Abstract
Indonesia is one of the world's leading cinnamon producers, competing with Sri Lanka and Vietnam. The United States stands out as a key destination for cinnamon exports, experiencing a growth rate of 16.9%. While Indonesian cinnamon prices consistently increase, this growth doesn't align with export volumes. This study aims to analyze the competitiveness and potential of Indonesian cinnamon exports to the United States market. The research focuses on cinnamon commodities with HS code 090611 (Spices; cinnamon (Cinnamomum zeylanicum Blume), neither crushed nor ground) during the period of 2016-2021. The study employs various methods, including the Revealed Comparative Advantage (RCA) method, Export Product Dynamics (EPD), Porter's Diamond, X-Model Potential Export Product, and Ordinary Least Square (OLS). The study results indicate that Indonesia possesses comparative and competitive advantages. However, an evaluation of Porter's Diamond analysis reveals challenges such as a lack of labor quality, limited export destinations, decreasing land for Indonesian cinnamon production, a shortage of advanced technology, and insufficient downstream industry activities. Indonesia remains optimistic in the market and shows a significant relationship with cinnamon prices, population size, and the value of the rupiah exchange rate in major export destination countries.
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