Global Home Furnishings Market Research Report Global Home Furnishings Market Research Report | Page 2

local and international trade exhibitions, workshops and events held by trade associations
to widen their network.
According to the report, “Home Furnishings in Indonesia”, the major factors supporting
Indonesia’s furniture industry is the domestic availability of various raw materials. The
country has a vast forested land with teak, meranti, keruing, kapur and mersawa trees
useful for home furnishings. The country has large pool of skilled workers, including carvers
and carpenters possessing ancient techniques in carpentry. The government also supports
the home furnishings sector which is an added advantage.
Home furnishing industry is involved in creation of more in-house designs. Majority of the
companies have limited resources to invest in market research and product development.
Investments in Indonesia’s furniture and handicraft industries are expected to decline due
to slow down in global demand and less competition. Indonesia’s home furnishings market
has been growing steadily in yesteryears due to the increase in the middle class and
increased consumer spending limit. The import in home furnishings has increased leading to
new opportunities for foreign brands along with local brands.
Indonesia is a highly attractive market as a manufacturing base for furniture companies.
Indonesia is the leading manufacturers and exporters of outdoor furniture made from teak,
bamboo and rattan as well as carved furnishings. The abundant availability of timber has
attracted global attention as a furniture manufacturing base for international brands. With
the rising population in Indonesia and increased consumer spending limit has attracted
majority of the furniture makers.
Raw material maintenance, sourcing and production methods for Indonesian furniture
manufacturers is continuous process as consumers are demanding for environmentally
friendly products. Various local Indonesian manufacturers are utilising reclaimed wood in
the making of sofas, tables and chairs to harmonize with local reforestation programs.
Almost all the large scale furniture manufacturers in Indonesia are also thinking about green
furniture and are investing in environmentally efficient production methods.
The new young generation in Indonesia are more concerned about style and durability of
the home furnishings. Indonesia is booming in the property sector with the increasing
population and there is a demand for furnishings related to office furniture, kitchen
furniture, upholstered furniture, non-upholstered seats, bedroom furniture, seats parts and
parts of other furniture. The office furnishings are of functionality and ergonomic design as
employee comfort is a priority in light of longer working hours and extended periods of
sitting. Indonesian furniture industry consists of more than 3,500 companies and over two
million workers. The strengths of the Indonesian furniture industry are rich woodcarving
tradition, the abundance of raw materials and low cost skilled labour force.