DETERMINANTS OF INDONESIA'S CINNAMON EXPORT PERFORMANCE: A SEM–PLS ANALYSIS

Authors

  • Elpawati UIN Syarif Hidayatullah Jakarta
  • Dita Milih Anggraeni UIN Syarif Hidayatullah Jakarta

DOI:

https://doi.org/10.15408/aj.v19i2.49698

Keywords:

Cinnamon, Export, Competitiveness, SEM-PLS, Indonesia

Abstract

 Indonesia is the world's largest cinnamon exporter by volume, but still lags behind Sri Lanka in terms of export value. This study aims to analyze the factors influencing the competitiveness of Indonesian cinnamon exports in the 2014-2024 period.. Using UN Comtrade data and the SEM-PLS approach, this study identified four main constructs: Product Innovation, Product Quality, Cost Efficiency, and Export Competitiveness. The results show that Product Innovation has a significant effect on Product Quality (β=0.742, p<0.001), which in turn affects Export Competitiveness (β=0.658, p<0.001). Cost Efficiency is also proven to have a significant effect on Export Competitiveness (β=0.284, p<0.05). The model is able to explain 67.3% of the variance in Indonesian cinnamon Export Competitiveness.

 

References

6Wresearch. (2022). Indonesia Cinnamon Market (2025-2031) Outlook | Analysis, Trends, Value, Industry, Growth, Share, Forecast, Revenue, Companies & Size. Retrieved from https://www.6wresearch.com/industry-report/indonesia-cinnamon-market-outlook

Diamonds, G. P. T. P., Harya, G. I., & Fitriana, N. H. I. (2024). Competitiveness of Indonesian Pepper in the International Market. Mimbar Agribisnis: Jurnal Pemikiran Masyarakat Ilmiah Berwawasan Agribisnis, 10(1), 1458-1466. https://doi.org/10.25157/ma.v10i1.13195

Hair, J.F., Hult, G.T.M., Ringle, C.M., & Sarstedt, M. (2017). A primer on partial least squares structural equation modeling (PLS-SEM)., 2nd ed. SAGE Publications Inc, California.

Kaur, J. (2025). Which Country is the Largest Producer of Cinnamon in the World? Jagranjosh. Retrieved from https://www.jagranjosh.com/general-knowledge/largest-producer-of-cinnamon-in-the-world-1820000762-1

Khalikussabir, K., & Sudarmiatin, S. (2024). Product Innovation as a Catalyst for International Expansion of MSMEs: An Analysis of the Indonesian Creative Sector. Star Journal of Management, 2 (4), 112–121. https://doi.org/10.55606/jubima.v2i4.3421

Putri, G.Y., Teguh, M., Apriani, D., & Robiani, B. (2023). The Effect of Competitiveness and Efficiency on the Added Value of the Copra Industry (ISIC 10421) in Indonesia. Dynamics of Economic Development, 6 (2), 131–142. https://doi.org/10.14710/jdep.6.2.131-142

Rambe, K. R., & Malau, L. R. E. (2023). The competitiveness level and factors influencing Indonesian cinnamon trade flow [Tingkat daya saing dan faktor-faktor yang mempengaruhi aliran perdagangan kayu manis Indonesia]. Agromix, 14 (1), 28–38. https://doi.org/10.35891/agx.v14i1.3107

Rochdiani, D., & Wulandari, E. (2023). Competitiveness Analysis and Factors Affecting Indonesian Cinnamon Exports. Economies, 11 (2), 55. https://doi.org/10.3390/economies11020055

Saputra, A., Pratama, A., & Nainggolan, S. (2025). Analysis Of Indonesian Cinnamon Export Competitiveness In The International Market. JALOW| Journal of Agribusiness and Local Wisdom, 8 (1), 70–80. https://doi.org/10.22437/jalow.v8i1.46094

Siagian, R. A., & Soetjipto, W. (2020). Cost Efficiency of Rice Farming in Indonesia: Stochastic Frontier Approach. AGRISE ONLINE. https://doi.org/10.21776/ub.agrise.2020.020.1.2

UN Comtrade. (2025). Trade Export Cinnamon Indonesia. Retrieved from https://comtradeplus.un.org/TradeFlow

Wang, Z., Lin, S., Chen, Y., Lyulyov, O., & Pimonenko, T. (2023). Digitalization effect on business performance: role of business model innovation. Sustainability, 15 (11), 9020. https://doi.org/10.3390/su15119020

World Integrated Trade Solution. (2023). Cinnamon and cinnamon-tree flowers, crushed or exported by country in 2023. Retrieved from https://wits.worldbank.org/trade/comtrade/en/country/ALL/year/2023/tradeflow/Exports/partner/WLD/product/090620

Xaviera, R., Santosa, W., & Dewayana, TS (2024). The Effect of Cost, Innovation, and Logistic Capability on Competitive Advantage and Its Implications on Pharmaceutical Industry Supply Chain Performance. Indonesian Interdisciplinary Journal of Sharia Economics (IIJSE) , 7 (3), 7700–7720. https://e-journal.uac.ac.id/index.php/iijse/article/view/5661

Downloads

Published

2025-12-29