Dynamics of Indonesian Robusta Coffee Competition Among Major Competitor Countries

Download as pdf or txt
Download as pdf or txt
You are on page 1of 10

P‐ISSN: 

2356‐1297                                                                                                                                           E‐ISSN : 2528‐7222

Volume 5, Nomor 1, Maret 2018

 
DYNAMICS OF INDONESIAN ROBUSTA COFFEE COMPETITION
AMONG MAJOR COMPETITOR COUNTRIES

DINAMIKA PERSAINGAN KOPI ROBUSTA INDONESIA DENGAN


NEGARA-NEGARA PESAING UTAMA
*
Nia Rosiana1), Rita Nurmalina2), Ratna Winandi2), and Amzul Rifin2)

Major of Agricultural Economics, Graduate School of Bogor Agricultural University1)


Jl. Kamper Wing 5 Level 4, Darmaga, Bogor. 16680)
*
niarosiana@gmail.com
Department of Agribusiness, Faculty of Economics and Management,
Bogor Agricultural University2)
Jl. Kamper Wing 4 Level 5, Darmaga, Bogor, 16680

(Tanggal diterima: 28 Desember 2017, direvisi: 20 Januari 2018, disetujui terbit: 26 Maret 2018)

ABSTRAK
Fluctuations in Indonesian Robusta coffee exports occurred along with a declining trend in coffee exports compared to major
competitor countries over the past fifteen years. This research aimed to analyze the dynamics of the competitiveness of Indonesian
Robusta coffee exports and the level of competition among the major competitor countries such as Vietnam and India. The methods
used are Revealed Comparative Advantage (RCA), Dynamic Revealed Comparative Advantage (DRCA), and Rank Spearman Correlation. These
methods were selected to analyze changes in competition level within 15 years’ time dimension (2000–2015) as well as to analyze
the relationships among competing countries, which may affect Robusta coffee market of each country. The analysis showed that
Indonesia's coffee competitiveness tends to increase compared to the two major competitors of Robusta coffee exporter of the
worldwide, such as Vietnam and India. However, Indonesia's coffee competitiveness is still a half below Vietnam. The Indonesian
coffee competitiveness against Vietnam and India is not significantly correlated due to the different markets of export destination
countries. Increasing competitiveness and the strength of competition in export market can be done through quality improvement
and continuity of domestic Robusta coffee in accordance to the demand of world consumers.
Keywords: Competitiveness, DRCA, rank spearman correlation, RCA, Robusta coffee

ABSTRACT
Dalam kurun waktu lima belas tahun terakhir, terjadi fluktuasi ekspor kopi Robusta Indonesia dengan kecenderungan yang semakin menurun
dibandingkan negara pesaing utama. Tujuan penelitian adalah menganalisis dinamika daya saing ekspor kopi Robusta Indonesia dan tingkat
persaingan antar negara pesaing utama, seperti Vietnam dan India. Metode yang digunakan, yaitu Revealed Comparative Advantage (RCA),
Dynamic Revealed Comparative Advantage (DRCA), dan Rank Spearman Correlation. Metode tersebut digunakan untuk menganalisis perubahan
tingkat persaingan dalam dimensi waktu 15 tahun (2000–2015) serta menganalisis hubungan antar negara pesaing yang dapat memengaruhi
pasar kopi Robusta setiap negara. Hasil analisis menunjukkan daya saing kopi Indonesia cenderung meningkat dibandingkan dua pesaing utama
pengekspor kopi Robusta dunia, seperti Vietnam dan India. Namun, daya saing kopi Indonesia masih setengah kali di bawah Vietnam. Persaingan
kopi Indonesia dengan Vietnam dan India tidak berkorelasi signifikan karena perbedaan pasar negara tujuan ekspor. Peningkatan daya saing dan
kekuatan kompetisi di pasar ekspor dapat dilakukan melalui peningkatan kualitas serta kontinuitas kopi Robusta domestik sesuai dengan permintaan
konsumen dunia.
Kata Kunci: Daya saing, DRCA, kopi Robusta, korelasi rank spearman, RCA

 
1
 
J. TIDP 5(1), 1-10
Maret, 2018

 
INTRODUCTION (Dradjat et al., 2007). The steps include quality
improvement, elimination of operating cost in the port,
As one of major coffee producing countries in tax abolition or tax allowance and provision of low
the world, Indonesia has an opportunity to improve interest export credit. Export subsidies can be provided
coffee export to international market, which can be to motivate the entrepreneurs (exporters) in order to
seen from an increase in world coffee consumption of increase coffee exports (Baroh, Hanani, Setiawan, &
8.47% during 2011–2016 (ICO, 2016a) and domestic Koestiono, 2014), which caused complexities on trades
coffee production for the last three years (2013–2015), are due to lack of harmonization in standards (Nugroho,
that was 11.89%. Also, a relatively low level of 2014).
domestic coffee consumption becomes the driving Increasing Indonesian coffee competitiveness
factor to enhance coffee export. However, there was a can also be done through market diversion and
significant decrease in the export rate of Indonesian penetration to other countries such as Korea, ASEAN
coffee by 19.78% for the last three years. Less countries, USA, and European countries due to the
satisfactory export performance adversely affected increasing trend of coffee demand (Kementerian
Indonesian coffee competitiveness (Kementerian Pertanian, 2014). Other strategy is by improving the
Pertanian, 2014), (Dradjat, Agustian, & Supriatna, mechanisms of certification schemes (Arifin, 2013).
2007). Competitiveness of country may change, influenced by
Indonesia ranks the fourth among the world price and non-price factors (Fleming & Tsiang, 1956).
major coffee exporters after Brazil, Vietnam, and Price factors consist of the differences in productivity
Colombia (Table 1). Production of Indonesian Robusta levels, changes in exchange rate and tax, and the
coffee reached 74%, while the remaining was from difference in rate increase of national price level. Non-
Arabica coffee production (Direktorat Jenderal price factors include export quality, improvement in
Perkebunan, 2015). During the period 1990–2015, marketing efficiency, and the difference in export
Indonesia experienced a decrease in exports of demand fulfillment. Therefore, a more comprehensive
0.0061%. In contrast, coffee export in Brazil, Vietnam, effort is required to increase the export share of
and Colombia increased by 1.06%, 17.58%, and Indonesian coffee. Evaluation of the competitiveness of
0.0056%, respectively. Less progress in Indonesian industrial products in global markets uses Revealed
coffee export may be caused by several factors such as Comparative Advantage index (Startienė &
the productivity and quality of coffee. The amount of Remeikienė, 2014). Based on those points, this study
coffee exported will determine the competitiveness of aimed to analyze the competitiveness and the dynamics
Indonesian coffee in the international market. of competitiveness to assess the performance and
Increasing Indonesian coffee competitiveness in the position of Indonesian coffee export for the last fifteen
international market requires steps to improve years in international market.
performance and supportive export policy for coffee

Table 1. Six world major coffee producing countries in 2015/2016


Tabel 1. Enam negara produsen utama kopi dunia tahun 2015/2016
Country Total production Coffee type Major production
(ton) Robusta Arabica
Brazil 2.905.380 v v Arabica
Vietnam 1.650.000 v v Robusta
Colombia 840.540 v Arabica
Indonesia 691.500 v v Robusta
Ethiopia 402.000 v Arabica
India 349.980 v v Robusta
Source: ICO (2016a)
Sumber : ICO (2016a)

 
2
 
Dynamics of Indonesian Robusta Coffee Competition Among Major Competitor Countries
(Nia Rosiana, Rita Nurmalina, Ratna Winandi, and Amzul Rifin)

 
MATERIALS AND METHODS

Analysis of coffee competitiveness in this study


was conducted using Revealed Comparative Advantage (2)
(RCA), while analysis of competitiveness dynamics was Where:
performed by Dynamic Revealed Comparative RCAj : Comparative advantage of a country
Advantage (DRCA). In addition, Rank Spearman towards commodity j
Correlation was applied to measure the correlation DRCA : Dynamics of competitiveness
between coffee competitor countries. The data used xij : Total export of commodity j from
were time series data from 2000 to 2015 obtained from country i (US$)
United Nations Comtrade Database (UN-Comtrade) xwj : Total export of commodity j from all
and International Coffee Organization (ICO). Countries countries (world) (US$)
analyzed in this research were Vietnam, Indonesia, and ∑jxij : Total export of all commodities from
India. These three countries were selected since they country i (US$)
are the world largest Robusta coffee producers. ∑jxwj : Total export of all commodities from all
Comparative advantage of a country is countries (world) (US$)
reflected by its export which can be measured through j : Commodity j
Revealed Comparative Advantage (RCA) or known as i : Country i
Balassa index. Moreover, the value of RCA is 0 < RCAij w : All countries (world)
< ∞. If RCAij value is greater than unity, it means that
country i has comparative advantage in coffee since the RCA value obtained was used to analyze the
share of commodity j in total export of country i is competition level between coffee exporting countries.
higher than that of the same commodity in world The analysis was performed using Rank Spearman
export, thus the country specializes in the commodity. Correlation (Lee, Lee, & Lee, 2013). The formula can
Otherwise, if RCAij is less than unity, it indicates that be found in equation 3 and 4.
country i does not have comparative advantage in coffee
and does not specialize in that commodity group.
Formulation of RCA is presented in equation 1. (3)

(1)
Analysis of competitiveness dynamics to assess (4)
the competitiveness performance of Indonesian coffee Where:
was done using Dynamic Revealed Comparative rs : Coefficient of correlation
Advantage (DRCA) referring to Edwards & Schoer R (Xi) : Rank for sample Xi
(2002). DRCA is able to describe RCA along with the R (Yi) : Rank for sample Yi
development over time. In addition, DRCA has the D : Difference between Xi and Yi
ability to determine the position of a product in the
N : Number of sample
market. Formulation of DRCA can be found in
equation 2. Moreover, Table 2 shows export position of
a country in the international market.

Table 2. Position of export market


Tabel 2. Posisi pasar ekspor
RCA Share of commodity j in Share of commodity j in world Position of export
country’s export export market
Increases ↑ > ↑ Rising stars
↑ > ↓ Failing stars
↓ > ↓ Lagging retreat

Decreases ↓ < ↑ Lost opportunity


↓ < ↓ Leading retreat
↑ < ↑ Lagging opportunity
Source: Edwards & Schoer (2002)
Sumber: Edwards & Schoer (2002)

 
3
 
J. TIDP 5(1), 1-10
Maret, 2018

 
According to Widodo (2010), positive value of profitable plants cultivation. Thus, a decline in coffee
Rank Spearman Correlation coefficient indicates production. Analysis result indicated that decreasing
competition between two countries in export market production area affected the level of production.
(both have similar comparative advantage pattern). During the period 2010–2015, there was also a decline
Whereas, negative value means that the commodity is a in national coffee production of 0.32% per year along
complement in the product supply to export market with the decreasing production area, due to the aging
(both have different comparative advantage pattern). It coffee plants (more than 25 years). Based on those
is in line with Firdaus, Harmini, & Farid (2011), which findings, plant rejuvenation and production area
stated that if the value of │rs│= 0, both variables are extensification in order to boost national coffee
not correlated and if the value of │rs│= 1, both production is required.
variables are perfectly correlated. Meanwhile, higher National coffee productivity in 1990 reached
value of │rs│indicates stronger correlation between 385.82 kg/ha, lower than it was in 2015 which
variables. reached 538.80 kg/ha in. Despite the trend of an
increase in coffee productivity and achieving a growth
RESULT AND DISCUSSION of 1.54% per year during 1990–2015, its growth was
still relatively low compared to Vietnam. Before 1998,
Overview of Indonesian Coffee Indonesia was the largest Robusta coffee exporter in the
The growth of Indonesian coffee production world. However, from then on Vietnam has been in the
during 1990–2015 increased by 2.11% per year which position until now with the productivity level at 2.5
was supported by the increasing production area of ton/ha.
0.63% during the same period. This result led to an National coffee production is intended to meet
increase in Indonesian coffee productivity of 1.54% per domestic demand and to be exported to consuming
year. Cultivated coffee consists of two types, namely countries. Of which, export of Indonesian coffee in
Robusta and Arabica, of which the most cultivated in 2015 reached 479.100 tonnes (ICO, 2016b). Most of
Indonesia is Robusta coffee. coffee exported was in the form of coffee beans
Comparison of coffee production for five (99.5%), whereas only 0.5% processed (roasted and
periods exhibited that the average production of powder) (Direktorat Jenderal Perkebunan, 2015).
Indonesian coffee achieved the highest production Based on coffee type, most exported was Robusta
quantity during 1995–2000 (Table 3). This is because (76.7%), while the rest was Arabica (Kementerian
coffee plants were still in productive age, thus Perindustrian, 2015). For the last fifteen years,
influencing productivity level. The average productivity Indonesia experienced major shift of export destination
level of Indonesian coffee during that period reached countries. In 2005, the major export destination
the highest value of 2.28% per year. markets of coffee were USA, Europe, and East Asia. In
During the period 2010–2015, the average 2015, market share of export destination to USA and
production growth, area, and productivity per year Europe tended to decrease despite an increase in coffee
showed the lowest value. The average growth of area export to Russia by 40% compared to 2014 (UN
continued to decline and even showed negative growth Comtrade, 2017).
due to land conversion, from coffee plants into more

Table 3. Average growth of production, area, and productivity of Indonesian coffee


Tabel 3. Rata-rata pertumbuhan produksi, luas areal, dan produktivitas kopi Indonesia
Year Average growth/year (%)
Production Area Productivity
1990–1995 2.24 2.02 0.23
1995–2000 3.84 1.79 2.28
2000–2005 3.42 1.97 1.55
2005–2010 1.04 -1.19 2.27
2010–2015 -0.32 -0.42 0.16

Source: BPS (2016)


Sumber : BPS (2016)

 
4
 
Dynamics of Indonesian Robusta Coffee Competition Among Major Competitor Countries
(Nia Rosiana, Rita Nurmalina, Ratna Winandi, and Amzul Rifin)

 
Declining market share in USA and Europe which was still far below from the main competitor,
was due to increasing competition among major namely Vietnam that reached 12.8%.
exporting countries, especially coffee demand from Competitiveness of Vietnamese coffee was
countries which are known to be selective on quality. found to be the highest compared with other major
The segmentation of quality coffee are high end, middle competitor countries. This is supported by the
range, and low range (Simamora, 2014). Export availability of Vietnamese coffee supply to meet the
destination market of Indonesian coffee continues to world market demand. However, the development of
shift and tends to increase in 2015 in Asian countries RCA value of Vietnamese coffee decreased by 55.4%,
such as Malaysia, Thailand, and India, as shown in thus impacting the competitiveness of Vietnamese
Figure 1. coffee in the world coffee market. The decline was due
Most of coffee exported from Indonesia is to the proportion of coffee export which was smaller
Robusta coffee beans. Indonesia is facing Robusta coffee than the total export of commodities. The average RCA
export competition particularly from Vietnam and value of Vietnamese coffee during 2000–2015 was 27.3
India. Analysis result showed that the competitiveness with the lowest RCA value of 12.68 in 2015. The other
of Indonesian coffee during 2000–2015 was fluctuated major competitor of Indonesian coffee was India. India
with a tendency to increase. It can be seen from RCA mostly exported Robusta coffee in the form of coffee
value per year with an average growth of 0.69 (Figure beans. The analysis result indicated that the
3). Although the export quantity decreased during the development of Indian coffee competitiveness
period 2011–2015, there was an increase (0.64%) in decreased by 46.9% due to the decreasing of coffee
the average of Indonesian coffee export share in all export.
Indonesian export commodities. In general, for the last Based on this result, the comparison of
fifteen years (2000–2015), the average growth of competitiveness among three countries can be seen in
Indonesian coffee export share in all Indonesian export Figure 2. Competitiveness of Indonesian coffee tended
commodities increased 5.43% each year. to increase compared to the two major competitors of
According to analysis result, Indonesian coffee Robusta coffee exporter, namely Vietnam and India.
commodity has comparative advantage since Indonesia However, the competitiveness level of Indonesian
has higher export market share in international market. coffee was still half of Vietnamese coffee. A decline in
This can be seen from the greater of RCA value than Vietnamese coffee competitiveness is an opportunity for
unity. The average RCA value of Indonesian coffee Indonesia with the consequence of having to increase
during 2000–2015 was 5.61. In 2015, Indonesian coffee productivity and quality to meet the demand of
coffee export market share in the world was only 6.5%, world consumer.
Export quantity (ton) 

Export destination countries

Figure 1. Shift of major export destination countries of Indonesian coffee (Source: UN Comtrade, 2017)
Gambar 1. Pergeseran negara-negara tujuan ekspor utama kopi Indonesia (Sumber: UN Comtrade, 2017)

 
5
 
J. TIDP 5(1), 1-10
Maret, 2018

Figure 2. Development of RCA value of Indonesian coffee with major competitor countries (Source: UN Comtrade,
2017, processed)
Gambar 2. Perkembangan nilai RCA kopi Indonesia dengan negara pesaing utama (Sumber: UN Comtrade, 2017, diolah)

Analysis of Dynamics and Correlation of decrease only in 2010. This is due to the declining
Indonesian Coffee Competitiveness with Major export share of coffee resulted from decreasing value of
Competitor Countries Indonesian coffee export in that year which was 1.17%
Indonesia as the second largest exporter of from the previous year. Furthermore, in the period
Robusta coffee worldwide during 2000–2015 2010–2015, the growth of Indonesian coffee export
experienced changes in competitiveness performance. share tended to increase despite the value of Indonesian
The changes were in line with the development over coffee export had a tendency to fluctuate during that
time which showed the shift of Indonesian coffee period of time.
position in the market, particularly from the major Vietnam as the major competitor of Indonesian
competitor countries of Indonesian Robusta coffee such coffee and the largest exporter of Robusta coffee
as Vietnam and India. worldwide experienced declining competitiveness
Analysis result showed that the dynamic RCA performance. This is indicated by the decreasing RCA
(DRCA) value of Indonesian coffee increased in three values in three periods of time, i.e. in 2000 (28.40),
periods of time (Table 4). In comparison with Vietnam 2005 (26.10), 2010 (22.54), and 2015 (12.68).
as the leading exporter of Robusta coffee in the world, Declining in RCA value was due to the decreasing
DRCA value of Indonesia increased and showed a export value of Vietnamese coffee in the value of export
positive value by the end of the year. This is indicated commodity of all commodities in that country.
by the fluctuating RCA value along with the increasing Although the export value of Vietnamese coffee tended
trend. The RCA values in 2000, 2005, 2010, and 2015 to increase every year, the growth of export value of all
were 4.12, 6.74, 4.56, and 6.94, respectively. In that commodities in that country was higher than the export
period, RCA value of Indonesian coffee shown a value of Vietnamese coffee.

Table 4. Value of dynamic RCA (DRCA) of 2000-2015


Tabel 4. Nilai RCA dinamis (DRCA) tahun 2000-2015

Period of time
Country
2000–2005 2005–2010 2010–2015
Indonesia 0.450 -0.423 0.527
Vietnam -0.057 -0.179 -0.441
India -0.131 -0.577 0.166
Source: UN Comtrade, (2017), processed
Sumber: UN Comtrade (2017), diolah

 
6
 
Dynamics of Indonesian Robusta Coffee Competition Among Major Competitor Countries
(Nia Rosiana, Rita Nurmalina, Ratna Winandi, and Amzul Rifin)

 
Another major competitor of Robusta coffee is previous period. Vietnam was in a lagging opportunity
India which experienced an increase in export position where the increase in coffee export share was
competitiveness performance as shown by DRCA lower than the increase in world coffee share. In the
values that tended to increase over the three periods of period 2010–2015, the growth of Vietnamese coffee
time. During the period 2010–2015, competitiveness share experienced a decline in which the world coffee
of Indian coffee was at the highest competitiveness share increased during the same period. At that time,
performance compared to the other two periods of Vietnam was at the lost opportunity position since
time. However, market share of Indian coffee in the increasing demand for world coffee did not equal with
international market only reached 2.9% in 2015. the ability to supply coffee to the global market.
Competitiveness position of the major The position of Indonesia in the world coffee
exporting countries of coffee can be seen in Figure 3. market was different from that of the major
Vietnam as the leading exporter of Robusta coffee in competitor, namely Vietnam. During the period 2000–
the world experienced decreasing competitiveness 2005, Indonesia experienced falling stars where the
position in the world market of coffee. During the growth of RCA value reflected by Indonesian coffee
period 2000–2005, Vietnam was in a lagging position in export share was higher than the growth of world RCA
which the decrease in growth rate of Vietnamese coffee value. In that condition, the share of world coffee
share was higher than the decrease in the share of world decreased by 29.3% due to the fact that the growth of
coffee. During the period 2005–2010, the growth of export value of all world commodities was higher than
Vietnamese coffee market share was better than the the growth of world coffee export value.

Lost Lagging
Opportunity Opportunity

Rising
Star

The growth of coffee


share of producing
country

Lagging Falling
Retreat The growth of world Stars
coffee share

= RCA Increases = RCA Decreases

Period 2000–2005 Period 2005–2010 Period 2010–2015

Figure 3. Competitiveness position of Indonesian coffee and major competitor countries


Gambar 3. Posisi daya saing kopi Indonesia dengan negara pesaing utama

 
7
 
J. TIDP 5(1), 1-10
Maret, 2018

 
Unlike the condition during the period 2005– than Vietnam, competition between the two countries
2010, Indonesia was in a lost opportunity position due was not very strong.
to decreasing growth of RCA value of Indonesian
coffee, while the RCA value experienced positive Table 5. Correlation of competitiveness among coffee
growth. In this situation, the share of Indonesian coffee exporting countries
export in all commodities exported by Indonesia Tabel 5. Korelasi daya saing antar negara eksportir kopi
decreased by 11.4%. Nevertheless, Indonesia was in a Correlation Indonesia Vietnam India
rising star position during the period 2010–2015 as the Indonesia 1.000 0.153 -0.121
growth of Indonesian coffee export share was higher Vietnam - 1.000 0.529*
than the growth of world coffee export share. Yet, the India - - 1.000
market share of Indonesian coffee in the international Notes : * significant at 5 % level
market in 2015 was still relatively low (6.5%) Keterangan : * nyata pada taraf 5%
compared to Vietnam (12.8%). During that time,
market share of Indonesian coffee towards other export
commodities increased by 34.9%. This result was due CONCLUSION
to two reasons, namely: a) increasing export value of
coffee by 46.4% during 2010–2015, and b) declining Competitiveness of Indonesian coffee during
export value of all Indonesian export commodities by the period 2000–2015 tended to increase compared to
4.7%. Indonesia is able to improve its coffee the two major competitors of Robusta coffee exporters,
competitiveness in the international market when this namely Vietnam and India. Furthermore, the growth of
country consistently increases the quantity of coffee Indonesian coffee export share in all Indonesian
export. Furthermore, effort to improve the quality of exported commodities tended to increase. Whereas the
exported coffee can increase the coffee competitiveness major competitor country of Indonesian coffee, namely
in the international market. Vietnam experienced declining competitiveness
The strength of competition among major performance as shown by the decreasing value of RCA
competitor countries was seen based on the correlation and DRCA. Nevertheless, the level of Indonesian coffee
value between two countries by using Rank Spearman competitiveness was still half of Vietnam. During the
Correlation analysis. Correlation between the countries period 2010–2015, the growth of Vietnamese coffee
can be seen in Table 5. Analysis result showed that share decreased in which period the share of world
Indonesia was not significantly correlated with major coffee increased. Vietnam was in a lost opportunity
competitor countries such as Vietnam and India. This is position since the increasing demand for world coffee
indicated by the p-value which was higher than the did not equal the ability to supply coffee to the global
significance level (0.05). This finding was in accordance market. At the same period, Indonesia was in a rising
with the study conducted by Meiri, Nurmalina, & Rifin star position as the growth of Indonesian coffee export
(2013) that Indonesia did not have significant share was higher than the growth of the share of world
correlation with Vietnam due to the difference of coffee coffee export. The share of Indonesian coffee market in
markets during 2000–2011. In 2015, Indonesian coffee export commodities tended to increase due to the
market dominated North Africa and Southeast Asia, increasing export value of coffee and the decreasing
while Vietnam dominated American and European export value of all Indonesian export commodities.
market. Moreover, Indonesia was not significantly Despite Vietnam and India are two of the leading
correlated with India due to the difference in export producers of Robusta coffee worldwide, competition
destination countries. Nevertheless, the comparison strength between the two countries and Indonesia was
between Indonesia-Vietnam and Indonesia-India not significantly correlated. This result was due to the
showed that p value of Indonesia-India is larger than market difference of export destination countries.
Indonesia-Vietnam. This is because RCA growth of Increasing Indonesian coffee competitiveness can be
Vietnam coffee (-55.4%) lower than that of Indian achieved by increasing the productivity through coffee
coffee (- 46.9%) over the last fifteen years. plantation rejuvenation. Furthermore, postharvest
Another analysis result showed that there was a processing of coffee beans can also be used to increase
positive and significant correlation (0.529) between product quality and export. In addition, creating new
Vietnam and India as indicated by p-value (0.035) coffee market, not only in Europe but also in West Asia
which was lower than the significance level (0.05). The and America is necessary.
existence of the same destination market showed that
there was competition between Vietnam and India.
However, as India’s market share was still much lower
 
8
 
Dynamics of Indonesian Robusta Coffee Competition Among Major Competitor Countries
(Nia Rosiana, Rita Nurmalina, Ratna Winandi, and Amzul Rifin)

 
ACKNOWLEDGEMENTS
ICO. (2016a). Historical data on the global coffee trade.
The authors would like to thank Direktorat Retrieved January 21, 2016, from
Riset dan Pengabdian Masyarakat, Ditjen Penguatan http://www.ico.org/new_historical.asp
Riset dan Pengembangan Kementerian Riset,
ICO. (2016b). World coffee consumption in thousand 60 kg
Teknologi, dan Pendidikan Tinggi which has provided bags. International Coffee Organization, (January), 1–1.
research funding BPPDN (Beasiswa Pendidikan Retrieved from
Pasacasarjana Dalam negeri). The authors also would http://www.ico.org/pt/trade_statisticsp.asp?section
like to thank Department of Agribusiness, FEM-IPB for =Estatstica
the support in writing this article.
Kementerian Perindustrian. (2015). Kebijakan pengembangan
REFERENCES Industri pengolahan kopi nasional. Jakarta, Indonesia.

Arifin, B. (2013). On the competitiveness and sustainability Kementerian Pertanian. (2014). Renstra Kementrian
of the Indonesian agricultural export commodities. Pertanian tahun 2015 - 2019. Jakarta, Indonesia
ASEAN Journal of Economics, Management and Accounting,
1(1), 81–100. Lee, C. F., Lee, J. C., & Lee, A. C. (2013). Statistics for
business and financial economics. Statistics for Business and
Baroh, I., Hanani, N., Setiawan, B., & Koestiono, D. (2014). Financial Economics.
Indonesian coffee competitiveness in the International https://doi.org/10.1198/tas.2006.s59
Market: Armington Model Application. American
Journal of Economics, 4(4), 184–194. Meiri, A., Nurmalina, R., & Rifin, A. (2013). Analisis
doi:10.5923/j.economics.20140404.03 perdagangan kopi Indonesia di pasar trade analysis of
Indonesian coffee in. Buletin Ristri, 4(1), 39–46.
BPS. (2016). Produksi, luas lahan, produktivitas. Retrieved
January 1, 2017, from Nugroho, A. (2014). The impact of food safety standard on
http://www.bps.go.id/index.php/istilah/index?Istila Indonesia’s coffee exports. Procedia Environmental
h%5Bkatacarian%5D=ekspor&yt0=Tampilkan Sciences, 20, 425–433.
doi:10.1016/j.proenv.2014.03.054
Diretorat Jenderal Perkebunan. (2015). Statistik perkebunan
Simamora, S. D. (2014). Market brief: langkah dan strategi
Indonesia (2013–2015 kopi). Jakarta, Indonesia:
ekspor ke Uni Eropa: Produk kopi. Jakarta, Indonesia :
Directorate General of Plantation, Ministry of
APINDO-EU ACTIVE
Agriculture.
Startiené, G., & Remeikiené, R. (2014). Evaluation of
Dradjat, B., Agustian, A., Supriatna, A. (2007). Ekspor dan
revealed comparative advantage of Lithuanian industry
daya saing kopi biji Indonesia di pasar internasional:
in global markets. Procedia - Social and Behavioral
Implikasi strategis bagi pengembangan kopi biji
Sciences, 110, 428–438.
organik. Pelita Perkebunan, 23(1), 159–179.
doi:10.1016/j.sbspro.2013.12.887
Edwards, L., & Schoer, V. (2002). Measures of
UN Comtrade. (2017). Extract data. Retrieved February 2,
competitiveness: a dynamics approach to South
2017, from https://comtrade.un.org/data/.
Africa’s trade performance in the 1990s. The South
African Journal of Economic, 70(6 September 2002).
Widodo, T. (2010). International trade, regionalism and dynamic
market. Yogyakarta, Indonesia: Fakultas Ekonomika
Firdaus, M., Harmini, Farid, M. A. (2011). Aplikasi metode
dan Bisnis. Universitas Gajah Mada.
kuantitatif untuk manajemen dan bisnis. Bogor, Indonesia:
IPB Press.

Fleming, J. M., & Tsiang, S. C. (1956). Changes in


competitive strength and export shares of major
industrial countries. Staff Papers, 5(2), 218-248.

 
9
 
J. TIDP 5(1), 1-10
Maret, 2018

 
10
 

You might also like