Indonesia: Rattan industry under threat
Aug 11, 2010. The Indonesian Rattan Foundation claims that inadequate rattan export policies and declining demand for Indonesian rattan products may threaten the existence of the rattan furniture and handicraft industry in Indonesia.
Aug 11, 2010. /Lesprom Network/. The Indonesian Rattan Foundation (YRI) claims that inadequate rattan export policies and declining demand for Indonesian rattan products may threaten the existence of the rattan furniture and handicraft industry in Indonesia, ITTO reported.
The international rattan product market was valued at around $100 billion in 2008 and $104 billion in 2009. However, Indonesia was only able to generate export revenues of $2.6 billion and $2.3 billion in 2008 and 2009 respectively.
YRI added that the number of rattan processing units continues to drop. In addition, the ban on raw rattan exports has affected the lives of 2.3 million rattan collectors and farmers. The domestic industry processes between 30,000 to 40,000 tonnes of rattan per year, while the industry has a production capacity for close to 700,000 tonnes per year, says YRI.
Rattan is said to have a potential to generate revenues up to $4 billion per year, providing jobs for about 5 million people.