Impacts of the COVID-19 pandemic on export commodity trading

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Abstract

This study examines the impact of COVID-19 on the export commodity sector in North Kalimantan province, Indonesia. The sector’s heavy reliance on hydrocarbon, seafood, and agricultural products, and lack of diversification in the commodity market pose significant risks to its long-term sustainability and growth. Studies critically analysing the trading of this commodity and the pandemic’s impacts on this sector remain lacking. Using a content analysis approach on data and information sourced from government reports and statistics, this qualitative-based study provides insight into the impacts of the COVID-19 pandemic and its resultant government intervention measures on North Kalimantan’s export commodities. Findings show that export commodities handled by the province’s ports decreased by 7 percent from 2019 to 2020, but in 2021, export values almost doubled compared to pre-COVID levels. The province’s economic growth has been heavily dependent on hydrocarbon, seafood, and agricultural products before and during the pandemic. To create a more business-friendly environment and reverse the downward trend of export commodities, the study suggests diversifying the commodity market, enhancing human resource capacity, and forging stronger private-public partnerships. The study provides insight into the effects of the pandemic on North Kalimantan’s export commodity sector, highlighting the need for long-term sustainability strategies.

Keywords: Cross-Border Trade, International Trade, Economic Growth, Socio-Economics, COVID-19 Pandemic

Authors’ individual contribution: Conceptualization — E., J., and M.Z.A.; Methodology — D.I.K.M. and R.I.; Software — M.Z.A. and D.I.K.M.; Validation — E. and R.I.; Formal Analysis — E., J., and R.I.; Writing — Original Draft — E. and R.I.; Writing — Review & Editing — M.Z.A., J., D.I.K.M., and R.D.; Supervision — E., D.I.K.M., and R.I.; Project Administration — E., M.Z.A., and R.I.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: B17, F18

Received: 21.01.2023
Accepted: 04.09.2023
Published online: 07.09.2023

How to cite this paper: Elyta, Ahmad, M. Z., Jamaliah, Mujiono, D. I. K., Islam, R., & Daud, R. (2023). Impacts of the COVID-19 pandemic on export commodity trading [Special issue]. Journal of Governance & Regulation, 12(3), 274–284. https://doi.org/10.22495/jgrv12i3siart9