UB Encourages Strengthening the Domestic Market for Wood Processing

The Faculty of Agriculture, Universitas Brawijaya (FPUB) took an important role in encouraging the strengthening of the national processed wood industry by hosting a comprehensive Focus Group Discussion (FGD) on Tuesday (26/6). Delivered by the Project Coordinator Dr. Rina Kristanti, S.hut., M.Sc., This FGD is part of the ITTO PD 928/22 Rev. Project. 1 (I) which aims to develop a comprehensive national strategy in order to increase the competitiveness of processed wood products in the domestic market.

“The processed wood industry has a strategic role in national economy, not only making a significant contribution to GDP, but also absorbing a lot of labor and encouraging economic growth in various sectors,” said Prof. Mangku Purnomo, S.P., M.Si., Ph.D as Dean of FPUB.

In his speech, the Dean of FP UB emphasized the importance of this industry for the Indonesian economy. Also highlighting the various challenges faced by this industry, both in terms of production and marketing, and stating FPUB’s commitment to continue contributing to the sustainable development of the forestry sector.

This FGD was attended by various key stakeholders, including from the Ministry of Environment and Forestry (KLHK), East Java Provincial Forest Service, Perum Perhutani, East Java Disperindag, wood industry associations, as well as academics and practitioners in the forestry sector. The presence of these various parties shows a shared commitment to strengthen the national processed wood industry.

Dr. Sudarmalik, S.Hut., M.Si, Head of Sub-Directorate for Forest Product Processing Development KLHK, representing the Director of Forest Product Processing and Marketing Development KLHK, said in his speech that this project was a good initiative to understand the domestic market for processed wood.

“Through this project, we will optimize the study of the advantages and challenges in the domestic wood industry while looking for alternatives amidst the sluggish export market in recent years,” he said.

This FGD discussed various crucial issues related to the processed wood industry. The research results of this project validate that the domestic market is a very potential market for the national wood industry. The discussion focused on strategies to increase the competitiveness of processed wood products in the domestic market, including through product innovation, quality improvement and production efficiency. In addition, strengthening institutions and coordination between stakeholders is also a main concern.

Prof. Dr. Ir. Bramasto Nugroho, M.Si., National Consultant for this activity, explained the preliminary results of the study which showed the potential for a large domestic market for processed wood in Indonesia.

“Even though processed wood production is greater than substitute products, the domestic market is still dominated by substitute products. This shows that there is a big opportunity to increase the market share of processed wood products in the domestic market.” he said.

It is hoped that this FGD can produce the formulation of a comprehensive and implementable national strategy for developing the domestic market for processed wood products. It is hoped that this strategy can become a reference for stakeholders in advancing the processed wood industry in Indonesia. [fpub/pon/UB PR/ Trans. Iir]