Furniture Industry Exports Increase 33 Percent, Continue to Optimize Global Market

The furniture industry has an important role in improving the performance of the manufacturing sector and the national economy. This is reflected in the achievement in the export value of national furniture products which exceeded USD 2.5 billion in 2021, an increase of 33% compared to the previous year of USD 1.9 billion.

“I believe that in line with the people’s choice of spending, it will also support an increase in furniture sales, both for export and the domestic market,” said Minister of Industry Agus Gumiwang Kartasasmita at the Opening of the 2022 Indonesia International Furniture Expo (IFEX) Exhibition in Jakarta, Thursday (18/ 8).

The Minister of Industry appreciated the holding of IFEX 2022 because so far it has proven to have a positive effect on the furniture industry in Indonesia, so that the furniture market can continue to grow. “IFEX is the largest furniture exhibition in Indonesia, even in Southeast Asia,” he said.

The Minister of Industry stated that a number of study results showed that there were opportunities for the furniture industry in the country to fill the global market. For example, the Center for Industrial Studies (CSIL) estimates that global furniture consumption in 2022 will grow by 3.9%. This growth will be lifted by the Recovery and Resilience Facility stimulus policy in the European Union.

“The CSIL study was also enhanced by the Consumer Market Outlook issued by Statista, in which the increase in global furniture industry revenue will continue to increase consistently from USD 1.3 trillion in 2020 to USD 1.6 trillion in 2025,” he said.

In the domestic market, the government’s affirmative action to intensify efforts to increase the use of domestic products (P3DN) must also become a momentum for the furniture industry to increase its performance and product absorption. For this reason, the domestic furniture and handicraft industry must pay special attention to the arrangement for Domestic Component Level (TKDN) certification so that they can sell their products in the e-Catalog.

This year, the Ministry of Industry has prepared a free TKDN certification program for 1,250 products. “For next year, we are fighting to reduce the budget so that the number of free TKDN certificates increases to 10,000 products,” said Agus.

This effort is to reach more domestic industries, especially the IKM sector in the TKDN certification program. “We open the door for domestic furniture and craft industry players to take advantage of this program. We are trying to make TKDN certification in the coming year not only cheaper but also faster,” he added.