IJRR

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Research Paper

Year: 2020 | Month: October | Volume: 7 | Issue: 10 | Pages: 66-75

Analysis of the Export Determinants of Indonesian Cocoa with Gravity Model Approach

Sry Adelina1, Rulianda Purnomo Wibowo2, Hasman Hasyim2

1Master of Agribusiness Study Program, Agriculture Department of University of Sumatera Utara
2Master of Agribusiness Study Program, Agriculture Department of University of Sumatera Utara

Corresponding Author: Sry Adelina

ABSTRACT

Cocoa is an important commodity exports because it can provide foreign exchange and significant to the Indonesian economy. There is a difference in the cocoa export value earned by Indonesia based on export destinations. Objective research in this study were to identify the main destination countries for Indonesian cocoa exports and analyze the determinant factors that affect the value of Indonesian cocoa exports to the main destination countries. The data used in this study were the panel data from 2009 to 2018 with the cross section of the main cocoa export destination countries which is nine countries that have the largest value of Indonesian cocoa. The analysis research used was a descriptive analysis and gravity model approach with fixed effect model technique using E-views 10 soft-ware program. The results of descriptive research showed that the main export cocoa Indonesia from the biggest to the smallest were Malaysia, United States of America, China, Singapore, Germany, the Netherlands, Australia, India and Brazil. The Results of the analysis showed that variable GDP shows had positive and significant influence, real exchange rate; distance and export tax of cocoa beans had negative and significant influence, while the variable of the world oil price and population of export destination countries did not show any significant influence.

Keywords: Indonesia’s Cocoa Export, Gravity Model, Distance, Gross Domestic Product, Real Exchange Rate, world oil price and export tax of cocoa beans

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