What Determines Exports of Coconut Products? The Case of Indonesia

Abstract

This study aims to investigate what factors determine the exports of coconut and its products. An ordinary least squares method was used to estimate the export value of copra as a proxy for coconut and its products against the explanatory variables, namely the average Gross National Income of eight Indonesia's coconut importing countries, the price of copra, and a dummy variable representing the 1997 economic crisis. Three model specifications were employed. Using the data covering the 1980-2016 period, ordinary least squares estimation results show that the higher the average Gross National Income of coconut importing countries the higher exports. Economic crisis has a significantly negative effect on coconut and its products exports. However, the effect of price is found insignificant. In the light of increasing importance of coconut products in the global market, the government should have a long-term strategy for coconut plantations rejuvenation and expansion. Incentives should also be provided for farmers to increase domestic production of coconuts to support exports.

Building Competitive Advantage: Copra Marketing Strategy with SWOT Analysis Approach

“…In line with this, coconut exports can be one of the strategies to increase foreign exchange (Mulyadi et al, 2019;Lin et al, 2020). With increasing international demand for coconut products, the government can provide active support in marketing and developing the coconut supply chain to compete in the global market.…”

Export Potential Analysis of Vietnamese Bottled Coconut Water by Incorporating Criteria Weights of MCDM into the Gravity of Trade Model

“…Although the last decades have witnessed a burgeoning global interest of practitioners and public policymakers in the SEA region and its agricultural resources, and despite the growing interest by scholars to study factors and parameters surrounding exporting intensity and market potential, research on factors defining the exporting potential of Vietnamese bottled coconut water is still in the infancy stage, and the topic itself remains complicated and somewhat confusing due to the scattered literature and the interrelation nature between different factors involved. For example, the majority of present studies related to export competitiveness and trade potential of SEA countries collected evidence from India, Indonesia, Malaysia, Brunei, Philippines, Sri Lanka, and Taiwan [8][9][10][11][12][13][14][15][16]. Very limited studies considered studying the Vietnamese exports of agricultural products, including coconut [17,18].…”