The Indonesian Furniture and Crafts Industry Association ( Himki ) is visiting a furniture factory in Vietnam, Minh Duong Furniture Corporation, Monday (11/25).
The company which was founded in 2002 has successfully exported to various countries such as the United States (US), United Kingdom (UK), Australia and several other European countries.
Secretary General Himki Abdul Sobur said the main purpose of the visit was to study how the furniture industry in Vietnam was able to export quite a lot in recent years.
In 2018, Vietnam’s furniture sector reached USD 9 billion. This figure is far compared to the export realization of Indonesia’s furniture sector which was only USD 1.7 billion in the same year.
“This visit is not just a visit. We want to learn how the furniture industry in Vietnam is very advanced. Many factories from China are relocating factories here. Including regulations supporting the local government,” he said when met in Ho Chi Min City, Vietnam .
In addition, Sobur revealed, Vietnam became the single largest furniture producer in Southeast Asia or number seven in the world.
Meanwhile, Minh Duong Furniture Corporation’s Business Development Director, Tracy Tue Duong, said that the Vietnamese government had provided regulations for businesses. The ease of regulation is one of them evident from the relocation of furniture factories from China to Vietnam.
“Many factories from China have moved here. Because of the problem, our workers’ costs are still competitive,” he added.
In addition, the woman who is also part of the Executive Member of the Handicraft and Wood Products Association of Ho Chi Min City (Handy Craft and Wood Product) also admitted that the government has opened the best investment opportunities, including the regional government, if it is indeed profitable.
“We do not make (rules) that are detrimental to investors. We provide something very flexible for foreign investment. Then depending on the location or area in which he will invest , then when you can give jobs to local people they will be very serving (investors). Like, building factories because they will provide jobs for local people, “he said.
Based on Himki’s notes , China became the largest furniture producer with a production value reaching USD 192 billion, then the United States (US) of USD 64 billion, followed by Germany at USD 22 billion, Italy at USD 20 billion, India at USD 16 billion, Poland at USD 15 billion throughout the year 2018.
Source : https://kumparan.com/