BACKING UP WOODBASE INDUSTRIES
Over 20 years later, Indonesia and Malaysia together have produced more than 50 percent of the world output of tropical timber.
The next important producer , Brazil, outputs the tropical logs between 20 to more than 25 million cubic metres. Most of Logs produced are transformed within the countries themselves as raw material to primary industrial timber forest products ( sawnwood, veneer sheet, plywood ), and increasingly, semi- finish and finish product like moulding, blockboard, laminated blockboard and fancy board. Annual Review and Assessment of the World Tropical Timber Situation in 1998 by ITTO ( International Tropical Timber Organization): Tropical plywood is dominated by Indonesian, Malaysian, Japanese, and, to a much lesser extent, Brazilian producers, who together account for around 80 percent of all tropical plywood output.Expansion of logging operations supply raw material need into industries posed a significant threat to forest conservation efforts. In the ohter hand it is a significant driver of economic development and a generator of employment. Unfortunately the countries that produce logs or other forest product are categorized into the developing countries. These need much resource include of money to carry out their development actions.
It is necessary to use wood which categorized of unknown species or lesser used species. Nowdays, few kind of species have optimum used from natural forest to back wood base industries. Otherwise thousands of species left have not used yet, or used in minimum scale widely. Most research result indicated that many lesser used species not only have good or appropriate as building contruction but also as raw material to wood industries. Furthermore output wood industries will widely come up as input of other industrie like furniture, transportation, banking, manpower, household industries and retail.
In South America, ITTO Tropical Timber Market Report Number 16 (August 2008) said .... The Guyana Forestry Commission has announced an increase in production for lesser used species, which is leading to an expansion of the pecies utilization base in Guyana’s forest product sector. 
Recent trends have shown that several of the 15 species that were selected for promotion are now being harvested on a more commercial and sustainable basis. These species were found in a fair level of abundance in Guyana’s forests but were not being
utilized. From January to July 2008, muniridan and iteballi, two of the lesser used species under the ITTO project, ranked as the tenth and eleventh highest species harvested nationally, with darina and dalli also included in the top 20
species harvested in 2008. Production for ten of the 15 lesser used species (dalli, fukadi, futui, iteballi, itikiboroballi, kurokai, muniridan, suya, wadara and morabukea) had increased as much as 16% – 35% from 2006 to 2007 levels. Similar with the South America in according to climates and typical of rainforest, most lesser used specieses exist in Kalimantan, Sulawesi and Papua, Indonesia.
Which kind of wood industrial product will attemp good performance and achieve competitive advantage?. Forestry Research Development Agency in collaboraition with Faculty of Forestry Institute of Agriculture Bogor. To see further which kind of Industry goes to be?. In according to raw materials and valueadded probability, most valueable are; Veneer, core plywood, laminated plywood, moulding and household tools. ( Manurung et. Suwarno Litbang Kehutanan dan Fahutan IPB. 1999)
Forest Industrial Investment opportunity in Indonesia
Trade mission raises hopes for greater investment in Indonesia. During a three-day visit to Beijing this August, Indonesian Trade Minister Mari Elka Pangestu met with Chen Deming, the Chinese Trade Minister, to facilitate trade and investment issues between the two countries, due to increasing cooperation of Chinese companies with their Indonesian counterparts, Indonesia
believes furniture makers will import both Indonesian logs and produce furniture. This is hoped to improve valueadding and attract greater foreign investment.
Not only woodbase Industries need increasing investment, but also Non Timber Forest Product base Industries and Ecotourism open wide remain. These opportunity available in South Kalimantan, Central Kalimantan, East Kalimantan.
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