Furniture craftsmen and local products in Jepara

Indonesia Furniture - Furniture craftsmen and local products in Jepara, Central Java, facing bankruptcy as a result of foreign investment has invested effort to produce the same product. They assess the free market makes them less competitive in its own area, mainly due to less capital.

"The entry of large investors from abroad make us lose everything. Capital and labor markets they bought all, "said Director of Ethnic Furniture Jepara , Sahli Rais, Tuesday, February 11, 2014.

According Sahli, a large influx of investors through investments in Jepara furniture and Indonesia furniture making local entrepreneurs degraded profession. Differences big capital with local entrepreneurs that make them fall even not able to meet the world market due to lost orders.

"Differences in the domestic capital with high interest rates, while foreign entrepreneurs get funding from the soft floral country," said Sahli added.

Not infrequently, the current status of many exporters declined into sub-exporters of foreign businessmen who are in Jepara. While suppliers and craftsmen in the villages became laborers in foreign companies have opened factories in Jepara. Suppliers usually so small skipper in town now so the foreman at the factory. Workers have been recruited foreign entrepreneurs who have big order.

A number of foreign companies have factories in Jepara that include German, China, South Korea and Japan. They have the ease of buying raw materials such as wood logs to be processed immediately. Local entrepreneurs compete in the purchase of raw materials, labor and overseas markets that have been dominated by foreign businessmen.

If this condition continues, Sahli explained, Jepara residents will be workers in a number of large companies that have been owned by foreigners. Noted there are hundreds of original Jepara exporters started to slow down. They become sub-exporters to large companies, in fact rarely sell materials for the production of inter-island furniture products are manufactured not acceptable that foreign businessmen. "While the level of small business artisans in villages close of business into labor," he said.

Sahli states have already filed a draft local regulations that restrict investment in Jepara. One investor accommodate all its contents are typical of Jepara furniture products produced local artisans.

Chairman of the Association of Indonesian Furniture and Handicraft (Asmindo) Central Java, Anggoro Ratmodiputro, confirming that condition. According to him, the high export value of furniture and furniture that is actually enjoyed by foreign businessmen. "It could be that most products are shipped to foreign-owned foreign companies from Central Java," said Anggoro.

Anggoro never suggested that the government refused foreign investors who want to invest in a low-tech, such as furniture and furniture factories. According to him, the investment that companies with low technology so far has been occupied by a local businessman. "If it please the high technology investment, we can actually learn from them. But if we are displaced furniture sector, "explains Anggoro.

He accused the government too much indulgence in the entry of foreign capital over the years. The government assessed only after the high export value, but the benefits it is not enjoyed by local entrepreneurs.

Thu, 10 Jul 2014 @13:01
Tags: furniture


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