Indonesia Furniture Manufacture Keeps Growing Every Year with Positive Prospect

Furniture industry has become one of the world’s largest businesses in the world especially in Indonesia. This country does both manufacturing and also exporting the wooden furniture around the world. The local Indonesia furniture manufacture is so well-acknowledged among people for the best performance in making and creating the great furniture for home domestically and also internationally. Now, Indonesian furniture has entered the global market in the world.

How Does The Development of Indonesia Furniture Manufacture Right Now?

Though not many people realize, actually Indonesia furniture manufacture is the fastest growing business in Indonesia and it is highly segmented and very competitive because there are so many manufacturers found throughout Indonesia. As this furniture industry grows, the export values are higher rapidly and it leads this Indonesia furniture business to a huge success. However, the Indonesian manufacturers should face the reality that they have to compete with some neighbor manufacturers.

The local manufacturers should face another challenge coming from the other industrial rivals from Philippines, Malaysia and Vietnam as they give another pressure in the same industry. As you know, the furniture manufacture is oriented as the export industrial sector and this industry gives and also contributes to the manufacturing sector of the country significantly every year and this is quite an important sector for the Indonesia’s economy. However, among all furniture manufactures, which one is the most demanded?

Not all wooden furniture manufactures contribute so much to the country but rattan and also teak furniture products are placed on the top and in high demand for both local markets and also international global markets. Those manufactures make Indonesia ranked in 4th place as the largest furniture exporters in Asean region or The Association of Southeast Asian Nations. According to HIMKI or Association of Indonesian Furniture and Handicraft Industries, the growth of Indonesian furniture manufactures was positive in 2017.

The Growth of Indonesia Furniture Manufacture Year to Year

The exports of Indonesian furniture reached about USD$1,627 billion in 2017 and it increased only 1% from the previous year in 2016 which was only USD$1,607 billion. Now, this furniture industry currently has almost 140,000 businesses and it employs more than 437,000 people with nearly 5.8 trillion of the investment. Now, this business is currently designated and made as the priority and main sector for the country itself. This sector also contributes the significant value for the economy so over 500,000 new jobs can be found with USD$1 billion of investment.

Nowadays, Indonesian government sets the target as the booster for industry of furniture in Indonesia and also increase the export value of it to USD$5 billion in 2019. The government is so optimistic that furniture industry prospect is so brighter in Indonesia. Meanwhile, the association has already projected the industry to come higher and growing for 12% to 16% in 2018 with export value in $2 billion. Government is so supporting and the landscape is so positive for Indonesia furniture manufacture to grow more.

It will take Indonesia to the top 10 again among other manufacturers in South East Asia in near future. However, you can’t just take your eyes off on the fact that there are still many challenges the manufacturers have to face which are the fast-growing businesses in furniture supplies around the country so they must be ready.