Comparative Advantage Analysis of Indonesia's Clove (Syzygium aromaticum) Export in International Market

Artic Research

Comparative Advantage Analysis of Indonesia's Clove (Syzygium aromaticum) Export in International Market

Scroll Down

The Situations

Unlocking Indonesia's Export Potential Through Clove Competitiveness Analysis

Indonesia is the world's largest clove producer, yet it does not hold the top position in global exports. Despite strong production capacity, export performance remains inconsistent due to fluctuating productivity, domestic demand dominance, and global competition. This study was conducted to provide a data-driven understanding of Indonesia's competitive position in the global clove market, and to identify whether Indonesian cloves hold a sustainable comparative advantage.

Clients

Academic & Policy Research

Team

Ayunina Zenti, S.P., M.Sc.

Jendral Soedirman Research Team

Type

Economic Analysis, Export Competitiveness Study

Unlocking Indonesia's Export Potential Through Clove Competitiveness Analysis
The Challenges

Understanding Global Trade Competitiveness

1

Mismatch Between Production & Export Leadership

Indonesia leads in clove production but ranks second in exports, indicating inefficiencies in export competitiveness.

2

Fluctuating Productivity

Despite increasing plantation area, productivity remains unstable due to climate factors and limited technological adoption.

3

Global Market Competition

Strong competition from countries like Madagascar, Singapore, and Comoros requires deeper analysis of comparative advantage.

Our Approach

A Quantitative, Trade-Focused Analysis Framework

This study applied a quantitative-descriptive approach using secondary data from international and national institutions to assess Indonesia's competitive position.

Data Collection
01

Time series data (2010–2019) sourced from BPS, FAO, UN Comtrade, and the Ministry of Agriculture for clove commodity (HS Code 0907).

Revealed Comparative Advantage (RCA)
02

Measures export competitiveness relative to global trade to determine Indonesia's comparative position in the clove market.

Revealed Symmetric Comparative Advantage (RSCA)
03

Refines RCA into a balanced competitiveness index for a more accurate assessment of market position.

Benchmarking Analysis
04

Comparative analysis with major exporting countries — Madagascar, Singapore, and Comoros — to contextualize Indonesia's performance.

What We Found

Key Insights from Export Competitiveness Analysis

From our quantitative analysis of trade data, here's what we found about Indonesia's position in the global clove market:

Strength

Strength

Core competitive advantages Indonesia holds in global clove trade.

  • Indonesia has a strong comparative advantage in clove exports
  • Average RCA: 12.88 (>1 = highly competitive)
  • Average RSCA: 0.76 (positive = strong market position)
  • Largest clove production globally
Weakness

Weakness

Internal constraints limiting export performance.

  • Export volume is limited due to high domestic consumption (cigarette industry)
  • Productivity fluctuates despite increasing land area
  • Limited adoption of modern agricultural technology
Opportunities

Opportunities

Strategic areas for growth and global market expansion.

  • Optimization of large plantation area
  • Increased export potential through productivity improvement
  • Strengthening position in global market through specialization
Threats

Threats

External risks affecting export competitiveness.

  • Strong dominance of Madagascar in global exports
  • Competition from re-export countries like Singapore
  • Climate dependency affecting production stability
The Results

Measurable Insights on Export Competitiveness

This study provides a clear validation of Indonesia's comparative advantage, strategic direction for improving export competitiveness, and insight for policymakers to balance domestic demand versus export growth.

12.88Average RCA Value (Strong Comparative Advantage)
0.76Average RSCA Value (Positive Competitiveness Index)
2010–2019Time Series Analysis Period

Jendral Soedirman Research Team

Research Partner

Ayunina Zenti, S.P., M.Sc.

Ayunina Zenti, S.P., M.Sc.

Lead Researcher

The Results

"Indonesia holds the production power to lead global clove trade — the question is whether strategic policy can unlock that latent competitive advantage."

Watch results video
The Results

Indonesia has the resources to lead the global clove market — but without productivity optimization and export focus, potential remains underutilized.

Download PDF →

See Other Works

Public Satisfaction Analysis toward District-Level Public Services in Semarang City

Public Satisfaction Analysis toward District-Level Public Services in Semarang City

Comparative Advantage Analysis of Indonesia's Clove (Syzygium aromaticum) Export in International Market

Comparative Advantage Analysis of Indonesia's Clove (Syzygium aromaticum) Export in International Market