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Plywood exports expected to rise

| Source: JP

Plywood exports expected to rise

JAKARTA (JP): Indonesia's plywood exports are expected to
increase slightly this year due to rising demand from Japan,
Taiwan, the United States, the Middle East and European
countries, an industry executive said yesterday.

The chairman of the Indonesian Wood Panel Association,
Mohammad (Bob) Hasan, told reporters that plywood exports are
likely to reach 8.9 million cubic meters this year, as compared
to 8,7 million cubic meters in 1995 and 8.9 million cubic meters
in 1994.

"The most prospective market at present is Japan, which is
building or restoring 1.5 million houses in Kobe, a city affected
by earthquakes in January 1995," he said.

He contended that Indonesian plywood, which has met the Japan
Agricultural Standard in quality, can compete against Malaysian
products, which has not meet the standard, in the Japanese
market.

"Our exports to Japan will be three times as much as Malaysian
exports," he said.

Indonesia's plywood exports to Japan are projected to increase
to 3.2 million cubic meters this year, from 3 million cubic
meters last year, he said.

Hasan said Indonesia's plywood exports to the United States
and Canada exceeded 400,000 cubic meters in the first half of the
year, as compared to 793,489 cubic meters for the whole of 1995.

He acknowledged that demand in China and South Korea is
declining in line with the weakening of their economies.

South Korea imported 950,370 cubic meters of plywood from
Indonesia last year, he said. (jsk)

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