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Analisis Pasar Domestik Minyak Goreng: Dampak Kebijakan Pemerintah dan Kemungkinan Diberlakukannya Liberalisasi Perdagangan

Author

Listed:
  • R. Deden Djaenudin

    (Researcher, Bogor Institute of Agriculture, Bogor)

  • Isang Gonarsyah

    (Professor, Bogor Institute of Agriculture, Bogor)

Abstract

This study aims to identify factors affecting domestic market for edible oil, to analyze the impacts of government policies in its order to fulfil domestic consumption, and to anticipate edible oil market condition in the trade liberalization era. Using simultaneous equations and simulation models on time series data of the period 1970-1997, the study finds out that (1) edible oil (i.e. palm oil and coconut oil) production do not responsive to all variables in the short run, but do responsive to edible oil price and wage in the industrial sector in the long run; (2) policy to lower interest rate will increase edible oil production, lower price, and increase demand for edible oil in the domestic and export markets; (3) policies to eliminate fertilizer subsidy and to improve wage in the plantation will lower production of raw material for edible oil, increase edible oil price, and lower the demand for palm oil, but increase the demand for coconut oil; (4) rupiah devaluation policy will increase edible oil production, price of edible oil, the domestic and export demand for palm oil, but decrease the demand for coconut oil; (5) the implementation of trade liberalization have a positive impact to palm oil industry and coconut oil consumers, and have a negative impact to coconut oil industry and palm oil consumers

Suggested Citation

  • R. Deden Djaenudin & Isang Gonarsyah, 2002. "Analisis Pasar Domestik Minyak Goreng: Dampak Kebijakan Pemerintah dan Kemungkinan Diberlakukannya Liberalisasi Perdagangan," Economics and Finance in Indonesia, Faculty of Economics and Business, University of Indonesia, vol. 50, pages 19-73, March.
    • Handle: RePEc:lpe:efijnl:200202
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