JAKARTA: Indonesias furniture manufacturer complained about the cancelation of furniture orders conducted by several importers from European and North America, which is predicted to cut furniture export from domestic in first half of 2011.Such cancelation will likely reducing furniture and craft export value around 21.31% from January-June compared to the realization in same period a year earlier, Chairman of Indonesia Furniture Industry & Handicraft Association (Asmindo) Ambar Tjahjono said.Economic crisis that engulfs several Indonesias traditional export destination countries and strengthening of rupiah made the furniture export slumped sharply.Actually, there are a lot of furniture orders after the exhibition in March. We are optimistic the export could grow this year. However, its totally different now and leads to many cancellation, he said when attending International Furniture & Craft Fair Indonesia, yesterday.Ambar reminds Indonesias furniture market is in low condition and it can push the exports of these commodities to decline 30% - 40%.On the other hand, Asmindo projected Indonesias furniture and handicraft export during January-June reaching to US$1.15 billion or declined compared to US$1.46 billion in first half of 2010.Such development forced Asmindo to revise the export growth target that has been set early this year to around 20%.This year, it will be delightful even if the achievement is similar with last year. We will try to boost other markets outside the US and Europe, he said.Earlier, Asmido has targeted the furniture export value to grow to US$2.25 billion in 2011 from US$1.85 billion in 2010. Meanwhile, craft export is expected to reach US$900 million, which makes the total export target reaching to US$3.15 billion.Asmindos Chairman has also complained about the exchange rate of Indonesian rupiah against US dollar, which supposed to be around IDR9,000 per US$.He predicts the craft and furniture export will grow 25% if the exchange rate is stable at that position.We have high season between September-December, which contributes high rate so that we are optimistic it would returns to its original target, he added.Asmindo plans to hold furniture product exhibition in the country and abroad to attract consumer outside US and Europe.Market diversificationAsmindo is also trying to grab consumer from Australia, India, China and Middle East to change its traditional export destination.Manufacturers, particularly Asmindo members, should maintain the existence of furniture and craft industry. We will push them to conduct export to other market, he said.The International Furniture & Craft Fair Indonesia (IFFINA) that will be held on September 11-14, 2011, is the best momentum for domestic manufacturers to show their superior products to international buyers from developed countries, Middle East and Australia.We are focusing to invite buyers from such countries especially Australia. Currently, about 600 of 1,500 buyers targeted will certainly come to the exhibition, Ambar affirmed.Frits William Bolung, Project Manager at PT Kerabat Dyan Utama as the exhibition organizer said IFFINA will create new furniture and craft purchasing cycle in Asia region.We will create new cycle so that furniture purchasing peak will occur twice a year, which previously occurs in March only, Frits added.Meanwhile for China market, Asmindo and other Southeast Asia furniture manufacturer association will open a display center in Lecong Project, Foshan City. (11)(msw/t06)

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