Indonesia Logo
From Batik to Drone, Indonesia Manufacturing Products Ready to Show Teeth in the Eurasia Market
Press Release

From Batik to Drone, Indonesia Manufacturing Products Ready to Show Teeth in the Eurasia Market

Calendar Icon

JULY 7, 2026

Six Indonesian specialty manufacturing products are ready to steal the attention of buyers, distributors, and investors from the Eurasian Economic Union (EAEU) region. Through its participation as the Official Partner Country at INNOPROM 2026 which takes place on 6-9 July 2026 in Ekaterinburg, Russia, Indonesia displays various superior products in the Specialty Manufacturing & Consumer Goods pavilion zone, covering batik and batik machine technology, geospatial survey services, drones, specialty coffee, home decoration, as well as fashion and textiles.

"Indonesian manufacturing products are not only able to compete in terms of quality and innovation, but also offer added value born from creativity, sustainability, and a strong cultural identity. Through INNOPROM 2026, we want to open more opportunities for industrial, trade, and investment cooperation with international partners," stated the Minister of Industry of the Republic of Indonesia, Agus Gumiwang Kartasasmita, in Jakarta (1/7). According to him, Indonesia's participation in INNOPROM 2026 becomes a strategic step to expand market access while strengthening the position of the national manufacturing industry in the Eurasia region.

The Eurasia market now becomes one of the increasingly promising export destinations for Indonesian industry. Changes in market dynamics in Russia in recent years open wider space for quality products from partner countries. These conditions are further strengthened by the entry into force of the Indonesia-Eurasian Economic Union Free Trade Agreement (I-EAEU FTA), which provides preferential tariffs for various Indonesian superior products, including textiles, furniture, and crafts.

Director General of Small, Medium, and Miscellaneous Industries (IKMA) of the Ministry of Industry, Reni Yanita, assesses these conditions as an opportunity that needs to be utilized by national industry players. "Indonesian specialty manufacturing products have advantages that are difficult to imitate because they combine a strong cultural identity, skills inherited across generations, as well as production capabilities that continue to develop following global market standards. INNOPROM 2026 becomes an opportunity to introduce those advantages while building sustainable business partnerships in the Eurasia region," she explained.

One sector that has great prospects is furniture and crafts. The market value of Russian household furniture in 2024 reached around USD 12.8 billion and is projected to grow an average of 5.4 percent per year until 2032. This growth is driven by increasing demand for premium products, more personalized designs, and the use of environmentally friendly materials, characteristics which so far have been the strength of Indonesian furniture and craft producers.

The size of that market potential is in line with the increasing competitiveness of the national industry. Based on data from the Directorate General of IKMA, the export value of Indonesian craft products in 2025 reached USD 806.63 million or increased by 15.46 percent compared to the previous year. Meanwhile, the export value of the craft industry in the First Quarter of 2026 reached USD 165.27 million or increased by 4.08 percent compared to the same period the previous year.

The furniture industry, Reni continued, has export potential that must continue to be maximized. Based on Trademap data (HS 9401-9403), the export value of the Indonesian furniture industry in the January-December 2025 period was recorded at USD 1.84 billion. The United States still becomes the main export destination country with a share reaching 53.3 percent of the total national furniture exports. Meanwhile, in the First Quarter 2026 period the export value of the furniture industry was recorded at USD 458.56 million, decreasing 12.1% compared to the same period in 2025, where the United States still becomes the main export destination country with a market share reaching 54.97%.

To utilize this opportunity, Indonesia presents six industry players who represent various specialty manufacturing subsectors with high export potential. Those six companies were chosen because they represent the capability of the Indonesian industry in combining innovation, technology, as well as cultural wealth into value-added products. Participants who appear include CV Batik Teknologi Indonesia which displays batik and batik machines, PT Techno GIS Indonesia with geospatial survey services, PT Karya Solusi Angkasa which presents drone technology, PT Nestra Kottama Indonesia with specialty coffee, PT Khadija Kriya Abadi through home decoration products, as well as Apikmen Tandangawe Sempurno which brings fashion and textile products.

Reni added, the participation of those six industry players is part of the government's strategy to expand market access of value-added manufacturing products to non-traditional regions. "Implementation of I-EAEU FTA must become a real opportunity for national industry players to expand business networks, increase exports, while building mutually beneficial industrial partnerships. We hope Indonesia's participation at INNOPROM 2026 can produce sustainable collaboration with partners in the Eurasia region," she concluded.

Indonesia's participation at INNOPROM 2026 also becomes an initial step in optimizing the implementation of the I-EAEU FTA which was signed on 21 December 2025 in St. Petersburg, Russia. With tariff preferences covering around 90.5 percent of trade tariff lines of both parties, the government is optimistic that agreement will accelerate the entry of Indonesian manufacturing products into the Eurasia market while expanding industrial, trade, and investment cooperation between the two regions.

Indonesia's participation as Official Partner Country at INNOPROM 2026 is expected to be the beginning of increasingly broad world recognition of the quality and competitiveness of the national manufacturing industry. Supported by increasingly open market access and industrial capabilities that continue to develop, more Indonesian products are expected to be able to penetrate the Eurasia market, build long-term business partnerships, as well as strengthen Indonesia's position as a trusted industrial partner at the global level. In the end, that export market expansion is expected to drive investment, create job opportunities, and provide greater added value for the national economy.