality standards, and product diversification. Packaging and branding innovation involves the use of attractive and informative premium packaging and the development of distinctive product identities. Marketing innovation is reflected in the expansion of distribution channels and the use of digital marketing to reach broader markets. These innovations contribute to improving product quality, strengthening brand image, increasing product added value, expanding market access, and building consumer loyalty. The study concludes that business innovation serves as an important differentiation strategy for strengthening the competitiveness and sustainability of premium rice agro-industry MSMEs in Sidenreng Rappang Regency.