Trade Performance Analysis of Indonesia and Malaysia to the Organization of Islamic Cooperation (OIC)
ICIEFI 2019 1
Saykha Sabila Araz
The Burning of Al- Aqsa Mosque 21 Agustus 1969
Organization of
Islamic Cooperation
Rabat, Maroko
25 September 1969
2
Background
3 358
341 315
280 United Arab 461
Emirates
Indonesia Malaysia
Turkey Saudi Arabia
0 250 500
Top 5 major players in OIC
35%
Malaysia
Indonesia’s trade value (Export dan
Import) to the OIC in 2017
34,8
%
Indonesia
Malaysia’s trade value (Export dan
Import) to the OIC in 2017
$25b
Asian Development Bank estimates that two of the seven countries that will be the engines of economic growth in Asia in 2050
are Indonesia and Malaysia
ICIEFI 2019
Methodology
ICIEFI 2019 4
Icon Icon
Indonesia and malaysia as country origin 33 countris of OIC as a country partners By using panel data
The Object ---
RSCA :
RCAij = (Xij/Xin) / (Xrj/Xrn)
RSCA
ij= (RCA
ij– 1) / (RCA
ij+ 1) Gravitasi Model :
Log eks = a + b1 logdistit + b2
loggdpiit + b3 loggdpjit + b4 opnit + b5 logrerit + b6 logpopjt + b7 corjt + eit
--- Model
RSCA Variabel : Export value of Indonesia dan Malaysia Gravitasi Model Dependent : Export value of Indonesia dan Malaysia Independen : Distance, GDP, Exchange rate, Openness of caountry partners, Population of country partners and control of corruption of country partners
Variables ---
Icon
Research Framework
ICIEFI 2019 5
Trade Performance Analysis of Indonesia and Malaysia to the OIC
Indeks RSCA Comparative
Advantages Analysis
Gravity Model The factors that Influence export
Comparatve Advantages Analysis anf The factors that influence the Export
Trade Performance Analysis of Indonesia and
Malaysia (Results)
RSCA (Indonesia)
UNIVERSITAS MUHAMMADIYAH YOGYAKARTA 6
Year 2008 2017
No Cod
e Commodity RCA RSCA No Code Commodity RCA RSCA
1 267 Other man-made fibres suitable for spinning & waste
166.9 0.99 1 267 Other man-made fibres suitable for spinning &
waste
164.
9
0.99
2 322 Coal, lignite and peat 117.4 0.98 2 322 Coal, lignite and peat 66.2
7
0.97
3 72 Cocoa 16.01 0.88 3 245 Fuel wood (excluding wood waste) and wood
charco
36.0 5
0.95 4 424 Other fixed vegetable oils, fluid or solid,
crude
13.33 0.86 4 251 Pulp and waste paper 32.3
3
0.94 5 245 Fuel wood (excluding wood waste) and
wood charco
10.01 0.82 5 232 Natural rubber latex; nat rubber & sim. nat. gums 11.4 6
0.84 6 232 Natural rubber latex; nat rubber & sim. nat.
gums
6.49 0.73 6 424 Other fixed vegetable oils, fluid or solid, crude 8.13 0.78 7 71 Coffee and coffee substitutes 5.34 0.68 7 335** Residual petroleum products, nes. & relat.
materials
7.14 0.75 8 266* Synthetic fibres suitable for spinning 5.17 0.68 8 37 Fish, crustaceans and molluscs, prepared or
preserved
7.02 0.75 9 121* Tobacco, unmanufactured; tobacco refuse 4.04 0.6 9 431 Animal & vegetable oils and fats, processed &
waxes
5.07 0.67
10 91 Margarine and shortening 3.08 0.51 10 71 Coffee and coffee substitutes 4.59 0.64
11 251 Pulp and waste paper 3.07 0.51 11 36 Crustaceans and molluscs, fresh, chilled, frozen etc.
3.54 0.56
12 74 Tea and mate 2.72 0.46 12 223** Oils seeds and oleaginous fruit, whole or broken 2.74 0.47
13 233* Synth. rub. lat.; synth. rubb. & reclaimed;
waste scrap
2.50 0.43 13 74 Tea and mate 2.50 0.43
14 37 Fish, crustaceans and molluscs, prepared or preserved
2.34 0.4 14 75** Spices 2.27 0.39
15 36 Crustaceans and molluscs, fresh, chilled, frozen etc.
1.93 0.32 15 287** Ores and concentrates of base metals, n.e.s. 2.09 0.35
16 246* Pulpwood (including chips and wood waste) 1.70 0.26 16 72 Cocoa 1.57 0.22
Analisis RSCA (Indonesia)
ICIEFI 2019 7
Year 2008 2017
No Cod
e Commodity RCA RSCA No Code Commodity RCA RSCA
17 44* Maize (corn), unmilled 1.58 0.23 17 91 Margarine and shortening 1.38 0.16
18 431 Animal & vegetable oils and fats, processed & waxes
1.5 0.2 18 98 Edible products and preparations n.e.s. 1.05 0.03
19 411* Animal oils and fats 1.38 0.16
20 34* Fish, fresh (live or dead), chilled or frozen 1.35 0.15
21 35* Fish, dried, salted or in brine; smoked fish 1.28 0.12
22 288* Non-ferrous base metal waste and scrap, n.e.s.
1.13 0.06
23 98 Edible products and preparations n.e.s 1.1 0.05
24 292* Crude vegetable materials, n.e.s. 1.04 0.02
25 22* Milk and cream 1.04 0.02
26 277* Natural abrasives, n.e.s (incl.industrial diamonds)
1.01 0
RSCA (Malaysia)
UNIVERSITAS MUHAMMADIYAH YOGYAKARTA 8
Year 2008 2017
No Cod
e Commodity RCA RSCA No Code Commodity RCA RSCA
1 424 Other fixed vegetable oils, fluid or solid, crude
11.5 0.84 1 246**
Pulpwood (including chips and wood waste)
40.3 0.95 2 246 Pulpwood (including chips and wood waste) 8.96 0.8 2 264** Jute & other textile bast fibres, nes, raw/processed 18 0.89
3 91* Margarine and shortening 6.56 0.74 3 266 Synthetic fibres suitable for spinning 9.73 0.81
4 232 Natural rubber latex; nat rubber & sim. nat.
gums
6.08 0.72 4 247
Other wood in the rough or roughly squared
8.93 0.8 5 431 Animal & vegetable oils and fats,
processed & waxes
4.54 0.64 5 248 Wood, simply worked, and railway sleepers of wood
7.54 0.77 6 248 Wood, simply worked, and railway sleepers
of wood
4.4 0.63 6 35 Fish, dried, salted or in brine; smoked fish 6.64 0.74 7 233 Synth. rub. lat.; synth. rubb. & reclaimed;
waste scrap
3.87 0.59 7 23** Butter 6.55 0.74
8 269 Old clothing and other old textile articles;
rags
3.35 0.54 8 269
Old clothing and other old textile articles; rags
5.65 0.7 9 14 Meat & edible offal, prepared, preserved,
nes; fish extracts
2.43 0.42 9 424 Other fixed vegetable oils, fluid or solid, crude 4.82 0.66 10 266 Synthetic fibres suitable for spinning 1.94 0.32 10 14 Meat & edible offal, prepared, preserved, nes; fish
extracts
4 0.6
11 35 Fish, dried, salted or in brine; smoked fish 1.76 0.28 11 334** Petroleum products, refined 3.8 0.58 12 48 Cereal prepared & preserved of flour of
fruits or veg
1.62 0.24 12 121** Tobacco, unmanufactured; tobacco refuse 2.68 0.46 13 289* Ores & concentrates of precious metals;
waste, scra
1.54 0.21 13 233 Synth. rub. lat.; synth. rubb. & reclaimed; waste scrap
2.68 0.46 14 223* Oils seeds and oleaginous fruit, whole or
broken
1.54 0.21 14 431 Animal & vegetable oils and fats, processed &
waxes
2.63 0.45
15 112* Alcoholic beverages 1.36 0.15 15 72** Cocoa 2.35 0.4
16 98 Edible products and preparations n.e.s 1.09 0.04 16 98 Edible products and preparations n.e.s 2.25 0.39
RSCA (Malaysia)
ICIEFI 2019 9
Year 2008 2017
No Cod
e Commodity RCA RSCA No Code Commodity RCA RSCA
17 247 Other wood in the rough or roughly squared
1.09 0.04 17 232 Natural rubber latex; nat rubber & sim. nat. gums 1.72 0.26 18 81* Feed. stuff for animals (not incl.unmilled
cereals)
1.09 0.04 18 268** Wool and other animal hair (excluding wool tops) 1.7 0.26
19 19 351 Electric current 1.57 0.22
20 20 111** Non-alcoholic beverages, n.e.s. 1.46 0.19
21 21 22** Milk and cream 1.44 0.18
22 22 282** Waste and scrap metal of iron or steel 1.42 0.17
23 23 278** Other crude minerals 1.15 0.07
Share Export Indonesia-Malaysia
UNIVERSITAS MUHAMMADIYAH YOGYAKARTA 10
INDONESIA 2008 2017
Level Code Commodity
Share Export
(%)
Code Commodity
Share Export
(%) 1 424 Other fixed vegetable oils, fluid or solid, crude 0.51 424 Other fixed vegetable oils, fluid or solid, crude 0.45
2 322 Coal, lignite and peat 0.1 322 Coal, lignite and peat 0.13
3 72 Cocoa 0.07 333 Petrol. oils & crude oils obt.from bitumin.minerals 0.05
4 333 Petrol. oils & crude oils obt.from
bitumin.minerals 0.05 431 Animal & vegetable oils and fats, processed & waxes
0.04
5 91 Margarine and shortening 0.03 98 Edible products and preparations n.e.s. 0.04
6 232 Natural rubber latex; nat rubber & sim. nat.
gums 0.02 335 Residual petroleum products, nes. & relat. materials
0.04 7 431 Animal & vegetable oils and fats, processed &
waxes 0.02 341 Gas, natural and manufactured 0.03
8 22 Milk and cream 0.02 232 Natural rubber latex; nat rubber & sim. nat. gums 0.02
9 71 Coffee and coffee substitutes 0.02 251 Pulp and waste paper 0.02
10 267 Other man-made fibres suitable for spinning &
waste 0.02 122 Tobacco manufactured 211 hides and skins (except
fur skins), raw 0.02
MALAYSIA 2008 2017
Level Code Commodity
Share Export
(%)
Code Commodity
Share Export
(%) 1 424 Other fixed vegetable oils, fluid or solid, crude 0.46 424 Other fixed vegetable oils, fluid or solid, crude 0.39 2 333 Petrol. oils & crude oils obt.from
bitumin.minerals 0.12 334 Petroleum products, refined 0.28
3 334 Petroleum products, refined 0.12 98 Edible products and preparations n.e.s. 0.07
4 431 Animal & vegetable oils and fats, processed &
waxes 0.05 431
Animal & vegetable oils and fats, processed & waxes 0.03
5 91 Margarine and shortening 0.05 72 Cocoa 0.03
6 48 Cereal prepared & preserved of flour of fruits or
veg. 0.03 333
Petrol. oils & crude oils obt.from bitumin.minerals 0.02 7 232 Natural rubber latex; nat rubber & sim. nat.
gums 0.02 248 Wood, simply worked, and railway sleepers of wood 0.02
8 22 Milk and cream 0.02 22 Milk and cream 0.01
9 248 Wood, simply worked, and railway sleepers of
wood 0.02 73
Chocolate & other food preptns. containing cocoa 0.01 10 98 Edible products and preparations n.e.s. 0.02 48 Cereal prepared & preserved of flour of fruits or veg. 0.01
Does Indonesia and Malaysia Specialize in Products that have a high comparative
advantages?
ICIEFI 2019 11
No 2008 INDONESIA 2017 INDONESIA
1 424 Other fixed vegetable oils, fluid or solid, crude 424 Other fixed vegetable oils, fluid or solid, crude
2 72 Cocoa 322 Natural rubber latex; nat rubber & sim. nat. gums
3 232 Natural rubber latex; nat rubber & sim. nat. gums 431 Animal & vegetable oils and fats, processed & waxes 4 431 Animal & vegetable oils and fats, processed & waxes 98 Edible products and preparations n.e.s
5 22 Milk and cream 335 Residual petroleum products, nes. & relat. materials
6 71 Coffee and coffee substitutes 232 Natural rubber latex; nat rubber & sim. nat. gums 7 267 Other man-made fibres suitable for spinning & waste 251 Pulp and waste paper
No 2008 MALAYSIA 2017 MALAYSIA
1 424 Other fixed vegetable oils, fluid or solid, crude 424 Other fixed vegetable oils, fluid or solid, crude 2 431 Animal & vegetable oils and fats, processed & waxes 98 Edible products and preparations n.e.s
3 91 Margarine and shortening 431 Animal & vegetable oils and fats, processed & waxes 4 48 Cereal prepared & preserved of flour of fruits or veg 72 Cocoa
5 232 Natural rubber latex; nat rubber & sim. nat. gums 248 Wood, simply worked, and railway sleepers of wood 6 248 Wood, simply worked, and railway sleepers of wood 22 Milk and cream
7 98 Edible products and preparations n.e.s
