dc.description.abstract | The development of seaweed cultivation in Indonesia in the last decade has grown very fast. Since 2007 Indonesia has become the largest seaweed producer in the world. Fifty percent of seaweed from the tropical regions in the world are produced in Indonesia. In the period of 2005-2010, the export of Indonesian seaweed continued to increase with an average of seventeen percent growth per year. While the value of exports FOB Indonesia increased by fifty-one percent over six years. The average growth of seaweed production in six years increased by forty percent. Indonesia's exports are mostly in the form of dried seaweeds with the major destination countries: China, the Philippines, Hong Kong, South Korea, Denmark, and Italy. The objectives of this study are (1) to analyze the factors that affect the production, demand and price of domestic seaweed (2) analyze the factors that affect the Indonesian seaweed exports to China, Hong Kong and the Philippines (3) to analyze policy alternatives in order to increase Indonesian seaweed production. The secondary data (time series) in was collected from 1989 until 2011. The model in this study was analyzed using the SAS program 2SLS method. The factors that affect the production of Indonesian seaweed significantly were budget of the Ministry of Marine Affairs Fisheries MMAF, the world price of seaweed and trends. Factors that affect the domestic demand of seaweed significantly were the population of Indonesia and carageenan price. The price of domestic seaweed was significantly influenced by the price of domestic seaweed in the previous year. Factor that significantly affects seaweed exports to the Philippines was the seaweed domestic price in the previous year. While the factor affecting exports to China was the Chinese national income and the factors that affect the seaweed exports to Hong Kong were the domestic price of seaweed in the previous year, import tariffs imposed by Hong Kong and the world price of seaweed. Production, demand and price of domestic seaweed is influenced by the Indonesian government policy. Policies pursued by MMAF in increasing domestic seaweed production and exports are needed to be implemented, where concrete step is by increasing with increased government budget. | en |