An Analysis of the Competitiveness of Indonesian Crude Palm Oil (CPO) in the International Market

The Indonesian agricultural product shows
significant development with an annual average export of
3.545,2 million USD. One of the well-developed products
is Crude Palm Oil (CPO). The Indonesian CPO export has
been distributed to Africa, America, Europe, Australia,
and mainly Asia. This export potential requires more
concern to increase competitiveness in the international
market. Meanwhile, this study aims to analyze the
competitiveness and the potential of CPO in dominating
the international market. The researchers used a
descriptive-quantitative approach with the CPO export�import time-series data from 2005 to 2019. The data were
collected from bps.go.id andwww.comtrade.un.org/data
and then analyzed using Revealed Comparative
Advantages (RCA), Acceleration Ratio(AR), and Trade
Specialization Index (TSI). The results show that the
Indonesian CPO has better competitiveness than the other
CPO-exporting countries. Moreover, the position of
competitiveness is favorable. In dominating the
international market, the Indonesian CPO export outpaces
the global export.