Value-chain dynamics: strengthening the institution of small-scale furniture producers to improve their value addition

Purnomo, Herry; Achdiawan, R.; Melati,; Irawati, R.H.; Sulthon,; Shantiko, B.; Wardell, Andrew

doi:10.1080/14728028.2013.875279

Cited by 29 publications

(27 citation statements)

References 6 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Research related to the wooden-furniture industries in Central Java (under project FST/2007/119) generated positive economic benefits for the small and medium enterprises that collaborated with the project (Melati et al 2013;Purnomo et al 2014). In contrast, research related to enhancing value-added wood processing in Papua New Guinea (under project FST/2006/120) did not achieve any apparent adoption of project outputs by the private sector (Fisher 2011).…”

Section: The Australian Centre For International Agricultural Researchmentioning

confidence: 99%

“…The value chain and wood processing research undertaken in the Jepara region of Indonesia, where there are 12 000 furniture manufacturing businesses and 120 000 workers, has facilitated formation of an industry association and generated additional markets for their furniture products (Purnomo et al 2014). In recent years, fungal diseases, such as Ganoderma and Ceratocystis, have caused significant death in tropical Acacia plantations in Indonesia.…”

Section: The Focus On Smallholder and Community Forestrymentioning

confidence: 99%

See 1 more Smart Citation

The evolution and impacts of ACIAR’s forestry research program over three decades

Bartlett

2016

Australian Forestry

View full text Add to dashboard Cite

The Australian Centre for International Agricultural Research (ACIAR) commissions collaborative agriculture, fisheries and forestry research projects in developing countries. Over a 30-year period, ACIAR has invested over AUD 100 million to fund 150 forestry projects and activities in 29 countries, with most of these projects implemented in Indonesia, Vietnam and Papua New Guinea. This article describes the approach that ACIAR uses to develop and implement projects, and reviews the nature of the ACIAR Forestry Program and its achievements during each decade of its existence. About three-quarters of the research projects have focused on aspects of smallholder and community forestry systems. The findings from a series of independent impact assessment studies, which demonstrate generally high returns on the forestry research investment, are reviewed and some examples of different categories of impacts from the research projects are discussed. ARTICLE HISTORY

show abstract

Section: The Australian Centre For International Agricultural Researchmentioning

confidence: 99%

Section: The Focus On Smallholder and Community Forestrymentioning

confidence: 99%

The evolution and impacts of ACIAR’s forestry research program over three decades

Bartlett

2016

Australian Forestry

View full text Add to dashboard Cite

show abstract

“…Teak and mahogany carving have been culturally and economically important to the region for hundreds of years, though the strength of the industry has fluctuated over time. The industry was estimated to have employed 120,000 workers and contributed 26% to Jepara's GDP in 2010 (Angarra, Purnomo et al 2014). In 2010, Jepara had more than 11,000 log parks, sawmills, ironmongeries, workshops, showrooms and warehouses (Anggara, Purnomo and Shantiko 2013).…”

Section: Introductionmentioning

confidence: 99%

“…These furniture producers sell through three channels: to finishing and exporting companies, directly to retailers, and to domestic furniture brokers. Some small-scale producers sell directly to final consumers, either through showrooms or local market sales (Roda et al 2007; see Purnomo et al 2014 for a value chain flowchart). Value from small-and medium-scale production is, however, not evenly distributed; small-scale tree producers and small-and mediumscale furniture producers are virtually excluded from high shares of the final value (Purnomo et al 2009).…”

Section: Introductionmentioning

confidence: 99%

Value Chain Approaches in a Stagnant Industry: The Case of Furniture Production in Jepara, Indonesia

Clements

Alwang

Achdiawan

2019

Bulletin of Indonesian Economic Studies

Self Cite

View full text Add to dashboard Cite

This article assesses impacts of the Jepara Furniture Value Chain project, which was intended to address challenges faced by small-scale furniture producers in Jepara, Indonesia. The assessment focuses on effects of membership in the APKJ, an association started as part of the project. Propensity score matching was used to compare differences in outcome variables for association members and matched non-members. A limited, positive impact of APKJ membership was found. Members have improved their marketing behaviors in ways that will allow them to retain more value compared to non-members. APKJ members are also more likely to have obtained certificates of timber legality. Membership in the APKJ does not have a significant effect on firm profit and there is little evidence of an industry transformation. The paper also provides a critique of indiscriminate use of a value chain approach.

show abstract

“…Examples of achievements in terms of collective action that meets the higher costs of formalization already exist and show promising positive impacts. For instance, recent experience in Jepara, Indonesia, shows that small and medium enterprise (SME) operators have been able to pool resources to meet the high cost of securing Timber Legality Verification System (Sistem Verifikasi Legalitas Kayu, SVLK) licenses (Purnomo et al 2014). However, overall progress with group certification remains slow.…”

Section: Promote Inclusion Of Small-scale Operatorsmentioning

confidence: 99%

Policy options for improved integration of domestic timber markets under the voluntary partnership agreement (VPA) regime: Synthesis from lessons learned in Cameroon, the Democratic Republic of the Congo, Ecuador, Gabon and Indonesia

Cerutti¹,

Artati²,

Dermawan³

et al. 2014

View full text Add to dashboard Cite

Synthesis from lessons learned in Cameroon, the Democratic Republic of the Congo, Ecuador, Gabon and Indonesia CIFOR infobriefs provide concise, accurate, peer-reviewed information on current topics in forest research No. 80, September 2014 cifor.org Key points• The Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan, launched in 2003, is the European Union's (EU) response to the global fight against illegal logging. In particular, FLEGT aims at reducing trade in illegal timber between the EU and timber producer partner countries.• FLEGT operates through two major instruments: bilateral trade agreements -known as voluntary partnership agreements (VPAs) -that are signed with willing producer countries, and the European Union Timber Regulation (EUTR), which came into force in March 2013. The EUTR mandates EU importers to exert due diligence in their sourcing of timber from abroad to exclude illegal supplies.• To date, six countries have signed VPAs. Among them, five have committed to apply VPA provisions regarding legality verification not only to timber imported to Europe, but also to timber traded on the domestic market in signatory producer countries. This means that timber harvested and traded on the domestic market will be regulated by national VPA licensing schemes (the so-called Timber Legality Assurance System, [TLAS]).• Cameroon, the Democratic Republic of the Congo (DRC), Ecuador and Indonesia are characterized by a large, vibrant and largely informal domestic timber sector, which supports the livelihoods of hundreds of thousands of local forest users including small-scale farmers, indigenous communities, chainsaw millers, traders and service providers such as transporters. The domestic sector in Gabon is less significant due to the country's small population and the concentration of activities in the capital. In most countries, employment in the informal sector is comparable to or higher than the formal industrial timber sector. The estimated number of informal jobs provided by the sector varies greatly among countries, from about 45,000 in Cameroon to about 1.5 million in Indonesia.• In all countries studied, the domestic timber sector is characterized by the activities of smallholders, chainsaw millers and traders, who rarely own a legal harvesting permit and extract and process small quantities of timber with chain or mobile saws. The resulting low-quality timber is traded in domestic markets or across the borders of neighboring countries, with little formal taxation. Research results indicate, however, that as the product moves along the production chain, 5-15% of the total costs incurred by informal operators are paid in bribes to representatives of ministries, local police, the military and customs officials.• By agreeing to include the domestic sector as an integral part of their TLAS, producer countries are committing to undertake broad governance reforms of the entire forestry sector. Implicitly, such reforms entail formalization of the domestic sector through monitoring, contro...

show abstract

Value-chain dynamics: strengthening the institution of small-scale furniture producers to improve their value addition

Cited by 29 publications

References 6 publications

The evolution and impacts of ACIAR’s forestry research program over three decades

The evolution and impacts of ACIAR’s forestry research program over three decades

Value Chain Approaches in a Stagnant Industry: The Case of Furniture Production in Jepara, Indonesia

Policy options for improved integration of domestic timber markets under the voluntary partnership agreement (VPA) regime: Synthesis from lessons learned in Cameroon, the Democratic Republic of the Congo, Ecuador, Gabon and Indonesia

Contact Info

Product

Resources

About