Indonesia Furniture Industry Research Report 2024-2033

Description

Indonesia Furniture Industry

Furniture refers to movable objects designed to facilitate various human activities, such as sitting, reclining, or storing items. Common examples of furniture include chairs, tables, beds, desks, and cabinets, each of which serves both functional and aesthetic purposes to enhance the practicality and visual appeal of indoor and outdoor spaces.

Furniture is made from a variety of materials, including wood, metal, plastic, and textiles. Traditionally, furniture was handmade, but the rise of industrialization led to the mass production of standardized items. Furniture can also be categorized based on its intended use. Office furniture is specifically designed for workspaces, outdoor furniture is designed to withstand weather conditions, and residential furniture is focused on providing comfort and enhancing style. The design and placement of furniture play a key role in shaping the functionality and ambiance of a space. Currently, furniture in Indonesia is available in a variety of styles and designs, ranging from classic and ornate to modern and minimalist, to meet the diverse needs of individuals.

Indonesia, with a population of approximately 280 million people, is the largest economy in Southeast Asia and is expected to continue to grow in the coming years, favorably boosting the construction industry.

The rapid urbanization in Indonesia is a significant factor driving the growth of the furniture market. According to data from The World Bank Group, in 2022, 57.93% of Indonesia’s population resided in urban areas, with a year-on-year growth rate of 1.77%. According to CRI, this increasing urbanization is directly contributing to the expansion of both residential and commercial infrastructure. As more people move into urban areas, there is a growing demand for stylish and innovative furniture to adorn their homes. Consequently, these dynamics are expected to continue fostering the growth of the furniture market in Indonesia throughout the forecast period.

The burgeoning tourism industry in Indonesia serves as another significant catalyst for market growth. Tourism plays a vital role in the Indonesian economy, generating substantial foreign exchange revenues. Moreover, the increasing influx of tourists has stimulated demand for furniture, particularly in regions experiencing a surge in tourism activity. Bali, known for its thriving tourism sector, has witnessed a notable increase in demand for furniture, driven by the establishment of hotels and resorts. According to CRI, the expanding hospitality sector, propelled by the tourism boom, is poised to bolster furniture market revenues, fueled by the growing need for upscale furniture in hotels across the country. As of November, the number of foreign tourist arrivals in 2023 had reached 10.4 million, an increase of 110.86 percent as compared to the same period in 2022. Notably, Foreign tourist arrivals in Indonesia increased by 30.17% year-on-year to 917.4 thousand in November 2023, amid a sustained recovery in the tourism sector.

However, the primary obstacle to the growth of the furniture market in Indonesia is the instability in raw material prices. Fluctuations in the prices of raw materials, especially for luxury furniture, are primarily driven by factors such as rising raw material costs. This presents a dual challenge for key players in the market, who must grapple with either absorbing the elevated raw material costs or passing them on to consumers by selling products at higher prices, thus exposing major players to the risk of losing market share.

Considering the factors mentioned above and in conjunction with the Indonesian government’s initiatives to boost the country’s furniture export value, CRI predicts a consistent growth trajectory for the furniture industry in Indonesia, with a compound annual growth rate (CAGR) of 6.5% from 2024 to 2033. Consequently, the furniture market in Indonesia is expected to reach US$ 5.80 billion by 2033.

Also, with strong government support and a positive market landscape, furniture manufacturers in Indonesia are expected to increase their export values in the near future. According to CRI, the export value of furniture in Indonesia is projected to increase to US$ 4.11 billion in 2033 with a compound annual growth rate (CAGR) of 8.6% from.

Topics covered:

• Indonesia Furniture Industry Overview
• The economic and policy environment of Indonesia’s furniture industry
• Indonesia Furniture Industry Market Size, 2024-2033
• Analysis of the main Indonesia furniture production enterprises
• Key drivers and market opportunities for Indonesia’s furniture industry
• What are the key drivers, challenges and opportunities for Indonesia’s furniture industry during the forecast period 2024-2033?
• Which companies are the key players in the Indonesia furniture industry market and what are their competitive advantages?
• What is the expected revenue of Indonesia furniture industry market during the forecast period 2024-2033?
• What are the strategies adopted by the key players in the market to increase their market share in the industry?
• Which segment of the Indonesia furniture industry market is expected to dominate the market by 2033?
• What are the main negative factors facing the furniture industry in Indonesia?

 

Table of Contents

1. Overview of Indonesia

1.1 Geographical Situation

1.2 Demographic Structure of Indonesia

1.3 The Economic Situation in Indonesia

1.4 Minimum Wage in Indonesia 2014-2023

1.5 Impact of COVID-19 on the Furniture Industry in Indonesia

 

2. Overview of Indonesia Furniture Industry

2.1 History of Indonesia Furniture Industry Development

2.2 FDI in Indonesia Furniture Industry

2.3 Social Environment of Indonesia Furniture Industry

2.4 Policy Environment of Indonesia Furniture Industry

 

3. Indonesia Furniture Industry Supply and Demand Situation

3.1 Indonesia Furniture Industry Supply Situation

3.2 Indonesia Furniture Industry Demand Situation

 

4. Indonesia Furniture Industry Import and Export Situation

4.1 Indonesia Furniture Industry Import Situation

4.1.1 Import Volume and Import Value of Indonesia Furniture Industry

4.1.2 Main Import Sources of Indonesia Furniture

4.2 Indonesia Furniture Industry Export Situation

4.2.1 Export Volume and Import Value of Indonesia Furniture Industry

4.2.2 Main Export Destinations of Indonesia Furniture

 

5. Cost Analysis of the Indonesia Furniture Industry

5.1 Cost Analysis of Indonesia Furniture Industry

5.1.1 Labor costs

5.1.2 Cost of raw materials

5.1.3 Other costs

5.2 Price Analysis of Indonesia Furniture

 

6. Market Competition of Indonesia Furniture Industry

6.1 Barriers to entry in the Indonesia Furniture Industry

6.1.1 Brand Barriers

6.1.2 Quality Barriers

6.1.3 Capital Barriers

6.2 Competitive Structure of Indonesia Furniture Industry

6.2.1 Bargaining Power of Upstream Suppliers

6.2.2 Consumer Bargaining Power

6.2.3 Competition in Indonesia Furniture Industry

6.2.4 Threat of Potential Entrants

6.2.5 Threat of Substitutes

 

7. Analysis of Top 10 Furniture Brands in Indonesia, 2023

7.1 Raisa House of Excellence

7.1.1 Corporate Profile of Raisa House of Excellence

7.1.2 Annual Revenue of Raisa House of Excellence in Indonesia

7.2 PT VIVERE Multi Kreasi

7.2.1 Corporate Profile of PT VIVERE Multi Kreasi

7.2.2 Annual Revenue of PT VIVERE Multi Kreasi in Indonesia

7.3 PT. Chitose Internasional Tbk.

7.3.1 Corporate Profile of PT. Chitose Internasional Tbk.

7.3.2 Annual Revenue of PT. Chitose Internasional Tbk. in Indonesia

7.4 Lio Collection

7.4.1 Corporate Profile of Lio Collection

7.4.2 Annual Revenue of Lio Collection in Indonesia

7.5 IKEA Indonesia

7.5.1 Corporate Profile of IKEA Indonesia

7.5.2 Annual Revenue of IKEA Indonesia

7.6 Republic Furniture Group

7.6.1 Corporate Profile of Republic Furniture Group

7.6.2 Annual Revenue of Republic Furniture Group in Indonesia

7.7 Posteak Furniture

7.7.1 Corporate Profile of Posteak Furniture

7.7.2 Annual Revenue of Posteak Furniture in Indonesia

7.8 Wisanka Indonesia

7.8.1 Corporate Profile of Wisanka Indonesia

7.8.2 Annual Revenue of Wisanka Indonesia in Indonesia

7.9 Informa

7.9.1 Corporate Profile of Informa

7.9.2 Annual Revenue of Informa in Indonesia

7.10 Pijar Sukma

7.10.1 Corporate Profile of Pijar Sukma

7.10.2 Annual Revenue of Pijar Sukma in Indonesia

 

8. Indonesia Furniture Industry Outlook, 2024-2033

8.1 Analysis of Factors Influencing the Development of the Indonesia Furniture Industry

8.1.1 Drivers and Development Opportunities

8.1.2 Threats and Challenges

8.2 Supply Forecast of Indonesia Furniture Industry, 2024-2033

8.3 Demand Forecast of Indonesia Furniture Industry, 2024-2033

8.4 Import and Export Forecast of Indonesia Furniture Industry, 2024-2033

 

 

LIST OF CHARTS

Chart Total population of Indonesia 2013-2023

Chart GDP per capita in Indonesia 2013-2023

Chart Furniture Industry Related Policies Issued by the Indonesia Government 2018-2024

Chart Market size of furniture industry in Indonesia

Chart Domestic consumption in the furniture industry in Indonesia 2018-2023

Chart 2019-2023 Indonesia furniture industry imports

Chart 2019-2023 Indonesia furniture industry import amount

Chart 2019-2023 Indonesia furniture industry importers and import value

Chart 2019-2023 Export volume of Indonesia’s furniture industry

Chart 2019-2023 Export value of Indonesia’s furniture industry

Chart Exporting countries and export value of Indonesia’s furniture industry in 2019-2023

Chart 2024-2033 Indonesia furniture industry production forecast

Chart 2024-2033 Indonesia Furniture Market Size Forecast

Chart 2024-2033 Indonesia furniture industry import forecast

Chart 2024-2033 Export forecast for Indonesia’s furniture industry

 

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