International Journal of Economics, Business and Innovation Research
Vol. 5 No. 02 (2026): February - March, International Journal of Economics, Business and Innovation

Determinants of Export Competitiveness of Coffee Commodities in South Sulawesi

Ummul Khair (Unknown)
Sri Mardiyati (Unknown)
Amruddin (Unknown)
Mohammad Natsir (Unknown)
Muh. Arifin Fattah (Unknown)



Article Info

Publish Date
03 Mar 2026

Abstract

Negotiation and strategic positioning in international trade are crucial for maximizing the economic benefits of agricultural commodities. This study aims to analyze the determinants of the export competitiveness of coffee from South Sulawesi, Indonesia, during the 2010–2024 period. The independent variables examined include coffee production capacity, world coffee prices, and the exchange rate of the Indonesian Rupiah (IDR) against the US Dollar (USD), while the dependent variable is export competitiveness, measured by the Revealed Comparative Advantage (RCA) index. Utilizing an Ordinary Least Squares (OLS) regression model, the findings reveal that the model explains 70.5% of the variance in coffee export competitiveness. Statistically, both coffee production and the exchange rate exhibit a significant negative impact on the RCA index, suggesting structural vulnerabilities related to supply quality and high dependency on imported agricultural inputs. Conversely, world coffee prices do not significantly influence export competitiveness, indicating the position of local exporters as price takers bound by long-term forward contracts. These findings emphasize the urgent need for strategic policy shifts from quantity-oriented agricultural expansion to quality standardization and upstream cost stabilization.

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Journal Info

Abbrev

IJEBIR

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance

Description

International Journal of Economics, Business and Innovation Research (IJEBIR) is a high quality open access peer reviewed research journal. providing a platform for the researchers, academicians, professional, practitioners and students to impart and share knowledge in the form of high quality ...