44 Edition 2020

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44th | Vol 29 | 2020 | www.hotelier-indonesia.com
Indonesia International Furniture Expo
(IFEX) 2020
The association is always optimistic that our furniture industry
will continue to grow and increase its performance from
time to time,” explains Chairman of the Indonesia Furniture
Industry and Craft Association (HIMKI), Soenoto.
Pursuing the Opportunity to
Increase Indonesian Furniture
Competitiveness and Export Value
Jakarta, 19 December 2019 – The furniture industry
is still regarded as one of the main backbones for
the Indonesian economy. 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 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 per cent per annum.
He further says that the industry’s current growth reaches
5-6 per cent per year meanwhile, Vietnam’s growth has
reached 16 per cent per annum. Furniture industry stakeholders,
namely the industry players and the government,
need to work together more intensely to pursue the 10 per
cent deficit. Soenoto says the country’s industry players
can also work with players from other countries, such as
with China, to increase the competitiveness of Indonesian
furniture products.
In line with the above efforts, the country’s Capital
Investment Coordinating Board (BKPM) is reportedly offering
investment opportunities in Indonesia to Guangdong
and Shandong businessmen. Hundreds of businessmen
from both provinces have stated their interest to invest
in Indonesia, particularly in Central Java. Soenoto says
Chinese investors can help increase Indonesian
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.
To realize further growth, the country’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.
Region-wise, 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.
“Our furniture industry still has many home works
that we need to solve before we can compete with
Malaysia and Vietnam. We do have many advantages
to support the industry’s growth but we are
still unable to maximize these advantages.
furniture industry, especially in the finishing sector.
“Partnering with Chinese businessmen is one of the ways
to accelerate our furniture industry’s growth. However,
we must keep our pivotal role in the industry from the
upstream sectors. Partnership with these businessmen can
unlock new opportunities to work with their international
business network,” says Soenoto.
The Opportunity to Increase Export
As the organization that houses Indonesian furniture
industry players, 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 March 2020, HIMKI is scheduled
to host this largest business-to-business (B2B) furniture
exhibition in Indonesia and the region. All these years, IFEX
has managed to provide the medium to grow the industry.
It attracts thousands of buyers and visitors and offers
a golden opportunity to local industry players to exhibit
their best products to these international audiences.