Indonesia’s furniture market landscape
Indonesia’s furniture industry is one of the labor-intensive sectors that relies heavily on export activities. In 2023, the number of workers in large and medium-scale furniture manufacturing alone amounted to approximately 164 thousand people. The industry has been designated as one of the country’s priority sectors, receiving strong support from the government to ensure expansion. The government has set a target to significantly increase the country’s furniture exports. Furthermore, it encourages furniture companies to establish partnerships and collaborations with foreign players in the industry to expand their presence in the global market. Currently, Indonesia’s main export markets for furniture include the United States, Japan, and the Netherlands.Teak and mahogany wood are most commonly used in this industry due to the high demand from both local and international markets for furniture products made from these materials. However, with the increasing emphasis on eco-friendly furniture products in the global market, Indonesia also intends to put more focus on its rattan furniture to drive its overall industry growth. In 2022, the value of rattan furniture exports from Indonesia totaled approximately 37 million U.S. dollars, the majority of which was exported to the United States.
