Competitiveness and Export Similarity of Indonesian Horticulture in The Asean-Asean+3
Journal Title: Agro Ekonomi - Year 2017, Vol 28, Issue 1
Abstract
In the framework of the integration of ASEAN+3, Indonesian horticultural trade is in a dilemmatic position. Being in the middle of a fierce competition with benchmark countries, Indonesia has to make the most of the integration. There is a need of an evaluation in order to investigate Indonesian’s position in ASEAN +3 horticultural markets and the sustainability of specific trading prospect with each member country. Therefore, this study aims to investigate competitiveness and similarity of Indonesian horticultural export structure in intra-ASEAN+3. Revealed Comparative Advantage (RCA) analysis shows Indonesian horticulture does not have aggregate competitiveness in ASEAN+3 market. The average of Indonesian RCA decreased from 1,64 in ASEAN level during 1999-2014 to 0,45 in ASEAN+3 level. In addition, based on Export Similarity Index (ESI) analysis, Indonesia has the highest and most consistent similarity of horticultural export structure with Singapore, both in ASEAN and ASEAN+3 level. Meanwhile, Thailand has the highest level of export structure similarity in ASEAN with ESI index of 93,77. Integration of ASEAN+3 has leadto an alteration in trading scheme in which ESI with each member country generally decrease. The highest level of export structure similarity occurs with Singapore with ESI index of 85,95. Overall, the trade of horticultural commodity in the framework of ASEAN+3 integration is dominated by export structure similarity which may lead to a competition between the members of ASEAN+3.
Authors and Affiliations
Nur Chasanah| Ekonomi Pertanian, Fakultas Pertanian, Universitas Gadjah Mada , Jangkung Handoyo Mulyo| Population and Policy Studies Center (PSKK), Universitas Gadjah Mada, Dwidjono Hadi Darwanto| Department of Agriculture Socio Economic, Faculty of Agriculture, Universitas Gadjah Mada
Keywords
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- EP ID EP15039
- DOI 10.22146/jae.25583
- Views 456
- Downloads 50
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