Rabu 11 Sep 2013 09:00 WIB

Rattan export gets 'blessing in disguise' from the weakening IDR

Rep: Lilis Handayani/Mutia Ramadhani/ Red: Yeyen Rostiyani
A worker furnishes rattan chair in a workshop. (Illustration)
Foto: Republika/Wihdan Hidayat
A worker furnishes rattan chair in a workshop. (Illustration)

REPUBLIKA.CO.ID, CIREBON - Weakening IDR against USD brings another benefits for employers of rattan furniture in Cirebon regency, West Java. Chairman of Public Workers Craftsmen Rattan Indonesia (MPPRSI), Badrudin said most of rattan furniture exporters had some profit increase.

"Weakening IDR has positive impact for rattan furniture business," Badrudin said recently.

A container of rattan furniture that is exported usually giving profit about nine thousand to 10 thousand USD. With difference of exchange rate against USD, the price increases up to 1,500 IDR per USD. The overseas orders also bloom, the similar condition to 1998's crisis.

Yet, Badrudin admitted that the benefit gained from the weaking IDR would not last long. Many finishing items of rattan manufacturing are imported so the weakening IDR also means the increasing prices of those imported items.

Chairman of Indonesian Furniture and Handicraft Industries Association (Asmindo), Sumartja said the value of USD had positive impact to Cirebon rattan industry such happened in 1998. While many industry sectors collapsed, Cirebon rattan industry experienced its opposite. 

Cirebon is known as center of rattan furniture in Indonesia. This city exports about two thousand to four thousand containers of rattan per month. 

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