Questioning the competitiveness of Indonesian wooden furniture in the global market

IUFRO International and Multi-disciplinary Scientific Conference "Forest-related policy and governance: analyses in the environmental social sciences"

生态环境科学;社会科学（总论）

Nurkomariyah, S.^1 ; Firdaus, M.^2 ; Nurrochmat, D.R.^3 ; Erbaugh, J.T.^4

School of Business, Bogor Agricultural University (IPB), SB-IPB Campus, Indonesia^1

Department of Economic Science, Faculty of Economics and Management, Bogor Agricultural University (IPB), IPB Darmaga Campus, Bogor

16680, Indonesia^2

Department of Forest Management, Faculty of Forestry, Bogor Agricultural University (IPB), IPB Darmaga Campus, Bogor

16680, Indonesia^3

Environmental Studies, Dartmouth College, 107A Fairchild, HB 6182, United States^4

关键词: Comparative advantage;    Export products;    Furniture industry;    Global market;    International markets;    Legality verifications;    Market position;    Wood furnitures;   

Others  :  https://iopscience.iop.org/article/10.1088/1755-1315/285/1/012015/pdf
DOI  :  10.1088/1755-1315/285/1/012015

来源: IOP

【 摘 要 】

Indonesia is one of the top-ten most dominant manufacturers of wooden furniture in the world, exporting approximately $ 1.34 billion of wooden furniture in 2015, with a market share 2.09%. However, in the last decade, the volume of wood furniture exports has gradually decreased. Additionally, the wooden furniture industry in Indonesia must now implement the timber legality verification system (SVLK) to ensure raw materials come from legal sources. Given the importance of the wooden furniture industry and recent timber legality mandates, this study: 1) analyzes the competitiveness of Indonesian wooden furniture in the international markets and 2) investigates the relationship between the timber legality assurance system (TLAS) and the competitiveness of Indonesian wooden furniture in the global market. This research uses economic trade data and revealed comparative advantage (RCA) to analyze the comparative advantage of wooden furniture from Indonesia in the global market, as well as export product dynamics (EPD) methods to determine the market position of Indonesian wooden furniture. The RCA index shows that Indonesia has a comparative advantage, but its competitiveness is lower than China, Vietnam, and Malaysia. The EPD methods indicate that the competitiveness of Indonesian wood furniture continues to decline. These analyses point to a potential weakness in SVLK in relation to the competitiveness of Indonesian wood furniture in key international markets.