Analysis of the Implemtation of Modern International Trade Theoy
(Case Study : Export of Palm From Indonesia to the Internastonal Market)
Abstract
Palm sugar is an Indonesian export commodity with great potential in the global market. Indonesia's labor-intensive palm sugar production has now entered international trade and continues to be developed to face global competition. This study analyzes the implementation of modern international trade theory, particularly the Heckscher-Ohlin (HO) model, Stolper Samuelson and Ricardo Viner theory in Indonesian palm sugar exports. The palm sugar trade reflects the utilization of Indonesia's abundant labor force, with national production reaching 106,486 tons from 37,434 hectares of palm sugar plantations, which supports the specialization of labor-intensive products in accordance with the Heckscher-Ohlin (HO) theory. Based on the Stolper-Samuelson theorem, palm sugar exports also contribute to increasing the income of farmers' labor. Furthermore, Ricardo Vinner's theory describes several factors that influence this trade pattern. The policy implications of these findings include strengthening palm sugar farmers through increased legality with organic certification and the development of export support infrastructure. These results provide a strong basis for the development of palm sugar as a leading Indonesian export product in the international market.
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