Behind the Scene Market

Event on boosting trade of Indonesia’s certified wood products successfully held in Jakarta

To improve the market access and trade for sustainable wood from Indonesia, FSC cooperated with APHI (Asosiasi Profesi Hukum Indonesia) and The Borneo Initiative (TBI) and support its the fourth International Trade Event on 6 March 2018 in Hotel Mulia Jakarta. It attracted more than 100 participants, including government representatives, international buyers, forest concession and wood processing suppliers who most of them are FSC-certified, and organisations such as WWF and Tropical Forest Foundations to attend, discussing joint actions to improve market access and export for Indonesia’s certified wood products.

The event, which consisted of a series of seminar and a roundtable discussion, was opened by the Vice chairman of APHI Iman Santoso. Tuti Prahastuti, the Director Export of Agriculture and Forestry Product, Directorate General of Foreign Trade, Ministry of Trade, gave a keynote speech on Indonesian government’s promotion on export, followed by the Director General of Sustainable Forest Management of the Ministry of Environment and Forestry, I.B. Putera Parthama, on the importance of exports promotion for Indonesia’s forest sector.

Adam presenting
Adam Beaumont, Regional Director, FSC Asia Pacific, presenting in the seminar session.

The anticipation of an increase in export volume of timber, which the government has set an 11 per cent growth target, can become an excellent business opportunity to strengthen Indonesia’s role in the global market. “Today we are in the era of a paradigm that we must buy more of sustainable tropical wood, and Indonesia is the largest puzzle of certified forest in the Asia Pacific,” said Adam Beaumont, Regional Director, FSC Asia Pacific. “We’re hoping that certified timber can contribute to 11% of the export target.” Paul van den Heuvel is the Director of Netherland Timber Trade Association which represents for more than half of the import sawn timber and panel products. He stated that an increasing amount of timber is being used for building and construction for its aesthetics and durability. It is a key criterion to ensure that the material is produced sustainably. Benoit Jobbé, the General Manager of ATIBT (Association Technique Internationale des Bois Tropicaux – International Tropical Timber Technical Association), shared the experience on promoting certified tropical timber from Africa.

No success will come without challenges. Participants also discussed the obstacles that FSC certificate holders face today, such as costing for certification and promoting their certified products. The case is particularly common to SMEs, said Ivan Hartono, the General Manager of PT. Sumber Mas Plywood.  “The challenge is how we can help the small enterprises and how we can add value to the entire business chain, where the forest, industry, small industry, developers, retailers, can be part of the collective efforts to bring more awareness of FSC.”

The Asia Pacific region is expected to be a key driver with its increasing export volume for FSC certified material. As in March 2018, 3.3 million hectares of Indonesian forests are certified by FSC, and 2.7 million hectares among them are natural production forest concession, which is equivalent to 20 per cent of total natural forest production area in Indonesia.

Awarding of FSC Trophy from TBI to 10 Indonesia FSC CH
TBI awarded 10 Indonesian FSC certificate holders on their work on responsible forestry.

FSC would like to thank all participants for contributing such valuable information, and would also like to specially thank TBI on supporting forest concessions in Indonesia to get FSC certification. We are looking forward to giving more strategic support to improve export of sustainable wood from Indonesia to the global market.

Visit FSC Indonesia website: https://id.fsc.org/id-id

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