Indonesia is a new rising source country for furniture importers. Before, if we talked about where to import furniture from, China is the first country that comes into most people’s minds. The cheap price and large selections of products are the two main reasons why China is on the top for it.
However, Pandemic Covid-19 forced the importers to apply the strategy “China plus one” to prevent the same situation from happening in the future.
Compared with China, Indonesia is rich in its natural resources and has various selections of products as well, especially in the furniture and home décor industry. From indoor to outdoor, from teak to rattan, from wicker to natural fiber, just mention it and you can easily find it in Indonesia. Importing furniture and home décor in Indonesia can be a game-changer for the importers. Abundant raw materials become one of the considerations why moving your supply chain to Indonesia is a great decision.
Furthermore, there are several reasons why importing furniture and home décor in Indonesia can be the solution for you, as follows:
Cheap Price
Cost is one of the main considerations when importing goods. Material cost, worker wages, import duties, taxes, shipping costs, and sometimes several hidden costs, can affect the price of your product. The low labor cost in Indonesia also gives the chance for the manufacturers to reduce overall production costs. Thus, will give your company a chance to make more profit from selling the furniture and home décor you bought from Indonesia.
The human capital
One of Indonesia’s greatest assets is its human capital. Indonesia is on the fourth rank of the largest population in the world. According to Indonesia statistics, the Indonesian population in 2020 is almost 271 million people and 70,72% of it is in a productive age (15-64 years old).
This situation will bring several benefits for the manufacturers, such as a faster production time and more competitive products.
As a matter of fact, human capital is an asset for the company. A competent and skilled human resource will allow the manufacturers to develop their products in terms of model and quality to be able to compete in the market.
The unlimited raw material sources
Indonesia is well known for its forests. The forests of Indonesia are the third-largest tropical forests in the world. Furniture materials such as bamboo, rattan, and wood are almost unlimited in Indonesia. That becomes an added value for the importers because they have nothing to worry about the raw material.
Also, most of the furniture manufacturers in Indonesia hold the SVLK and FSC certificates which indicates that they are using only legal wood in producing their products. Buying from a certified furniture supplier in Indonesia will also bring you more profit as the “green” furniture trend is up lately.
How to get started?
Indonesia is indeed a new option for importing furniture and home décor. The country offers competitive advantages for buyers, yet it is quite challenging as well, especially in finding new reliable suppliers as Indonesia has a bunch of manufacturers.
However, don’t let it stop you. Excellencial works as your eyes and ears work in the ground to make sure that your supplier meets all of your quality standards. You have to ensure every detail of your potential supplier, including the legal documents (licenses, certificates, etc.) they hold. This is necessary to avoid the problem with the regulation of the target country and also save you from a scam or wasting time with a fraud company.
Conducting a Factory audit in Indonesia will help you to know more about your potential supplier including the certifications they hold in order to give more added value to the products you sell. It is crucial because it will influence your selling and revenue.
Excellencial’s Factory Audit service in Indonesia is based on the ISO 9001 standard. It brings you several advantages, including the information about scams and inexperienced vendors, comparing potential vendors and selecting reliable sources, checking the needed certificates and licenses for the specific factories, and checking the factory’s experience in manufacturing your products.
Contact us for more information about the Factory audit and other types of audits in Indonesia.