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Jakarta Post

Indonesia seeks 10% increase in timber products exports to EU

  • thejakartapost.com

    The Jakarta Post

Jakarta   /   Thu, May 12, 2016   /  08:41 pm
Indonesia seeks 10% increase in timber products exports to EU A craftsman sculptures a traditional wooden mask. (The Jakarta Post/Ganug Nugroho Adi)

The government hopes to increase timber products exports to the European Union by 10 percent to US$1.1 billion this year, with the full implementation of timber legality verification system (SVLK). 

By using the system, exporting timber products to the EU will be much simpler, said the Trade Ministry’s director of agriculture and forestry export products, Nurlaila Nur Muhammad. In 2015, the value of Indonesia’s timber products exports to the EU reached $1 billion.

“If the system runs well, it will help boost our timber products exports to the EU,” she said on Thursday in Jakarta.

Central Statistics Agency data show timber products exports to the EU decreased in value over the last five years. The value of timber products exports in 2011 was $1.02 billion, $934 million in 2012, $872 million in 2013, $972 million in 2014 and $988 million in 2015.

However from January to February 2016, it reached $187 million, a 12 percent year-on-year increase from $167 million in 2015, according to the Trade Ministry's data.

Foreign Minister Retno LP Marsudi said SVLK implementation would benefit Indonesia, which currently has a 40 percent market share in the EU tropical timber market. Indonesia agreed to fully implement the SVLK by April, a deadline set by the EU.

Environment and Forestry Minister Siti Nurbaya Bakar said SVLK implementation would help the country combat illegal logging and timber trade, improve governance in the forestry industry and guarantee timber legality.

“We want to remove the stigma that Indonesia is an illegal timber producer,” she said. (ags)

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