ABSTRACT:
Indonesia and Malaysia are the two largest palm oil exporters in the world. Collectively, they cover on average more than 80% of total palm oil exports. Although Malaysia is ranked second after Indonesia in palm oil exports, their export competitiveness varies between markets. Therefore, the objective of this study is to examine the export competitiveness of Malaysian and Indonesian palm oil in the Balkans market using constant market share analysis (CMS). CMS approach has often been used in examining export performance and indicating the direction of competitiveness. This study shows that Malaysia has demonstrated better market effect and distribution effect performance compared to Indonesia in the Balkans as evidenced in the CMS results of the period under review
Keywords: Palm oil export, constant market share, Balkans, Malaysia, Indonesia