Competitiveness of Indonesian Tea in International Market

Samudera, Jauhar; Daryanto, Arief; Saptono, Imam Teguh

doi:10.17358/ijbe.3.1.14

Cited by 11 publications

(11 citation statements)

References 8 publications

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“…If it is known that there is export growth from commodities that are studied in a sustainable manner with a value above the average export growth, then these commodities can be used as a source of foreign exchange income for the country. In addition, if a commodity has good growth in the export destination country, it can be an opportunity to increase exports of similar products in that country [22][23][24]. The EPD method describes the position of product export performance into four categories, namely Rising Star, Falling Star, Lost Opportunity, and Retreat.…”

Section: Fig 2 Research Flowchartmentioning

confidence: 99%

Export Performance and Comparative Advantage of Indonesian Tropical Fruits

Sukmaya

Nurdiani

Saptana³

et al. 2022

E3S Web Conf.

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Competitiveness is the critical factor to withstand in global markets. The commodity without competitiveness will defeat by other products with high competitiveness. Indonesian fruits and derivatives must have competitiveness to hold on in global markets. This research aims to measure competitiveness and analyze export performance through tropical fruits and derivatives. Normalize Revealed Comparative Advantage (NRCA), and Export Product Dynamics (EPD) are used in this research to analyze competitiveness and export performance. This research also used a time series of data to analyze tropical fruits competitiveness and export performance. The result shows that Indonesia is strongly competitive in mango, mangosteen, and guava in China, Malaysia, and Singapore. Bananas have strong competitiveness in Malaysia and Singapore, while rambutan, snakefruit and tamarind have weak competitiveness in the five destination countries compared to competing countries. Competitiveness advantages through the EPD calculation shows that the position of Indonesia's tropical fruit exports is in the Falling Star and Retreat position.

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Section: Fig 2 Research Flowchartmentioning

confidence: 99%

Export Performance and Comparative Advantage of Indonesian Tropical Fruits

Sukmaya

Nurdiani

Saptana³

et al. 2022

E3S Web Conf.

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“…Based on product classification, the most competitive Indonesian tea exports are green tea products. Indonesian green tea products with the HS code 090210 have competitiveness and are in a rising star position in the analysis using Export Product Domestic (EPD), while other tea product groups are already in a retreat position (Samudera et al, 2017). Although green tea products still have competitiveness, the competitiveness of Indonesian tea products has decreased every year, especially in black tea products which have lost their share in the international market (Khaliqi et al, 2020).…”

Section: Literature Reviewmentioning

confidence: 99%

Analysis of Competitiveness and Forecasting of Indonesian Tea Exports to Main Destination Countries

Zuhdi

Rambe

Rahmadona

2022

mem

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<p>Indonesia as a tea exporter in the world has not maximized tea export opportunities as indicated by the decline in the value of tea exports from 2016 to 2020. This study aims to further analyze the competitiveness of Indonesian tea exports to major importing countries and predict the value of exports that will occur until 2025. This study used time series data from 2001-2020 which was analyzed with Revealed Comparative Advantage (RCA) and Autoregressive Integrated Moving Average (ARIMA). The results of the analysis show that the competitiveness of Indonesian tea exports to the main destination countries, namely Russia, Malaysia, China, Taiwan, and the United States, does not have a comparative advantage (RCA<1). However, based on forecasting results, the value of tea exports to Russia, Malaysia, and China is expected to increase until 2025. This increase in tea export value also has an impact in the form of strengthening the competitiveness of Indonesian tea exports in these countries even though the RCA index value is smaller than one. Thus, although the competitiveness of Indonesian tea exports is still weak in destination countries, Indonesia can optimize tea exports to countries that have increased competitiveness, such as Russia, Malaysia, and China.</p>

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“…The potential in non-traditional markets can be seen by clustering CPO based on Indonesia's export areas [10]. This clustering is carried out using X -a potential export product model that combines two competitiveness analyzes, namely RCA, which is used to measure a country's comparative advantage to a product and its competitive position in its export destination market, and EPD, which is used to capture an overview of a country trade by looking at the dynamic rate of export growth in a period [10,21,22]. The clustering in X -the potential export product model will be divided into four market clusters, namely optimistic market development, potential market development, less potential market development, and non potential market development.…”

Section: Competitive and Comparative Advantagementioning

confidence: 99%

“…The higher the RCA value, the better the competitiveness is. Conversely, if the value obtained is below one, it can be said that the measured commodity has no competitiveness [11,21,22].…”

Section: Competitive and Comparative Advantagementioning

confidence: 99%

“…This method shows whether the performance of each commodity is dynamic or not. EPD analysis can show the competitiveness position of a commodity which is divided into four positions, namely rising star (increasing market share), falling star (decreasing market share of products), lost opportunity (losing export market share), and retreat (market share decline) [10,22]. The results of the EPD analysis show that the market position for CPO in each of the markets studied is in quadrant -I with eleven non-traditional market countries in a rising star condition.…”

Section: Competitive and Comparative Advantagementioning

confidence: 99%

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The Determinants of Indonesia’s CPO Export in Non – Traditional Market

2021

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Countries in Europe, China and USA are the main destination of Indonesia's CPO exports so that in order to avoid more significant declining in value and export volume because of trade war and the existance of CPO black campaign, Indonesia must take a diversified step, especially for export market diversification. This study illustrates the condition of Indonesian CPO competitiveness in non-traditional markets, measures the position of Indonesia CPO export market attractiveness, and analyzes factors influence CPO exports. Data used are secondary data obtained from various resources. The time series and cross sections data consecutively consist of variables from 2002 to 2017 and 11 nontraditional importing countries. Time series variables consist of volume export of Indonesia CPO, exchange rate, export price, Indonesia GDP, importers GDP, and economic distance. X–model product export potential and gravity model were used to address the objectives. Indonesian CPO has optimistic market development potential because Indonesia CPO has strong competitiveness and in a rising star position.The analysis result with gravity model showed the factors affecting Indonesian CPO export to nontraditional countries was exchange rate, Indonesia GDP, importers GDP, and economic distance. Government role is important to initiate a long term trade agreement which benefits both parties.

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Competitiveness of Indonesian Tea in International Market

Cited by 11 publications

References 8 publications

Export Performance and Comparative Advantage of Indonesian Tropical Fruits

Export Performance and Comparative Advantage of Indonesian Tropical Fruits

Analysis of Competitiveness and Forecasting of Indonesian Tea Exports to Main Destination Countries

The Determinants of Indonesia’s CPO Export in Non – Traditional Market

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