Indonesia is faced by global competition, in particular for its fruit commodity. Orange a commodity currently prioritized to be developed. The availability of seasonal oranges provides an opportunity for the imported orange products to substitute the local oranges. The objective of this study was to analyze the competition between the local oranges and imported oranges. The analytical method used was Almost Ideal Demand System (AIDS). The results show that the local oranges can compete with the imported oranges from China. It is indicated by the positive cross elasticity value (substitution). The decline in the price of oranges imported from China will reduce the market share of local oranges in Indonesia. Therefore, Indonesia needs to improve the marketing efficiency of its local oranges and increases the local orange production to meet its consumption needs of oranges.
Authors who publish with this journal agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal.
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).