The Indonesian Furniture Entrepreneurs Association (Asmindo) has projected a 22 percent increase in the country’s furniture and handicraft exports next year despite the global economic slowdown, local media reported on Friday.
This year, furniture and handicraft exports are estimated to have dropped by about 20 percent to about US$ 2.2 billion from US$ 2.7 billion in 2010, due partly to a decline in the demand from Europe and the United States.
However, Asmindo Chairman Ambar Tjahyono said that exports of furniture and handicrafts were projected to bounce back to US$ 2.7 billion next year.
Ambar said during a media gathering in Jakarta recently that in order to achieve the target, Asmindo’s members would diversify their export destinations to non-traditional markets to offset the decline in demand in the U.S. and European markets.
“We have so far relied heavily on the U.S. and western European countries for our export markets, and it is undeniable that in the last two years our exports to the U.S. have been declining,” he was quoted by the Jakarta Post daily as saying.