Effects of Logistics Performance as Non-discriminatory Trade Policies on Indonesia’s Textile Products Exports

2020 ◽  
Vol 4 (2) ◽  
Author(s):  
Wahyu Adi Perdana

ABSTRACTThis study discusses the importance of trade facilitation in logistic performance to boost Indonesia’s export. This work uses a structural gravity model to analyze the effect of logistics performance with respect to the export magnitude of textile products from Indonesia to its trading partner countries worldwide. This paper uses interval panel data for 2010, 2012, and 2014. In particular, it employs the Logistics Performance Index (LPI) as a proxy for trade facilitation and as a non-discriminatory trade policy of the origin country. Further, this study considers intranational trade in the structural gravity equation to ensure that the estimation effects for the non-discriminatory export policy in logistics can be identified in the presence of the fixed effect. The estimation results reveal that the LPI could play a role in expanding the export of textile products from Indonesia.Keywords: Logistics Performance Index (LPI), trade facilitation, non-discriminatory trade policy, structural gravity equation, export, textile, IndonesiaABSTRAKStudi ini membahas pentingnya fasilitasi perdagangan dalam kinerja logistik untuk mendorong ekspor Indonesia. Penelitian ini menggunakan model gravitasi struktural untuk menganalisis pengaruh kinerja logistik terhadap besarnya ekspor produk tekstil dari Indonesia ke negara-negara mitra dagangnya di seluruh dunia. Tulisan ini menggunakan data panel dengan interval untuk 2010, 2012 dan 2014. Secara khusus, studi ini menggunakan Logistics Performance Index (LPI) sebagai proksi untuk fasilitasi perdagangan dan LPI sebagai cerminan kebijakan perdagangan non-diskriminatif dari negara asal. Selanjutnya, penelitian ini juga menggunakan data perdagangan intranasional dalam persamaan gravitasi struktural untuk memastikan bahwa efek estimasi untuk kebijakan ekspor non-diskriminatif dalam logistik dapat diidentifikasi walau dengan adanya fixed effect. Hasil estimasi menunjukkan bahwa LPI dapat berperan dalam memperluas ekspor produk tekstil dari Indonesia.Keywords Kata Kunci: Logistics Performance Index (LPI), fasilitasi perdagangan, kebijakan perdagangan non-diskriminatif, persamaan gravitasi struktural, ekspor, tekstil, Indonesia

2014 ◽  
Vol 1 (3) ◽  
pp. 95-102 ◽  
Author(s):  
Henok Arega Asfaw

Despite a number of multi-country case studies utilizing comparable analytical frameworks, numerous econometric studies using large cross-country data sets, and important theoretical advances in growth theory, there is still disagreement among economists concerning how a country's international economic policies and its rate of economic growth interact. The central objective of this paper is to empirically assess the link between trade policy and economic growth in Sub-Saharan Africa countries. Apart from reviewing different literatures, this study also provides empirical evidence on the relationship between economic growth and trade policies. In doing so, the study used a panel data covering 47 Sub-Saharan Africa countries over the periods 2000 – 2008. The estimation support claims that openness to international trade stimulates both economic growth and investment. Besides, trade policies such as average weighted tariff rate and real effective exchange rate have both direct and indirect impacts on economic growth.  


2018 ◽  
Vol 4 (1) ◽  
pp. 1-9
Author(s):  
HonoreSewanoude Houngbedji

This paper assesses the effect of protectionist trade policies on the agricultural productivity of WAEMU countries from 1995 to 2016. A multiple linear regression model with panel data was used in this study. The estimations results indicate that the protectionist trade policy captured by State subsidy to agriculture and tax on the import of goods have a positive effect on agricultural productivity of WAEMU countries. In addition, the study reveals that sufficient availability of farm machinery and fertile soil would be of particular importance to the development of agricultural sector. In the face of globalization, these results encourage the adoption of a protectionist trade policy which would certainly improve the agricultural productivity in WAEMU countries.


2022 ◽  
Vol 12 (1) ◽  
pp. 0-0

India had undertaken several logistics development agendas.Initiatives were aligned to improve the logistics infrastructure in India. Advancement in technology had also benefited the logistics sector. Logistics Performance Index (LPI) has been a multi-dimensional evaluation criterion developed by the World Bank to assess logistics capabilities of countries. The LPI score of India had been low. Regarding this, present research study aimed to analyse the poor performance of India in LPI and how the deployment of emerging technologies could help improve it. The findings were based on a questionnaire shared with five experts. Delphi technique was applied for this study. The prioritization was identified through Analytical Hierarchy Process. The key findings in this study were prioritization of application of emerging technologies for various sub-dimensions of infrastructure like roadways, railways, ports, airports, warehouse, and institution. Emerging technologies like cloud computing, blockchain, internet of things were emphasized by experts to improve the infrastructure of India.


2000 ◽  
Vol 54 (4) ◽  
pp. 825-844 ◽  
Author(s):  
David Karol

Scholars assert that divided government impedes the liberalization of U.S. trade policy. They claim that presidents favor freer trade and will use the negotiating authority Congress delegates to them to reach agreements lowering trade barriers. Since presidents gain more support from their congressional co-partisans, less liberalization ensues under divided government. This theory rests on the premise that party is unrelated to congressional trade policy preferences beyond legislators' tendencies to support their presidential co-partisans. Yet before 1970 congressional Democrats were relatively free trading regardless of the president's party affiliation. Since then, the same has been true of Republicans. Divided government facilitates the trade policies of presidents from the protectionist party since they win more support from their “opposition” in this area. Divided government does impede the efforts of presidents from the free-trading party to liberalize. I conclude that divided government has no consistent effect on trade policy outcomes.


2017 ◽  
Vol 62 (05) ◽  
pp. 1077-1095 ◽  
Author(s):  
JUNG HUR ◽  
HYUN-HOON LEE

The Asia–Pacific Economic Cooperation (APEC) forum, whose approach is voluntary and non-binding in open regionalism, has been criticized for its alleged failure to develop a rapid liberalization process and to contribute to a greater level of intra-regional trade in the APEC region. Nonetheless, we find that APEC has been contributing to intra-regional trade creation, particularly in trade in manufactured goods as compared to trade in non-manufactured goods. This finding is robust to the various fixed-effect models and the first-differencing models which are applied to the gravity equation.


2018 ◽  
Vol 20 (1) ◽  
pp. 59-64
Author(s):  
Prima Denny Sentia ◽  
Regita Ramadani ◽  
Sarika Zuhri

Indonesia government has established sea toll program through Presidential Regulation No.17 in 2017 to support inter-island distribution. Port X in Aceh is one of the ports included in sea toll program. This paper discusses logistic performance m.easure, especially in sea transportation. A Logistic Performance Index (LPI) is proposed as a tool to identify challenges and opportunities in Port X performance. Key indicators which affect the value of logistics performance index will also be studied in this paper. There are several logistic performance measurements for port X based on literature study: quality, delivery cost, transportation cost, and information. Eight indicators affect Port X performance: quality of the commodity, the quantity of the commodity, on time delivery, ship call, sea transportation cost, storage cost, electronic availability, and electronic access. Port X average total index, based on Analytical Hierarchy Process, is 2,557. This value can be considered as quite reasonable. The study limits logistic performance for the arrival route of the container vessel leading to Port X. The final result shows that quality performance indicator (quality quantity of commodity index) has the highest index for all originating port. The second highest index is electronic information availability index. Through this finding, Port X must improve their service and information because it plays a vital role in their performance


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