The Indonesian Rattan Businessmen Association (APRI) added that domestic consumption of rattan stands at about 40,000 tonnes per year, while production has reached 696,000 tonnes per year. Moreover, rattan processing in the country has declined over the few years, further weakening the demand for rattan.
The Ministry of Trade Indonesia enforced the regulation on trade and export of rattan on 11 August 2009. The regulation outlines the export ban of several species of rattan as well as limits the export volume of semiprocessed rattan to 35,000 tonnes. Furthermore, the regulation also requires that rattan producers and suppliers must obtain letters of approval from the local rattan industry declaring that they have met and satisfied the requirements of the local rattan market.
According to the APRI, the exports of rattan in excess of actual domestic production of finished rattan products should be facilitated. In addition, the requirement of a letter of approval is open to abuses and should be issued by governmental authorities instead of local industry bodies, says the APRI.
Indonesia exported a total of US$138 million worth of rattan products in 2010, down 21.5% from US$168 million recorded in 2009. Indonesia accounts for 82% of the world’s total rattan production and there are 300 rattan species found across the country.
Housing construction on the rise
The domestic timber industry and building material suppliers are reportedly benefiting from the integration of housing and development projects with economic growth centres in and around Jakarta.
In 2010, the Indonesian construction and housing sector grew 15%–20% from the level in 2009. Demand for housing from the middle-class and upper middle-class grew by 57% as incomes and living standards improved in the urban areas.
According to analysts, the only setback to the growth is the interest rates for housing loans which have to be scaled back in order to further stimulate the economy.
Indonesia Log Prices |
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Indonesia logs, domestic prices | US$ per m³ | |
Plywood logs | Face Logs | 207-250 |
Core logs | 189-222 | |
Sawlogs (Meranti) | |
201-262 |
Falcata logs | |
165-199 |
Rubberwood | |
81-85 |
Pine | |
180-221 |
Mahoni (plantation mahogany) | |
489-518 |
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Indonesia Sawnwood Prices | ||
Indonesia, construction material, domestic | US$ per m³ | |
Kampar (Ex-mill) | AD 3x12-15x400cm | 194-213 |
KD | 212-246 | |
AD 3x20x400cm | 233-256 | |
KD | 235-264 | |
Keruing (Ex-mill) | AD 3x12-15x400cm | 247-261 |
AD 2x20x400cm | 235-253 | |
AD 3x30x400cm | 217-236 | |
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Indonesia Plywood Prices | ||
Indonesia ply MR BB/CC, FOB | |
US$ per m³ |
2.7mm | |
414-471 ⇑ |
3mm | |
371-412 ⇑ |
6mm | |
350-392 ⇑ |
MR Plywood (Jakarta), domestic | ||
9mm | |
269-280 ⇑ |
12mm | |
261-271 ⇑ |
15mm | |
251-265 ⇑ |
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Other Indonesia Panel Prices | ||
Indonesia, Other Panels, FOB | |
US$ per m³ |
Particleboard | Export 9-18mm | 230-239 |
Domestic 9mm | 209-221 | |
12-15mm | 203-214 | |
18mm | 195-207 | |
MDF | Export 12-18mm | 263-276 |
Domestic 12-18mm | 245-257 | |
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Indonesia Added Value Product Prices | ||
Indonesia, Mouldings, FOB | |
US$ per m³ |
Laminated Boards Falcata wood | 312-325 | |
Red Meranti Mouldings 11x68/92mm x 7ft up | ||
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Grade A | 503-537 |
Grade B | 459-481 |