The ancient carving industry in Jepara is famous locally and worldwide. Its reputation has attracted many related economic activities linked to wood production and processing, especially furniture making. Today, Jepara is a typical example of what is called an ‘industrial district’1 in which growth in one sector (furniture manufacturing) has attracted thousands of small to medium-sized industries to the Kabupaten (administrative district)2. These in turn have created an opportunity for further subsidiary activities and industries. The many showrooms in Jepara are a microcosm of the range of furniture, designs, know-how, traders, and transport options on offer throughout Java.

This concentration of industrial activity has stimulated a substantial economic boom in Jepara and surrounding areas and attracted local political support. For example, the need for container trucks to export furniture led the Bupati to have some major roads in the district reclassified as ‘provincial class’ roads. This allowed container trucks to reach most parts of the district, stimulating economic growth by attracting more people and activities, generating new trade and industry, and elevating economic activity around Jepara to a new level. The minimum wage of workers is reputed to be significantly higher in Jepara than in the rest of the province.

The dynamic nature of the Jepara industrial complex also affects the Indonesian wood products chain, attracting timber produced from forests located throughout Central Java and beyond, including the outer islands. Thousands of trucks and pickups bring logs into the district from distant places, including state and community forest plantations. In addition to serving the huge domestic market in Indonesia, Jepara is well connected to foreign markets in the USA, Europe, Japan, Hong Kong, Australia and elsewhere, and thereby acts as a bridge between local people, forests and these global markets.