Pursuing the Opportunity to Increase Indonesian Furniture Competitiveness and Export Value
JAKARTA, Indonesia, Jan. 22, 2020 /PRNewswire/ -- As the organization that houses Indonesian furniture industry players, Indonesian Furniture and Craft Industry Association or HIMKI regularly conducts events to promote the industry's growth to the local and international public. One of HIMKI's annual event is the Indonesia International Furniture Expo (IFEX) that has been successful in introducing and promoting Indonesian quality furniture to the global audience. In 12-15 March 2020 at Jakarta International Expo, HIMKI and Dyandra Promosindo will be hosting the largest business-to-business (B2B) furniture exhibition in Indonesia and the region.
The furniture industry is still regarded as one of the main backbones for the economic growth of Indonesia. The industry absorbs a huge amount of human resources and the number is increasing from time to time. The data from the Ministry of Industry of Indonesia shows an increase in furniture export value. Last year, Indonesian furniture export valued was recorded at US$1.69 billion. On average, the industry is experiencing a growth of 4 percent per annum.
The Indonesian furniture industry is projected to remain growing considering the country has several advantages such as the high number of human resources and abundant raw material supply. To date, Indonesian forest land reaches around 120 million hectares, of which 12 million hectares are categorized as production forests. Indonesia is also famous as the world's largest rattan producer with 312 types of rattan that the industry can utilize.
"Indonesia's furniture industry needs continuous innovations in terms of the design, the technology, the marketing strategy, and the after-sales service to ensure a high level of customer satisfaction," said Soenoto, Chairman of HIMKI. Indonesian furniture export is still lagging behind Vietnam, which currently sits on 7th place. Globally, the furniture export market is dominated by China followed by Germany, Italy, Poland, and the United States.
The Opportunity to Increase Export
IFEX has managed to attract thousands of buyers and visitors and offers a golden opportunity to local industry players to exhibit their best products to these international audiences. Last year, IFEX managed to draw 12 thousand visitors and recorded an on-the-spot transaction of US$370 million.
One of IFEX 2020 target is to take advantage of the US market that is left by China due to the trade war between the two countries. In addition to Europe, the US is one of the major export destinations for Indonesian furniture products. HIMKI encourages the country's industry players to find the right strategy to win the US market that was previously dominated by China products.
SOURCE PT. Dyandra Promosindo