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Freerange Stoc II RBP, he stated that Indonesia is committed to protecting
Speaking at the initial meeting for the REDD+ GCF Phase

its forests and supporting community welfare and welcomes
global involvement.

In other news, Minister Raja Juli Antoni is promoting the
integration of the forestry sector into Indonesia's carbon trading
scheme as part of efforts to rehabilitate degraded land and
reduce deforestation.
He emphasised the urgency of revising Presidential Regulation
No. 98 of 2021 to facilitate the opening of a voluntary carbon
competing mainly on price. market thus enabling private sector investment.
Additionally, a focus on quantity over quality and a lack With around 6.5 million hectares of degraded land in
of collaboration among businesses weaken the industry's need of rehabilitation, the Minister believes that allowing

international position. private participation in carbon trading will not only support
environmental goals but also generate state revenue through
To grow, furniture and woodworking industries need the taxes and related mechanisms.
latest technologies
Erie Sasmito, the General Chairman of the Indonesia Furniture 400,000 hectares designated as Customary Forests
& Craft Promotion Forum (IFPF) is urging enterprises to adopt The Ministry of Forestry has designated 400,000 hectares
modern technology to expand business and improve global of land as Customary Forests to recognise and protect the

competitiveness. rights of indigenous communities.
He said “utilising the latest technology can make the According to the Minister these actions are intended
industry more efficient and better equipped to handle tough to provide legal certainty and protection for indigenous
global competition”. communities over their ancestral lands which have been
The Secretary-General of the Indonesian Sawmill and managed sustainably for generations.
Woodworking Association (ISWA), Choiril Muchtar, added The Minister emphasised that this achievement is a result
that only an estimated 24 percent of the industry's potential of strong synergy between national policy, various stakeholders
has been exploited. and indigenous communities.
He noted that new machinery and technology can help

reduce raw material costs which typically make up 40-60 Furniture industry—a significant downturn in the second
percent of total production costs while simultaneously boosting quarter of 2025
productivity and product quality. The Indonesian furniture industry experienced a significant
downturn in the second quarter of 2025 with its contribution
Indonesia welcomes foreign support for forest to GDP contracting.
rehabilitation According to the Indonesian Furniture and Craft Industry
Indonesia's Forestry Minister, Raja Juli Antoni, announced that Association (HIMKI) this deep contraction was due to a

the country is open to international collaboration and funding combination of factors including global geopolitical uncertainty
for forest conservation and rehabilitation. and high-interest rates that have dampened purchasing power