•  
  •  
 

Abstract

This study aims to assess the competitive advantage of foreign trade in agri-food products of five Association of South East Asia Nations (ASEAN) countries, namely Indonesia, Malaysia, Thailand, Singapore, and the Philippines between 2003–2022 by dividing the period into the global crisis in 2009, the trade war between China and the United States (US) in 2018, and the COVID-19 pandemic in 2020. The study built an econometric model using the Revealed Comparative Advantage (RCA) and Revealed Symmetric Comparative Advantage (RSCA) indicators. It was found that the value of the RSCA distribution for the five countries has changed significantly over the years of analysis. Shocks in four countries resulted in significant changes in the competitive advantage of agri-food goods. The RSCA distribution results of Singapore and the Philippines could survive compared to other countries in the event of a global economic shock.

Bahasa Abstract

Penelitian ini bertujuan untuk mengkaji keunggulan daya saing kompetitif perdagangan luar negeri dengan produk pangan-pertanian lima negara Association of South East Asia Nations (ASEAN), yaitu Indonesia, Malaysia, Thailand, Singapura, dan Filipina antara tahun 2003–2022 dengan membagi waktu menjadi krisis global pada tahun 2009, perang dagang Tiongkok dan Amerika Serikat (AS) pada tahun 2018, dan pandemi COVID-19 pada tahun 2020. Studi ini membangun model ekonometrik dengan menggunakan indikator Revealed Comparative Advantage (RCA) dan Revealed Symmetric Comparative Advantage (RSCA). Hasilnya ditemukan bahwa nilai distribusi RSCA untuk kelima negara telah berubah secara signifikan dari tahun analisis. Guncangan di empat negara telah menghasilkan perubahan signifikan dalam keunggulan kompetitif barang-barang pangan-pertanian. Hasil distribusi RSCA Singapura dan Filipina menyatakan bahwa kedua negara tersebut memiliki kemampuan untuk bertahan dibandingkan negara lain apabila terdapat guncangan ekonomi global.

References

[1] Adigwe, E. O. (2022). A comparative analysis of competitive trade in a cluster market of the European union: the Revealed Comparative Advantage (RCA) Index. Naše Gospodarstvo/Our Economy, 68(1), 14-24. doi: https://doi.org/10.2478/ngoe-2022-0002.

[2] Hassan, A. A. G., Ngah, I., & Applanaidu, S. D. (2018). Agricultural transformation in Malaysia: The role of smallholders and area development. Presentation. World Bank - Agricultural Transformation and Inclusive Growth. The Institute for Agricultural and Food Policy Studies, UPM. November 14, 2018. Diakses 5 Juni 2023 dari https://www.researchgate. net/profile/Asan_Ali_Golam_Hassan/publication/ 341220143_AGRICULTURAL_TRANSFORMATION_IN_ MALAYSIA_THE_ROLE_OF_SMALLHOLDERS_AND_ AREA_DEVELOPMENT/links/5eb47f2e299bf1287f750fa3/ AGRICULTURAL-TRANSFORMATION-IN-MALAYSIATHE- ROLE-OF-SMALLHOLDERS-AND-AREADEVELOPMENT. pdf.

[3] Alias, E. F., Radam, A., Fen, Y. P., Yacob, M. R., & Alam, M. F. (2014). Growth in Malaysia’s export food market: a shift-share analysis. Asian Social Science, 10(3), 26-43. doi: https://doi.org/10.5539/ass.v10n3p26.

[4] Amanta, F., & Gupta, K. (2022). Trade for economic recovery: import policies to support Indonesia’s F&B sector. Policy Paper, 51. Center for Indonesian Policy Studies. doi: 10.35497/556953.

[5] Andrei, T., Oancea, B., Miric˘a, A., & Anghel, L. C. (2022). The competitive advantage of foreign trade with agri-food products. Romanian Journal of Economic Forecasting, 25(2), 54.

[6] Ariffin, A. S., Abas, Z., & Baluch, N. H. (2015). Issues and challenges of integrated agro-food supply chain: An overview of Malaysian food security. Australian Journal of Basic and Applied Sciences, 9(13) Special, 171-174. https: //www.ajbasweb.com/old/ajbas/2015/Special%20IPN% 20Hatyai/171-174.pdf.

[7] ASEAN Secretariat. (2020). ASEAN: comprehensive recovery framework. Diakses 5 Juni 2023 dari https://asean.org/book/ asean-comprehensive-recovery-framework/.

[8] ASEAN Secretariat. (2002). Southeast Asia: a free trade area. Diakses 6 Juni 2023 dari https://asean.org/wp-content/ uploads/images/archive/pdf/AFTA.pdf.

[9] Asia Pacific Foundation of Canada. (2021). COVID- 19 pandemic implications on agriculture and food consumption, production and trade in ASEAN member states. Report, February 2021. Diakses 6 Juni 2023 https://www.asiapacific.ca/publication/ covid-19-pandemic-implications-agriculture-and-food.

[10] Astrini, E. W., & Az zakiyyah, N. A. (2018). Astrini, E. W. (2018). Comparative advantage measurement in ASEAN’s ten leading export commodities: a case study of ASEAN-5. BISE: Jurnal Pendidikan Bisnis dan Ekonomi, 4(1), 22-37. doi: https://doi.org/10.20961/bise.v4i1.17560.

[11] Aussenwirtschaft Austria. (2021). Aussen wirtschaft branchen report Philippinen: food & beverage. Diakses 10 Juni 2023 dari https://www.wko.at/oe/aussenwirtschaft/ philippinen-branchenreport-food--beverages.pdf.

[12] Balassa, B. (1965). Trade liberalisation and “revealed” comparative advantage. The Manchester School, 33(2), 99-123. doi: https://doi.org/10.1111/j.1467-9957.1965.tb00050.x.

[13] Barman, A., Das, R., & De, P. K. (2021). Impact of COVID-19 in food supply chain: Disruptions and recovery strategy. Current Research in Behavioral Sciences, 2, 100017. doi: https:// doi.org/10.1016/j.crbeha.2021.100017.

[14] Bojnec, Š., & Ferto, I. (2018). Economic crisis and the fragility of comparative advantage in European agriculture. German Journal of Agricultural Economics, 67(3), 147-159.

[15] Boltho, A. (2020). Southern and Eastern Europe in the Eurozone: convergence or divergence?. Baltic Journal of Economics, 20(1), 74-93. doi: https:// doi.org/10.1080/1406099X.2020.1770945.

[16] Cinar, O., Altuntas, S., & Alan, M. A. (2021). Technology transfer and its impact on innovation and firm performance: empirical evidence from Turkish export companies. Kybernetes, 50(7), 2179-2207. doi: https://doi.org/10.1108/K-12- 2019-0828.

[17] Crescimanno, M., Galati, A., & Bal, T. (2014). The role of the economic crisis on the competitiveness of the agri-food sector in the main Mediterranean countries. Agricultural Economics (Czech Republic), 60(2), 49-64. doi: 10.17221/59/2013- AGRICECON.

[18] Dalum, B., Laursen, K., & Villumsen, G. (1998). Structural change in OECD export specialisation patterns: de-specialisation and ‘stickiness’. International Review of Applied Economics, 12(3), 423-443. doi: https:// doi.org/10.1080/02692179800000017.

[19] Danna-Buitrago, J. P., & Stellian, R. (2022). A new class of revealed comparative advantage indexes. Open Economies Review, 33(3), 477-503. doi: https://doi.org/10.1007/s11079- 021-09636-4.

[20] Deakin, M., Diamantini, D., & Borrelli, N. (eds.) (2016). The governance of city food systems: the cases study from around the world. Fondazione Giangiacomo Feltrinelli. Diakses 15 Juni 2023 dari https://fondazionefeltrinelli.it/app/uploads/ 2020/05/The-Governance-of-City-Food-Systems_ The-Cases-Study-from-Around-The-World.pdf.

[21] Diao, X., & Roe, T. (2000). How the financial crisis affected world agriculture: A general equilibrium perspective. American Journal of Agricultural Economics, 82(3), 688-694. https://www.jstor.org/stable/1244625.

[22] Erlat, G., & Erlat, H. (2008). How has specialization in Turkish exports evolved over time? A study based on Galtonian regressions. Topics in Middle Eastern and North African Economies, 10. Prepared for presentation at the 28th Annual Meeting of the Middle East Economic Association, January 3-6, 2008, New Orleans, USA.

[23] Fan, S., Teng, P., Chew, P., Smith, G., & Copeland, L. (2021). Food system resilience and COVID-19–Lessons from the Asian experience. Global Food Security, 28, 100501. doi: https:// doi.org/10.1016/j.gfs.2021.100501.

[24] Fertö, I., & Hubbard, L. J. (2003). Revealed comparative advantage and competitiveness in Hungarian agri–food sectors. World Economy, 26(2), 247-259. doi: https://doi.org/10.1111/1467-9701.00520.

[25] Food Industry Asia. (2021). The economic impact of the agri-food sector in Thailand. Oxford Economics. Diakses 29 Juni 2023 dari https://foodindustry.asia/hubfs/Resources/ Trade%20and%20Harmonisation/The%20Economic% 20Impact%20of%20the%20Agri-food%20Sector%20in% 20Southeast%20Asia%20-%20Thailand.pdf?hsLang=en.

[26] Giorcelli, M. (2019). The long-term effects of management and technology transfers. American Economic Review, 109(1), 121-152. doi: 10.1257/aer.20170619.

[27] Godfray, H. C. J., & Garnett, T. (2014). Food security and sustainable intensification. Philosophical Transactions of the Royal Society B: Biological Sciences, 369(1639), 20120273. doi: https://doi.org/10.1098/rstb.2012.0273.

[28] Hamid, M. F. S., & Aslam, M. (2017). The competitiveness and complementarities of agriculture trade among ASEAN-5 countries: an empirical analysis. International Journal of Economics and Finance, 9(8), 88-102. doi: https:// doi.org/10.5539/ijef.v9n8p88.

[29] Ismail, M. M., & Radam, A. (2010). Measuring the effect of Asian financial crisis on the comparative advantage of the food processing industry. International Journal of Economics and Management, 4(2), 271-284.

[30] Jarosz-Angowska, A., Angowski, M., Kakol, M., Nowak, A., & Ró˙za´nska-Boczula, M. (2020). Agricultural competitive potential and competitive position in the international trade of agricultural and food products in the European Union. European Research Studies Journal, 23(Special Issue 2), 779-803.

[31] Kliem, L. (2022). Strengthening agroecological resilience through commons-based seed governance in the Philippines. Environment, Development and Sustainability, 26, 5367-5399. doi: https://doi.org/10.1007/s10668-022-02844- z.

[32] Kotsios, P., Kartsiotis, G., & Kotsios, V. (2018). Greek agrifood international trade pre and post economic crisis. International Journal of Trade, Economics and Finance, 9(5), 186-193. doi: 10.18178/ijtef.2018.9.5.613.

[33] Laursen, K. (2015). Revealed comparative advantage and the alternatives as measures of international specialization. Eurasian Business Review, 5, 99-115. doi: https://doi.org/10.1007/s40821-015-0017-1.

[34] Lin, B. X.,&Zhang,Y.Y. (2020). Impact of the COVID-19 pandemic on agricultural exports. Journal of Integrative Agriculture, 19(12), 2937-2945. doi: https://doi.org/10.1016/S2095- 3119(20)63430-X.

[35] Lin, G. (2011). Thinking on promoting international trade competitive advantage of agricultural products in Guangxi based on CAFTA framework. Asian Agricultural Research, 3(6), 113-117. doi: 10.22004/ag.econ.118310.

[36] Mizik, T. (2021). Theory vs practice: Patterns of the ASEAN- 10 agri-food trade. Open Agriculture, 6(1), 152-167. doi: https://doi.org/10.1515/opag-2021-0014.

[37] Mizik, T., Szerletics, Á., & Jámbor, A. (2020). Agri-food export competitiveness of the ASEAN countries. Sustainability, 12(23), 9860. doi: https://doi.org/10.3390/su12239860.

[38] Mok, W. K., Tan, Y. X., & Chen, W. N. (2020). Technology innovations for food security in Singapore: A case study of future food systems for an increasingly natural resource-scarce world. Trends in Food Science & Technology, 102, 155- 168. doi: https://doi.org/10.1016/j.tifs.2020.06.013.

[39] Napang, M., & Rohman, S. (2022). The trade war of China and the US in 2021, and it’s impact on the Indonesian economy. Journal of Strategic and Global Studies, 5(2), 5. doi: https://doi.org/10.7454/jsgs.v5i2.1102.

[40] OECD. (2020). OECD fruit and vegetables scheme. Organisation for Economic Co-operation and Development. Diaskes 5 Juni 2023 dari http://www.oecd.org/agriculture/ fruit-vegetables/.

[41] Parzonko, A., & Bórawski, P. (2020). Competitiveness of Polish dairy farms in the European Union. Agricultural Economics-Zemedelska Ekonomika, 66(4), 168-174. doi: 10.17221/254/2019-AGRICECON.

[42] Peters, M., Shane, M., & Torgerson, D. (2009). What the 2008/2009 world economic crisis means for global agricultural trade. International Agriculture and Trade Outlook, WRS-09- 05. Economic Research Service - United States Department of Agriculture. Diaskes 5 Juni 2023 dari https://www.ers. usda.gov/publications/pub-details/?pubid=40474.

[43] Petrick, M., & Kloss, M. (2013). Exposure of EU farmers to the financial crisis. Choices, 28(2)[(2nd Quarter 2013)], 1-6. https://www.jstor.org/stable/10.2307/choices.28.2.11.

[44] Porter, M. E. (1990). New global strategies for competitive advantage. Planning Review, 18(3), 4-14. doi: https:// doi.org/10.1108/eb054287.

[45] Rosegrant, M.W.,&Ringler, C. (2000). Asian economic crisis and the long-term global food situation. Food Policy, 25(3), 243-254. doi: https://doi.org/10.1016/S0306-9192(00)00004-X.

[46] Sachitra, V., & Chong, S. C. (2018). Resources, capabilities and competitive advantage of minor export crops farms in Sri Lanka: An empirical investigation. Competitiveness Review: An International Business Journal, 28(5), 478-502. doi: https://doi.org/10.1108/CR-01-2017-0004.

[47] Saleh, S., & Widodo, T. (2010). Trade specialization indices: two competing models. Journal of Indonesian Economy and Business, 25(2), 129-142. doi: https://doi.org/10.22146/jieb.6291.

[48] Sampantamit, T., Ho, L., Van Echelpoel,W., Lachat, C., & Goethals, P. (2020). Links and trade-offs between fisheries and environmental protection in relation to the sustainable development goals in Thailand. Water, 12(2), 399. doi: https://doi.org/10.3390/w12020399.

[49] Sanidas, E., & Shin, Y. (2011). Comparison of revealed comparative advantage indices with application to trade tendencies of East Asian countries. Seoul Journal of Economics, 24(1), 21–50.

[50] Saptana, Sayekti, A. L., Perwita, A. D., Sayaka, B., Gunawan, E., Sukmaya, S. G., ... & Pitaloka, A. D. (2022). Analysis of competitive and comparative advantages of potato production in Indonesia. PLoS ONE, 17(2), e0263633. doi: https:// doi.org/10.1371/journal.pone.0263633.

[51] Soh, B. H., Lim, G. T., & Chua, S. Y. (2021). Competitiveness of Malaysian fisheries exports: A constant market share analysis. Malaysian Journal of Economic Studies, 58(2), 175-198. doi: https://doi.org/10.22452/MJES.vol58no2.1.

[52] Song, S., Hou, Y., Lim, R. B., Gaw, L. Y., Richards, D. R., & Tan, H. T. (2022). Comparison of vegetable production, resource-use efficiency and environmental performance of high-technology and conventional farming systems for urban agriculture in the tropical city of Singapore. Science of the Total Environment, 807, 150621. doi: https://doi.org/10.1016/j.scitotenv.2021.150621.

[53] Sukereman, A. S., Ab Rahim, N., Zainol, N. N., Azmi, N. A., & Nordin, M. S. A. (2022). The state of food security: A comparative study between Malaysia, Singapore, and Indonesia. IOP Conference Series: Earth and Environmental Science, 1067(1). https://doi.org/10.1088/1755-1315/1067/1/012009.

[54] Sukmaya, S. G., & Saptana, S. (2021). The impact of trade war toward against Indonesian agriculture export products product. E3S Web of Conferences, 232, 02001. doi: https://doi.org/10.1051/e3sconf/202123202001.

[55] Tansuchat, R., Suriyankietkaew, S., Petison, P., Punjaisri, K., & Nimsai, S. (2022). Impacts of COVID-19 on sustainable agriculture value chain development in Thailand and ASEAN. Sustainability, 14(20), 12985. doi: https://doi.org/10.3390/su142012985.

[56] Teng, P. (2020). Assuring food security in Singapore, a small island state facing COVID-19. Food Security, 12(4), 801-804. doi: https://doi.org/10.1007/s12571-020-01077-0.

[57] Teng, P., & Escaler, M. (2010). The case for urban food security: A Singapore perspective. NTS Perspectives, 4. Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies. Diakses 5 Juni 2023. dari https://www.rsis.edu.sg/rsis-publication/ nts/2570-the-case-for-urban-food-securi/.

[58] Teng, P. P., Caballero-Anthony, M., & Montesclaros, J. M. L. (2021). ASEAN responses to COVID-19 for assuring food security. In: Cohen, M. J. (ed.), Advances in Food Security and Sustainability (vol. 6, pp. 83-118), Elsevier. doi: https://doi.org/10.1016/bs.af2s.2021.07.001.

[59] Teng, P., Montesclaros, J. M. L., Hulme, R., & Powell, A. (2019). The evolving Singapore agrifood ecosystem. NTS Insight, IN19-03. Centre for Non-Traditional Security Studies, S. Rajaratnam School of International Studies. Diakses 5 Juni 2023 dari https://www.jstor.org/stable/pdf/resrep26807. pdf?acceptTC=true&coverpage=false&addFooter=false.

[60] Thammachote, P., & Trochim, J. I. (2021). The impact of the COVID-19 pandemic on Thailand’s agricultural export flows. PRCI Research Paper, 4. Food Security Policy Research, Capacity, and Influence (PRCI). Diakses 11 Juli 2023 dari https://www.canr.msu.edu/prci/ PRCI-Research-Paper-4-Thailand_updated.pdf.

[61] Tirumalaisamy, V., Vasudevan, A., Sam, T. H., Ruiteng, X., Thinakaran, R., Kalsom, U., & Yew, L. K. (2023). Measuring the comparative advantage of fishery industry in Malaysia using the revealed comparative advantage model. Res Militaris, 13(2), 1482-1490.

[62] Tortajada, C., & Hongzhou, Z. (2016). Food policy in Singapore. Reference Module in Food Science. Elsevier. doi: https://doi.org/10.1016/b978-0-08-100596-5.21083-4.

[63] Valin, H., Sands, R. D., Van der Mensbrugghe, D., Nelson, G. C., Ahammad, H., Blanc, E., ... &Willenbockel, D. (2014). The future of food demand: understanding differences in global economic models. Agricultural Economics, 45(1), 51-67. doi: https://doi.org/10.1111/agec.12089.

Included in

Economics Commons

Share

COinS
 
 

To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.