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Indonesia's Key Furniture Export Markets Reduce Spending in First Half of 2023

Adi Ahdiat 15/09/2023 12:10 WIB

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In the first semester of 2023, almost all of Indonesia's main furniture export destinations reduced their spending, resulting in a weakening performance of national furniture exports.

Indonesia's Wood Furniture Export Value to 10 Main Market Countries, First Semester (2022-2023)

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Indonesia's Key Furniture Export Markets Reduce Spending in First Half of 2023

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Indonesia's Wood Furniture Export Value to 10 Main Market Countries, First Semester (2022-2023)

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In the first half of 2022, Indonesia's main export markets for wooden furniture were the United States (US), Japan, the Netherlands, Germany, Belgium, Australia, the United Kingdom, France, Canada, and Spain.

However, in the first half of 2023, almost all of these countries reduced their spending.

According to data from the Central Statistics Agency (BPS), in the first half of 2023, the value of wooden furniture exports to the US was only US$401.9 million, a 35% decrease compared to the first half of the previous year.

During the same period, the value of wooden furniture exports to Japan decreased by 25%, the Netherlands by 40%, Germany by 47%, and Belgium by 23%.

Furthermore, exports of similar commodities to Australia decreased by 42%, the United Kingdom by 27%, France by 13%, and Canada by 58%.

The only major market for wooden furniture that increased its spending was Spain. However, the increase was insignificant, only around 3%, with the nominal details as shown in the graph.

According to President Jokowi, the overall performance of furniture exports decreased due to weak international partnerships.

"In my opinion, (the decline in exports) is because we don't have partners, other countries are partnering with each other. Therefore, we must be open and willing to partner with furniture companies from abroad," said Jokowi while giving a speech at the IFFINA Indonesia Meubel & Design Expo, ICE BSD, Tangerang, Thursday (14/9/2023).

Jokowi also encouraged furniture industry players to include their products in the government's e-catalog to expand the domestic market.

"If we combine it with the State Budget (APBN), Regional Budget (APBD), and State-Owned Enterprises (BUMN), our (furniture) spending has reached Rp1.236 trillion. That's not just furniture. Furniture is almost US$1.1 billion and much of it is filled with imported furniture," said Jokowi.

"This means the ball is in your court to partner and take the domestic market," he added.

Editor : Adi Ahdiat

"Disclosure: This is an AI-generated translation of the original article. We strive for accuracy, but please note that automated translations may contain errors or slight inconsistencies."

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Indonesia's Key Furniture Export Markets Reduce Spending in First Half of 2023

Indonesia's Key Furniture Export Markets Reduce Spending in First Half of 2023

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Indonesia's Key Furniture Export Markets Reduce Spending in First Half of 2023

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