ARDIANSYAH, Rafi (2026) ECONOMIC DIPLOMACY FOR MARKET DEVELOPMENT: THE ROLE OF THE INDONESIAN EMBASSY IN THE NETHERLANDS IN INCREASING INDONESIAN CACAO, COFFEE, AND CIGAR EXPORTS. Undergraduate thesis, UNDIP: Fakultas Ekonomika & Bisnis.

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Abstract

Indonesia is a major producer of cocoa, coffee, and tobacco, while the Netherlands serves as a trading hub and gateway for commodities entering the European Union market. Despite possessing competitive production capacity and quality, Indonesia's exports to the Dutch market remain suboptimal due to limited product visibility, supply chain fragmentation, competition from other exporting nations, regulatory barriers, and market information gaps. This study aims to analyze the role of the Embassy of the Republic of Indonesia in The Hague in economic
diplomacy and to formulate strategies for boosting Indonesian cocoa, coffee, and cigar exports to the Dutch market. The research employs a mixed-methods approach with an exploratory and descriptive design. Quantitative data were obtained from UN Comtrade, CBS, ITC, the Ministry of Trade, and other relevant sources to analyze trade patterns from 2019 to 2024 in terms of value, volume, trade balance, and market share. Qualitative data were gathered through document analysis and semi-structured interviews with embassy officials and Indonesian exporters. The
analysis utilizes Bayne and Woolcock’s economic diplomacy framework, the export promotion typology of Lederman et al., Porter’s Five Forces, and SWOT analysis, alongside benchmarking against Vietnam, Ghana, and the Dominican Republic. Research findings indicate that although Indonesia has a presence in the
Dutch market, its performance remains below potential. Indonesian cocoa exports reached USD 38.45 million in 2023 compared to total Dutch imports of USD 2.19 billion—while coffee exports stood at approximately 5,000 tons, trailing far behind
Vietnam’s 46,000 tons. The visibility of Indonesian cigars also remains limited. The Indonesian Embassy faces several challenges, such as the absence of an Indonesian Trade Promotion Center (ITPC) in the Netherlands, the lack of a dedicated
commodity unit, suboptimal coordination of promotional activities, and the absence of a system to monitor promotional outcomes.

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