Furniture exports expected to decline<\/p>\n
JAKARTA (JP): Furniture exports to several Asian countries are
\nexpected to start declining in coming months.<\/p>\n
Tjipto Wignjoprajitno, the acting chairman of the Association
\nof Furniture and Handcraft Producers, said yesterday the region's
\nmonetary crisis would force Asian importers to reduce their
\npurchases.<\/p>\n
He said Indonesian furniture should be more competitive in
\noverseas markets with the rupiah's sharp decrease in value
\nagainst the U.S. dollar.<\/p>\n
But currency depreciations in many Asian countries, including
\nSouth Korea, Singapore and even Japan, had weakened importers'
\nability to buy Indonesian products.<\/p>\n
Indonesian furniture exports likely would decline despite
\nlower prices, he told The Jakarta Post following the opening of a
\nfurniture exhibition.<\/p>\n
Indonesia exports 30 percent of its furniture products to
\nAsian countries, mostly to Japan and Korea. The other 70 percent
\nare shipped to the United States, Germany, the Netherlands and
\nBritain.<\/p>\n
The country's total furniture exports increased to US$946.5
\nmillion last year from $858.1 million in 1995.<\/p>\n
It is expected to reach over $1 billion this year.<\/p>\n
Indonesia's furniture exports to South Korea rose to $30.46
\nmillion last year from $28.23 million in 1995, while to Japan
\nexports increased to $275.85 million from $274.01 million.<\/p>\n
But Tjipto declined to give details about total exports for
\nthis year's first nine months.<\/p>\n
Minister of Forestry Djamaludin Suryohadikusumo who officially
\nopened the exhibition said the furniture industry would have
\nadequate raw materials this year.<\/p>\n
But he said furniture manufacturers had to diversify their raw
\nmaterials to reduce their dependence on supplies from natural
\nforests.<\/p>\n
\"Furniture manufactures should develop other superior local
\nwood which has a high economic value,\" he said. Rattan and bamboo
\nhad great potential, he added.<\/p>\n
Rattan furniture exports were worth over $360 million last
\nyear, he said.<\/p>\n
Indonesia exports about 32 percent of its rattan furniture to
\nJapan. Last year, the volume of rattan furniture exports to the
\ncountry reached over 100,000 units, about 0.7 percent of the
\nmarket.<\/p>\n
The furniture exhibition, called Furnifair 98, Indonesia's
\n23rd Furniture Exhibition, was held by the association in
\ncooperation with PT Mediatama Binakreasi.<\/p>\n
The exhibition, which would take place in the Jakarta
\nConvention Center from Dec. 5 to Dec. 14, was designed to promote
\nfurniture products, primarily for the Christmas, New Year and
\nIdul Fitri season.<\/p>\n
The exhibition was expected to book about $10 million in
\ntransactions.<\/p>\n
At least 95 companies would take part in the exhibition, which
\nwas expected to attract 1,700 visitors. (gis)<\/p>",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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