Should Countries Implementing Biodiesel Blending Mandates Compete or Cooperate to Increase Export Competitiveness?

To increase competitiveness, is it possible for biodiesel-producing countries that have mandated biodiesel blending involved in international trade to cooperate? The purpose of this study is to compare the strength of export competitiveness between palm and soybean biodiesel-producing countries. In addition, it is important to know the possibility of cooperative relationships to increase the export competitiveness of biodiesel-producing countries. The analytical method used is to compare the comparative advantages of each country producing palm and soybean biodiesel. Then the correlation analysis of the biodiesel export competitiveness of each biodiesel-producing country was carried out. The results show that Argentina, Indonesia, and Malaysia are biodiesel-producing countries that have a comparative advantage. There is a strong to the very strong correlation of comparative advantage between several producing countries, both palm and soybean biodiesel. There is a more significant positive correlation between biodiesel producers made from palm oil and soybeans, both of the same or different types. This shows that it is possible to work together to increase comparative advantage between biodiesel producers, both with the same or different raw materials, rather than having to engage in competition.