Page 21 - FDMAsia SepOct 2025
P. 21
FOCUS 19
www.fdmasia.com | FDM ASIA SEP/OCT 2025
He said exports contributed RM7.183 billion, signifying INDONESIA
strong demand for Malaysian timber products while imports Contribution of manufacturing to economy dips
stood at RM 2.767 billion, reflecting healthy domestic use The Indonesian Furniture and Handicraft Industry Association
and a well-connected supply chain. (HIMKI) has raised concerns about the declining share of the
Wooden furniture took the lead in exports bringing in manufacturing sector in the nation's GDP, as it has fallen from
RM3,083 million, followed by plywood (RM742.5 million), 28 percent in 2010 to below 19 percent currently.
sawn timber (RM582.5 million) and fibreboard (RM210 million). The furniture and handicraft sectors, despite their importance
Zainal also pointed out material shortages as ‘a significant to the creative economy are particularly affected by this
hurdle’, with Malaysia importing up to 60 percent of its raw downturn. The sector faces many challenges, including high
materials such as timber, hardware and fabrics. production and logistics costs, dependence on imported raw
Zainal continued saying that Sarawak’s timber export materials, hurdles to access financing and fierce international
earnings reached RM2.84 billion last year, a slight drop from competition.
RM3.14 billion in 2023. The Association emphasised the need for an integrated
“Sarawak, despite its rich timber resources, exports raw approach, including developing industrial clusters, prioritising
wood rather than finished products thus limiting value-added design and utilising international trade fairs for promotion.
opportunities. In addition, our industry relies heavily on foreign Despite the challenges HIMKI sees several growth
workers which affect skills retention and innovation. Locally, there opportunities, particularly over the next five years. The global
is a shortage of skilled craftsmen and designers, which slows trend toward sustainability and eco-friendly products presents
productivity and the adoption of new technologies”, he said. a new market for furniture made from materials like bamboo
and rattan.
Training future foresters Additionally, trade agreements such as the Indonesia–European
Nineteen postgraduate students from Universiti Malaysia Union Comprehensive Economic Partnership Agreement (IEU-
Sabah (UMS) completed a four-day intensive training workshop CEPA) could provide tariff benefits for Indonesian goods.
aimed at empowering the younger generation to understand The Chairman of HIMKI has said a fundamental "mental
sustainable forest management and biodiversity conservation. transformation" is necessary on the part of entrepreneurs. He
The high-impact training, GIS & Statistical Analysis Training stressed that the industry's habit of copying designs from
Workshop was held through a special collaboration between buyers or other producers creates an image of ‘low-cost
UMS and the Sabah Environmental Trust (SET), a local non- factory’ rather than a hub of creativity leading to businesses
governmental organisation.
Dr. Elia Godoong, a Senior Lecturer at the Faculty of
Tropical Forestry, UMS and one of the workshop trainer Nick Brundle Photography
on statistics said the participants were introduced to both
technical and practical skills essential for forest management
and biodiversity conservation.
The participants also learned to use advanced geospatial
technologies such as Geographic Information Systems (GIS), as
well as big data analytics and statistical modelling approaches
using R software.

