Journal of Economics and Business

ISSN 2615-3726 (Online)

ISSN 2621-5667 (Print)

Published: 30 March 2020

The Difference in Competitiveness of Indonesian Biodiesel between Spain and the EU

Yoyon Muzayyin, Dwidjono Hadi Darwanto, Masyhuri

Gadjah Mada University (Indonesia)

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10.31014/aior.1992.03.01.208

Pages: 419-431

Keywords: Bioenergy, Comparative Advantage, Market Share, Symmetric, Normalized, Monthly, Ultimate; Extreme, Weak, Strong

Abstract

The purpose of this paper is to find the competitiveness of Indonesia's biodiesel exports in the Spanish and the European Union (EU) market as a whole using some competitiveness analysis approaches. In addition to knowing the similarities and differences in the results of the methods of analyzing the competitiveness of Indonesian biodiesel in Spain and the EU. The methodology used was comparative advantage analysis, including analysis of RCA, RSCA, and NRCA and market share. The data used are the value of biodiesel and total monthly exports of both Indonesia and other countries to Spain and the EU from January 2012 to January 2019. Through the market share approach, it was known that Indonesia's biodiesel market share in the Spanish and EU markets was only 22 percent and 0.04, respectively with an increasing trend in Spain and a decreasing trend in the EU. Each method for measuring competitiveness shows the similarity of results. Indonesia's biodiesel had competitiveness, both in Spain and the EU. Indonesia's biodiesel competitiveness trends are declining of all methods, both in the Spanish and EU markets, except the RCA method for Spain. Indonesia's biodiesel competitiveness is relatively better in Spain than the EU. The originality that there was not paper on the theme of the comparative competitiveness of Indonesia's biodiesel exports in Spain and the EU. This paper also proposes new criteria for determining competitiveness using existing competitiveness analysis methods. This can be input to determine better steps in marketing Indonesian biodiesel to Spain and the EU.

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