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18    FOCUS                                                                       JUL/AUG 2026 FDM ASIA | www.fdmasia.com






         GX Outdoors                                         such as forest boundary clarity, land-use overlaps, community
                                                             benefit distribution, licensing, investment facilitation, business
                                                             operations and market dynamics.
                                                                Beyond technical adjustments the revision aims to align
                                                             forest use with ecosystem restoration while transforming
                                                             governance into a more simplified, digital and trust-based

                                                             system involving government, communities and permit holders.


                                                             Germany urged to support finalisation of the Economic
                                                             Partnership Agreement
                                                             President Prabowo Subianto has urged Germany to support
            A revised Forestry Bill is expected to strengthen legal   the rapid finalisation  of the Indonesia–European  Union
          certainty, accelerate conflict resolution, support carbon market   Comprehensive Economic Partnership Agreement (IEU-
          development and promote sustainable forest management   CEPA), stressing that the deal would bring tangible benefits
          that benefits both the environment and local communities.  to businesses for both regions.

                                                                The IEU-CEPA, which is targeted for ratification in the
          Data-Driven forest governance                      second half of 2026 and entry into force in 2027, aims to
          The Minister of Forestry, Raja Juli Antoni, has launched the   eliminate tariffs on more than 98 percent of traded goods
          ‘Jaga Rimba Decision Support System’ (DSS), a digital platform   and expand cooperation in trade, services and investment.
          aimed at  strengthening  data-driven  forest governance  and
          improving decision-making across the forestry sector. The   Plywood Industry is facing turbulent international trade
          initiative is part of the ministry’s broader digital transformation   APKINDO has said Indonesia’s plywood sector is facing

          agenda designed to provide faster, more accurate and   one of its most challenging periods in the last decade with
          transparent information.                           production and exports declining significantly.
            The ‘Jaga Rimba’ DSS integrates geospatial information from   National plywood production reached 971,000 cubic
          across the Ministry of Forestry and its nine directorates general   metres for the year to April 2026, down 22 percent from the
          providing a basis for policymaking and forest management.  same period in 2025 while exports fell from US$441 million
                                                             to US$324 million in the first quarter.
          Refining the Multi-Business forestry concept          Reduced natural forest log supply, which declined by about
          The Ministry of Forestry is refining the Multi-Business Forestry   20 percent year-on-year, has constrained production leading
          (MUK) concept through revisions to Ministerial Regulation No.   to a projected annual output of only 2.8 million cubic metres,

          8 of 2021 on forest governance planning and the utilisation   the lowest level in ten years.
          of protected and production forests.                  Export volumes in the first quarter dropped nearly 30 percent
            The update is intended to strengthen the implementation   year-on-year to 670,000 cubic metres with Asia remaining the
          of MUK after five years, ensuring it better meets its intended   largest destination, accounting for 57 percent of shipments.
          goals in managing forest use and governance.          However, Europe emerged as a bright spot, as exports
            Director General of Sustainable Forest Management,   to the EU increased 34 percent in volume and 21 percent
          Laksmi Wijayanti, said the revision will address key issues   in value, while exports to the UK rose 38 percent and 45
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