LPEI Promotes Home Decor and Crackers from East Java to Penetrate Global Markets

LPEI Promotes Home Decor and Crackers from East Java to Penetrate Global Markets

07 Feb 2024 |
Press Release

Share

Jakarta, February 7, 2024 - Lembaga Pembiayaan Ekspor Indonesia (LPEI) in collaboration with the East Java Provincial Government, continues strategic collaboration to promote the potential products from Go Export Villages in East Java to penetrate the global market. At the end of January 2024, LPEI and the East Java Provincial Government established three new clusters in Go Export Villages in Bojonegoro and Gresik, focusing on home decor crafts, rattan, and crackers.

LPEI will provide guidance and counseling to 640 craftsmen from 22 villages in Bojonegoro and Gresik, encompassed in the three Go Export Village clusters. The Go Export Village program aims to improve welfare and expand access to export markets, ultimately boosting the income of these village communities.

More than 70% of the craftsmen involved in this program are women, providing strong support for the role of women in local economic development. By identifying export potential in these three products, LPEI, through the Go Export Village program, offers a series of training and mentoring sessions for Export SMEs, craftsmen, and partners to penetrate the global market.

"The collaboration between LPEI and the East Java Provincial Government creates significant opportunities for craftsmen and partners in Bojonegoro and Gresik to enhance the competitiveness of local products globally towards the export market, with social, environmental, and sustainable impacts. This program reflects the joint commitment of LPEI and the East Java Provincial Government to support local economic growth and elevate the potential of Indonesia's flagship products to the global market," said Ilham Mustafa, Head of LPEI Consultancy Services Division.

LPEI will continue to provide technical support to craftsmen, including the implementation of export production standards, benchmarking to successful factories that have penetrated international markets, and encouraging partners to participate in international exhibitions, such as Ambiente in Germany.

The Go Export Village in Bojonegoro, located in the Kasiman Subdistrict, produces unique home decor crafts from corn husk waste processed by 65 craftsmen. Mostly women, these craftsmen receive training to turn corn husk waste into various craft products such as lamp sheets, wall decor, and decorative mirrors. In one month, craftsmen produce various home decor products, amounting to 550 pieces per month, with selling prices ranging from Rp40,000 to Rp200,000 per product. As an LPEI partner, CV Grandis Home will absorb the crafted products for export to the Netherlands and South Korea.

Meanwhile, the Rattan Go Export Village in Gresik is centered in Domas Village, known for producing rattan crafts such as chairs, tables, and other woven products since 1994. About 350 craftsmen, with 70% of them being women, produce various rattan crafts tailored to buyers' preferences, whether in modern or classic designs. These products are marketed by the Giri Sejahtera Craft Producer Cooperative, an LPEI partner, for export to Japan.

The third program is the Fish Crackers Go Export Village managed by BUMDes Pahala in Sidayu, Gresik, East Java. Approximately 225 cracker craftsmen at BUMDes Pahala process fresh fish into crackers. To maintain the quality and taste of the crackers, craftsmen use a higher composition of fish, requiring two kilograms of fresh fish for every kilogram of crackers. LPEI's guidance for the Fish Crackers Go Export Village aims to penetrate the export markets in Thailand, Malaysia, and the Netherlands in the near future.

These achievements are the result of the close collaboration between LPEI and the East Java Provincial Government. Until 2023, LPEI provided training and mentoring to 149 Go Export Villages, making East Java the province with the highest number of Go Export Villages in Indonesia. East Java Governor Khofifah Indar Parawangsa, during the 2023 Jatim Empowered Export Extravaganza, stated that LPEI's Go Export Villages not only promote exports but also strive to preserve the culture and local wisdom of East Java.

With the enormous export potential of East Java, reaching USD 20 billion per year, it becomes the third-largest province with the highest export value in Indonesia. Therefore, at the end of last year, LPEI strengthened partnerships in building the export ecosystem by collaborating with Bank Pembangunan Jawa Timur Tbk (Bank Jatim) on national export development.

Narahubung Media

Chesna F. Anwar

Corporate Secretary – Lembaga Pembiayaan Ekspor Indonesia

Ph. : (021)39503600

Email : corpsec@indonesiaeximbank.go.id

Web : http://www.indonesiaeximbank.go.id

Related Article