Area Export Furniture Indonesia

Indonesia`s unique culture and furniture capabilities today are rooted in the country`s history as an outpost of Malay, Chinese, Indian, Arab, and Dutch explorers, colonists and traders and their lasting religious influences coming from Buddhism, Hinduism, Islam and Christianity. Several Javanese villages perpetuate their legacy of hundreds of years of wood craftsmanship. Surabaya is known for garden furniture, Jepara is famous for hand-crafted designs, and 60,000 specialized workers in Cirebon, West Java, and craft furniture only of rattan. For the last two decades Jepara furniture industries have been driven heavily by foreign buyers. Foreign buyers came to Jepara bringing with them new values, designs, concepts which are transforming Jepara community and its production. In Jepara most of the furniture industry uses teak wood as raw material. For various reasons, Jepara became a place for mass production of low quality teak products, which are sold oversea at a low price. Beside that, Indonesia has also produced different lines of furniture production. Office furniture, garden furniture and also a high-end furniture have been widely grown all over Indonesia. There are a handful of highly successful manufacturers who have created massive success, mostly in North America by blending warm design and smart sourcing with advanced technology and progressive management techniques. In-house woodworking teachers also join forces with external management consultants in each company to provide new workers the necessary practical knowledge of wood working. At the same time, a permanent Capacity Development Team of problem solvers visits foreign factories recommended by consultants in order to identify potential improvements. In 2005 Indonesia has been exporting furniture to around 220 countries. With the top ten importers are United States, Japan, Netherlands, United Kingdom, France, Germany, Italy, Belgium, Spain and Australia. This significant rise is contributed by large furniture industries. Indonesia exports in 2005 were amounted US$1.83 billion. The biggest contributor to this commodity comes from the wooden furniture, with the total value of export US$1.01 billion in 2005. It means 55.06% of the whole exports from furniture is contributed by wooden furniture. Indonesia export of furniture by main countries of destination

No

Country

Export Value (in US$ 000) Jan-Sept 2006 2005 2004 2003 . Total 1,357,228 1,835,106 1,652,204 1,561,307 1 United States 423,867 547,181 482,529 440,317 2 Japan 136,669 183,389 181,031 174,374 3 Netherland 85,392 115,808 110,032 112,369 4 United Kingdom 79,360 114,870 101,346 87,051 5 France 66,888 102,604 93,243 100,001 6 Germany 73,498 101,692 95,694 91,262 7 Italy 47,073 91,485 57,589 47,259 8 Belgium 59,112 77,617 75,824 74,900 9 Spain 55,833 71,286 61,731 63,132 10 Australia 43,123 62,832 66,859 64,335 . Others 286,413 366,342 326,326 306,307 Sumber : NAFED (based on BPS’ raw data)

Areas of furniture and parts thereof productions in Indonesia are: •

Central Java

•

East Java

•

DKI Jakarta

•

North Sumatra

•

Riau

•

Bali

•

West Kalimantan

•

South Sulawesi Whereas its target markets are: ○

America and Europe: 1.

United States,

2.

Netherlands,

3.

United Kingdom,

4.

France,

5.

Germany,

6.

Italy,

7.

Belgium,

8.

Spain,

9.

Canada,

10. Denmark, 11. Sweden. ○

○

Asia and Australia: 1.

Japan,

2.

Australia,

3.

Malaysia,

4.

Republic Of Korea,

5.

Singapore,

6.

Taiwan, Province of China.

Africa and Middle East; 1.

United Arab Emirates,

2.

South Africa,

3.

Turkey,

4.

Kuwait,

5. Saudi Arabi