The Effect of Agreed Export Tonnage Scheme (AETS) Policy on Indonesia's Natural Rubber Exports to Japan

Hanivia, Safira Retna; Suprehatin, Suprehatin

doi:10.22219/agriecobis.v5i1.20262

Cited by 1 publication

(3 citation statements)

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“…Every increase in natural rubber export restriction by 1% will decrease the export by 0.09%. These results align with the findings of Purnomowati et al (2015) and Hanivia & Suprehatin (2022). Export restrictions are a useful policy in protecting the domestic population from scarcity of basic goods needs, protecting domestic industries from shortages of raw materials and maintaining scarce resources (Chen et al, 2021).…”

Section: Source: Own Calculation From Stata 15supporting

confidence: 85%

“…The world natural rubber price with a probability of 0.035 (significant at α = 5%) negatively influences Indonesia's natural rubber exports. These results are not in line with the findings of (Mulyani et al, 2021;Hanivia & Suprehatin, 2022). With every 1% increase in world natural rubber prices, Indonesia's exports to partner countries decreased by 0.462%.…”

Section: Source: Own Calculation From Stata 15contrasting

confidence: 65%

“…Sari et al (2021), studying the determinants of Indonesian rubber exports in Japan, found that world natural rubber prices had a positive effect. Meanwhile, in the study by Hanivia & Suprehatin (2022), the world price of natural rubber positively impacts Indonesia's exports to Japan in the long-term estimate. As for the study of Purnomowati et al (2015), international natural rubber prices negatively impact the demand for Indonesian natural rubber in the United States, Japan, Singapore and the Republic of Korea.…”

Section: Literatur Reviewmentioning

confidence: 99%

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Competitiveness and determinants of Indonesia's natural rubber exports in main partner countries

Tiyastuti¹,

Marwanti²,

Fajarningsih³

2022

Scientific Horizons

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The main destination countries play an important role in Indonesia's natural rubber exports, as most of Indonesia's natural rubber is exported to these countries. The purpose of this study was to examine the comparative advantage and determinants of Indonesia's natural rubber exports to major partner countries. The RCA (Revealed Comparative Advantage) index is used to assess the comparative advantage, and panel data regression analysis is used to analyze the determinants of exports to the main partner countries (USA, China, Japan, India, Republic of Korea, Brazil, Canada, Germany, Belgium and Turkey). The results of this study indicate that Indonesian natural rubber has a comparative advantage in the main partner countries, which are characterized by RCA index >1. In addition, it was determined that based on panel data regression, the increase in the world price of natural rubber and export restriction policies have led to a decline in natural rubber exports from Indonesia. It is found that the population of Indonesia reduces exports, while the population of partner countries increases exports due to population growth, which will increase the consumption of natural rubber. On the other hand, the increase in Indonesia's gross domestic product (GDP) will lead to an increase in natural rubber production capacity, which will contribute to an increase in exports. It is found that the previous year's demand was also taken into account by partner countries that import Indonesian natural rubber. The results of this study can be useful for the Indonesian government and stakeholders (such as natural rubber producers and exporters) to identify strategies to improve export performance

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Section: Source: Own Calculation From Stata 15supporting

confidence: 85%

Section: Source: Own Calculation From Stata 15contrasting

confidence: 65%