Analysis of the contribution of the trade sector in Hulu Sungai Tengah Regency (2019–2023)

Abstract

This study aims to analyze the contribution of the trade sector in Hulu Sungai Tengah Regency from 2019 to 2023 and to identify appropriate strategies that the local government can implement to enhance its role in regional development. A descriptive approach is used in this research, which focuses on recording, describing, and interpreting actual conditions without manipulating variables. The study does not test hypotheses but rather illustrates the relationship between the trade sector’s contribution and the poverty rate in the regency, as reflected in the statistical data collected and analyzed. The analysis employs Secondary Data Analysis (SDA), which utilizes existing data as the primary source of information. The findings reveal that the trade sector—particularly wholesale and retail trade—has shown stable and significant contributions to the Gross Regional Domestic Product (GRDP) of Hulu Sungai Tengah over the past five years. This indicates its central role in driving local economic activity, supporting consumption, facilitating goods circulation, and empowering MSMEs. Additionally, the accommodation and food services, transportation and warehousing, and manufacturing sectors also contribute to the local trade ecosystem. However, despite its high contribution, the trade sector has not yet effectively reduced poverty. Therefore, strategic interventions are needed, including infrastructure improvement, trade digitalization, MSME empowerment, and small business incentives, to enhance the sector's impact on inclusive economic growth and social welfare.