As tropical
country, Indonesia has a big potential in producing any product made from wood
and rattan. It has been decades for Indonesia for being furniture, wood and
rattan exporter. But since 2011, Indonesia banned the export of logs products.
This was done to increase the added value of Indonesian exports. Thus,
Indonesia expects to increase exports of furniture products which derive from
rattan and wood.
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In 2013, the
export of Indonesian furniture products including wooden and rattan furniture
increased by 30% from the previous year, from USD 202.6 million in 2012 to USD
262.5 million in the year 2013. For the year 2014, Indonesia is targeting
exports furniture can be increased to 8%. Until the first quarter of 2014, the
realization of the increase in furniture exports reached only 3%. This figure
is pretty good. Nevertheless Indonesia needs hard work to achieve the export
target.
Achievement of
these targets is done by the effort of the government to encourage and provide
a stimulus for the furniture industry. Various exhibition held inside and
outside the country. Training, socialization and also funding support held by bhe
government.
However, the
global market demands a high standard of quality furniture products. Many countries
have started enforcing quality standards for products imported logs legality of
furniture. In fact, many Indonesian furniture producers are belong to small
medium enterprises. Many of those who do not understand about this
certification. Moreover, to obtain this certification, SMEs also have to pay of
up to Rp 40 million or USD 4000. This cost of this is considered too high for
SMEs.
Meanwhile, problems
also arise in terms of language. It is delivered by a number of entrepreneurs
who are members of association’s of Indonesian furniture and handicraft. Many
furniture entrepreneurs admit that they cannot speak English. It is an obstacle
to market and also looking for new buyers in the global market. Despite the
exhibition, they are often difficult to communicate. Though they sure can get a
lot of opportunities in the European market, American and Russian as well.
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