Ambar Tjahyono - Illegal Logging Portal

The Readiness of Asmindo Member for SVLK
Implementation
Presented by :
Ambar Tjahyono
Asmindo (Indonesia Furniture Industry & Handicraft Association)
1
BACKGROUND
Asmindo was founded in 1988 by a group of furniture and handicraft
manufacturers who realized the importance of having an association to
strengthen their existence in the global market.
Where We Are
ASMINDO consists of 24 regional offices spread throughout Indonesia,
with the number of members have reached 3000 companies in year
2013, of which 80% SMEs
2
MAP OF WOOD INDUSTRY IN INDONESIA
Source of raw
material’s (wood,
rattan) & wood
processing
OUTSIDE OF JAVA ISLAND
Kalimantan
Sulawesi
JAVA ISLAND





Papua
Furniture industries
& craft center
Furniture and handicraft as part of culture
Distinctive styles of woodcarving in certain areas of Indonesia
Clusters of solid wood and rattan furniture production (Java and Bali)
Wood processing industries (Sumatera, Kalimantan, Sulawesi and Papua)
Furniture industry absorbed around 4 million peoples dirrect and indirrect
labour
INDONESIA GOVERNMENT POLICY
Totally
Banned Log
Exports
Encouraged to Export
Finished Goods, such as:
Furniture, Flooring, Doors,
Veneer, Plywood etc.
SVLK / TLAS
(Timber Legality Assurance System)
SVLK stands for Sistem Verifikasi Legalitas Kayu or Timber Legality Assurance System. The
policy has been issued since June 2009. The implementation will be start on January 2014 (for
wooden furniture product) .
Policy
•Forestry Ministerial Regulations Republic of Indonesia : P.38 / Menhut – II / 2009 ; P.31 /
Menhut – II / 2010 ; P.68 / Menhut – II / 2011 ; P.45 / Menhut – II / 2012
•Other international & national standards related to SVLK :
ISO 17021 ; ISO 17020 ; ISO Guide 65 ; DPLS 13 (version.0) ; DPLS 14 (final version) ; and
ISO 9000
Accreditation Body
•Accreditations Body for SVLK is National Committee on Accreditation (Komisi Akreditasi
Nasional), known as KAN. (see http://www.bsn.go.id/kan/profile.php?&language=en)
•The main task of KAN is to award accreditation to certification bodies (such as those related to
quality system, products, personnel, training, environment management system, HACCP
system and forest conservation management system), test/calibration laboratory as well as
inspection and accreditation of standardization of other fields in accordance with the
requirement, and to give advices to the head of BSN (National Standardization Agency of
Indonesia) in setting up accreditation and certification systems.
V-LEGAL
Standard Logo
What we already have achieved so far
 Working with wood farmers to plant teak in Wonosari, Yogyakarta.
 ASMINDO has started collaboration with international Certification
Bodies such as SmartWood, SGS, SCS, TUV Rheinland, and other
prominent organizations such as LEI, TFT and WWF.
 ASMINDO has launched Asmindo Certification Care who is currently active
to support members who require VLO/FSC certification.
7
ASMINDO CERTIFICATION CARE
Background of ACC
 ACC was initiated and launched as a joint program by SENADA/USAID program with ASMINDO
in 2007.
 The growing international market demand for product with legal verification or higher
certification.
 Capacity building to ASMINDO as to be qualified to perform technical assistance in chain of
custody practices , both legal verification and or other higher certification.
 Providing support to ASMINDO members to produce environmentally friendly products and to
access global green market.
8
The Service we offer :
VLO ( Verification of Legal Origin )
TLTV ( Timber Legality and Traceability Verification )
FSC CoC ( Forest Stewardship Council ) Chain of Custody
SVLK ( Sistim Verifikasi Legalitas Kayu )
PEFC ( Program for the Endorsement of Forest Certification )
SVLK
9
Stages of our Technical Assistance
Identification/Gap Analysis
Establishing Standard Operational Procedure (SOP)
and Work Instruction (WI)
In-house Training
Establishing Traceability system
Internal Audit
Certification by third party Certification Body
10
Achievement
More than 100 companies have achieved legal verification and or higher
certification in west java, central java, Yogyakarta, and East java.
11
Challenges
For Example :
1. The SVLK requires :
a. All the producers to have a valid AMDAL ( Environmental Impact Analysis
) or UKL and UPL ( Environmental Management Plan ) document.
b. Has a Business permit
2. Has the SVLK been recognized market ?
12
INDONESIA FURNITURE INDUSTRY SITUATION
 The furniture industry is highly oriented towards user’s taste
 It is a must to follow market trend and meeting the user’s taste make
sure their products attract buyers.
 In anticipating the various demand from user / buyer, producers should
offer and find various alternatives for furniture materials, including
different types of timber.
INDONESIA FURNITURE INDUSTRY SITUATION
 It should be noted that the domination of
china’s products in Indonesia’s domestic
market is above products from other
countries
 Indonesian
furniture
industry
is
dominated by two main materials which
are timber and rattan, where the export
trend of Indonesia is still showing
positive, although there has been a 10%
decrease 2012 due to the global crisis,
but our data until June 2013 already
record an increase of 7%, and ASMINDO
targeted that by end of 2013 this trend
will continue to increase up to 10%
compared to last year.
ASMINDO STRATEGY TO ENTER THE WORLD
MARKET
 One of the strategy is by using
alternative timber materials and offering
new designs to meet the market demand
in the countries targeted for export.
 Since 2007, ASMINDO has been
campaigning for ‘green product’ concept
which means furniture products with ecolabeling.
 For this ASMINDO has been cooperating with
Smartwood/FSC to produce certified
products
 This cooperation was the embryo of the
ASMINDO Certification Centre (ACC)
which role will be to provide services and
assistance to ASMINDO members in
expediting the process for improving
system for raw materials management in
the company based on an international
standard.
ASMINDO STRATEGY TO ENTER THE WORLD
MARKET
 For promotion, ASMINDO also organized an International furniture and handicraft
exhibition. These are: the International Furniture and Craft Fair Indonesia (IFFINA)
held in March each year since 2008 to coincide with the furniture and handicraft
exhibition round in the South Eastern Asia countries.
ASMINDO STRATEGY TO ENTER THE WORLD
MARKET
• In the March 2013 IFFINA, we recorded 4,000 buyers attendance
coming from 115 countries, with a total transaction of approximately
US$450 million or about 17% of the 2013 furniture and handicraft
target export.
• It is expected that by the end of 2013, ASMINDO will be able to reach
the value of US$ 2.65bilion as we had achieved before the global
crisis.
ASMINDO STRATEGY TO ENTER THE WORLD
MARKET
 To improve design, ASMINDO continue to
cooperates with universities in Indonesia
and overseas, such as with a design institute
in Spain etc.
 ASMINDO also has a lot of cooperation with
international organizations to promote
furniture produced by its members.
CONCLUSION
Based on the experience to implement legal verification and
other certification system, we are sure that ASMINDO
members are ready to embrace and adopt SVLK as a nation
initiative to help reduce illegal logging
19
TQ
20