RI furniture exports down 30 percent
Indonesia's furniture exports declined more than 30 percent this year as a result of the debt crises in Europe and the US, as well as political turmoil in the Middle East, the Indonesian Furniture Entrepreneurs Association (Asmindo) says.
According to data from Asmindo, the net value of country's furniture exports reached US$1.15 billion in the first half of this year, down 21 percent from the figure over same period last year, which reached $1.46 billion.
Rattan furniture exports alone declined by 26 percent to $60.32 million.
“This [industry] is already in a critical condition,” Asmindo chairman Ambar Tjahjono said Monday as quoted by kontan.co.id.
He added that the earlier strengthening of the rupiah against the US dollar triggered by the US and Europe debt crises had resulted in prices of Indonesian furniture exports increasing, thus reducing export demand.
Indonesian Rattan Furniture and Craft Association (AMKRI) chief Hatta Sinatra, however, said the decline in rattan furniture exports had been felt since the 2008 global economic crisis.
“Exports this year have been worse than they were last year, which was already bad,” he said.
Hatta added that the declines were also attributable to market competition with goods from China and Vietnam, for example.
Indonesia's furniture exports declined more than 30 percent this year as a result of the debt crises in Europe and the US, as well as political turmoil in the Middle East, the Indonesian Furniture Entrepreneurs Association (Asmindo) says.
According to data from Asmindo, the net value of country's furniture exports reached US$1.15 billion in the first half of this year, down 21 percent from the figure over same period last year, which reached $1.46 billion.
Rattan furniture exports alone declined by 26 percent to $60.32 million.
“This [industry] is already in a critical condition,” Asmindo chairman Ambar Tjahjono said Monday as quoted by kontan.co.id.
He added that the earlier strengthening of the rupiah against the US dollar triggered by the US and Europe debt crises had resulted in prices of Indonesian furniture exports increasing, thus reducing export demand.
Indonesian Rattan Furniture and Craft Association (AMKRI) chief Hatta Sinatra, however, said the decline in rattan furniture exports had been felt since the 2008 global economic crisis.
“Exports this year have been worse than they were last year, which was already bad,” he said.
Hatta added that the declines were also attributable to market competition with goods from China and Vietnam, for example.
