Abstract

Indonesia is one of the best seaweed producers in Asia. With this, Indonesia should be able to optimize various kinds of seaweed processing industries, one of which is the carrageenan industry. Carrageenan is a derivative product of seaweed which in the international market the price can be much higher than the commodity of seaweed without any added value. Continuing to increase the volume of primary seaweed exports makes the domestic carrageenan processing industry experience difficulties in raw materials, especially during the Covid-19 pandemic. So in this study, panel data analysis was used with a gravity model to analyze what factors affect the demand for Indonesian seaweed exports to export destinations of China, the Philippines, Vietnam, the Republic of Korea, Chile, United Kingdom, USA, Hong Kong, Germany and France. .To find out the amount of Seaweed Export Duty that can be applied in an effort to reduce the export of seaweed commodities. The results showed that the factors that affect the volume of seaweed exports to destination countries include export prices that have a negative and significant effect, real GDP has a positive and significant effect, and economic distance has a negative and significant effect. The determination of export duty for seaweed raw materials by up to 18 percent can reduce export demand from the top ten export destinations for seaweed raw materials.

Full Text
Published version (Free)

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call