Wednesday, 16 January 2019

Ministry Boosts Furniture, Craft Industry Sector

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  • TEMPO.CO, Jakarta - The Industrial Ministry together with businesses have drafted an action plan to improve the performance and competitiveness of the national furniture and handicraft industry.

    "We will draft a more simple timber legality verification system [SVLK] with lower cost. Then we will conduct discussions with banks on how to improve the furniture and craft industry performance, such as providing microcredit program, bank financing, export financing, and [working] with regional development banks," said Industrial Minister Airlangga Hartarto on Thursday, April 6, 2017.

    In a written statement dated Thursday, April 6, 2017, Minister Airlangga stated that his ministry will facilitate the establishment of a raw material center to fulfill domestic furniture and craft industry production-related needs.

    "Regarding the material center, we will meet with PT Perusahaan Perdagangan Indonesia and PT Sarinah," Airlangga said.

    As state-owned enterprises, PT Perusahaan Perdagangan Indonesia and PT Sarinah are expected to provide special support for small-medium enterprises, specifically in the field of promotion.

    Another important factor, according to Minister Airlangga is the improvement of human resources competency by providing vocational training.

    "We will draft a vocational education program, not only long-term [education], but also short-term such as training that only need one to three months," Airlangga said.

    In addition, the Industrial Ministry will open a special polytechnic institution on the development of furniture in Semarang, Central Java. The Ministry, according to Airlangga, will also coordinate with the Environmental and Forestry Ministry to find a solution for businesses who often source their raw materials from community forest.

    Airlangga also encourages furniture and craft industries to maintain their creativity and never stop innovating to increase the added value of their products.

    "For 2017, we targeted that export value [of furniture and craft sector] can reach up to USD 2 billion. We are also committed to creating a conducive business climate," Airlangga stated.

    ANTARA