The Indonesian Employers Association (Apindo) stated that the textile, footwear, and furniture industries will conduct mass layoffs in 2023 due to declining demand.
"Mass layoffs will definitely happen next year, not just 'will'," said Apindo Deputy Chairwoman Shinta Widjaja Kamdani, as reported by *Katadata*, Wednesday (21/12/2022).
Based on data from the Central Statistics Agency (BPS) until the end of the third quarter of this year, the export volume of Indonesia's furniture industry has weakened.
During the January-September 2022 period, the export volume reached 486,030 tons, a decrease of 4.49% compared to January-September of the previous year (year-on-year/yoy).
Here is a breakdown of the export volume of Indonesia's furniture industry by commodity group during January-September 2022, along with its year-on-year percentage change:
* Metal Furniture: 19,860 tons, down 8.97% (yoy)
* Rattan/Bamboo Furniture: 18,752 tons, down 6.76% (yoy)
* Other Furniture: 79,334 tons, up 4.88% (yoy)
* Wooden Furniture: 356,821 tons, down 5.92% (yoy)
* Plastic Furniture: 11,263 tons, down 6.43% (yoy)
Although the overall volume decreased, during the January-September 2022 period, the export value of this industry increased by 7.05% (yoy) to US$2.19 billion.
Here is a breakdown of the export value of Indonesia's furniture industry by commodity group during January-September 2022, along with its year-on-year percentage change:
* Metal Furniture: US$154,737,500, up 16.79% (yoy)
* Rattan/Bamboo Furniture: US$152,920,400, up 12.75% (yoy)
* Other Furniture: US$305,217,600, up 11.35% (yoy)
* Wooden Furniture: US$1,529,350,700, up 5.01% (yoy)
* Plastic Furniture: US$57,753,500, up 2.22% (yoy)
Looking at this data, there seems to be an increase in the price of Indonesian furniture commodities in the international market. Because, even though the export volume decreased, the trade value is higher than last year.