The road to success in the world of handicraft business
in Bali is seldom a straight one. There are financial issues,
problems with raw materials, greedy middlemen and many other
bumps on the road to overcome. Few people know this better
than souvenir producer, Ibu Sunati. Three years ago, Sunati
was under the impression that she was a step closer to having
a successful business- she received a large order from an
Australian buyer for a shipment of basket-woven tissue box
holders. Once the products were made, Sunati was given a cheque
for 25 million rupiahs (approximately US$2,600) from a local
cargo company who acted as an intermediary for the buyer.
The cheque turned out to be fraudulent but Sunati could not
afford to take legal action. Unfortunately, what happened
to Sunati is quite common in the craft business but small
producers, like her, continue to take the chance. Sunati did
not let the incident bring her down and so she started from
scratch again and continued to work. Tragically, she suffered
another shock when the local market in which her retail shop
was located was burned to the ground in May this year. With
no insurance, she lost everything and became heavily in debt.
Local non-profit-organisation, the Wahana Kria Putri Foundation
(WKP) and its micro business development program offered Sunati
loan provisions to help get her business back on track. The
Foundation was founded by two indigenous women in Denpasar,
Bali in 1996, in response to widespread poverty in Bali. Its
primary program is developing small businesses through a system
of women’s group lending methodologies and individual
loans. Specifically, WKP aims to reach low-income widows and
women with families in rural areas, as well as poorly educated
unemployed women and street vendors in the urban areas. The
Foundation’s approach to poverty alleviation ensures
that the poor is given the opportunity to establish a sustainable
source of income and be able to take care of themselves, their
family and the local community.
Recently, the Foundation established a Business Development
Services program that aims to help these small businesses
expand. Australian Youth Ambassador for Development volunteer,
Amy Wan, is working as a project officer in handicraft development
and marketing. The strategy is to create a brand, refine the
products to western standards and approach Australian retailers
who may be interested in importing the goods for sale. And
so, the trading label Bali Artisans was born. Drawing on her
experience as a designer, Amy began to put together its first
product catalogue- handcrafted silver jewellery, created by
Made Sudani, a partner producer who lives a rural village
in Gianyar. The jewellery business is particularly tricky
in Bali as there is already a huge amount of large manufacturers.
Competition is extremely fierce and many home-based silversmiths,
like Made, struggle to make a sale. During times when she
does not have any purchase orders, Made and her husband- also
a silversmith- must do contract work at the factories to put
food on the table. With a three-month-old daughter under the
care of the grandmother, Made hopes that her business will
improve so that she can work from home and spend more time
with her daughter.
One of the most common problem that handicraft producers face
is being paid short of their worth. On her first trip to Bangli,
an agricultural town about an hour from Denpasar, Amy met
Komang - a young basket weaver who claimed that her middleman
pays her18,700 rupiahs (approximately AUD$2.50) for a full
day’s worth of weaving boxes. She is required to weave
twelve a day. Knowing that each of her boxes are retailing
at $6 each in popular tourists shops, she refuses to argue
with her middleman in fear of losing the business. The problem
is mostly caused by a lack of education and limited access
to the consumer market. However, the Business Development
Services program is offering free training in business management
and product pricing, as well as fair trading.
Fair Trade is an agreement between producers and buyers to
trade products at a fair price. Producers are usually paid
above the minimum wage and work in a safe and clean environment.
Bali Artisans is a strong supporter of fair trade and strictly
adheres to the policies as set out by the International Federation
of Alternative Trade (IFAT). Partner producers are given 70%
of the turnover from product sales whilst 30% goes to Bali
Artisans to cover the cost of overheads and project funding.
At the moment, Amy and her counterpart are establishing a
potential client list in Indonesia, Australia and New Zealand.
Next May (2008), Amy hopes to return to Australia to participate
in Fair Trade Fortnight, an event organised by the Fair Trade
Association of Australia and New Zealand, and set up a stall
to promote Bali Artisans’ products to the western audience.
“Fair trade works because it gives the “back-room”
producer a chance to finally earn what they deserve. All of
the craftspeople I’ve met here are in a state of desperation
but they know that help is on the way. It moved me to see
the smile on Made’s face when I showed her the catalogue
I did for her”, said Amy. Made’s jewellery is
beginning to attract some interest from Australia and Hong
Kong. When asked about what she would like to do with the
money earned from sales, Made Sudani plans to reinvest in
her business and create more experimental pieces. “I
like the fact that I am relying on my own abilities to get
the business going and give my daughter a secured future.
Bali Artisans has given me the respect and support I needed
to keep myself motivated”.
For more information about Bali Artisans (Wahan Kria Putri
Foundation), readers can contact Amy Wan, Product Development
& Marketing Officer, at Jalan Tukad Saba 10A, Panjer Denpasar.
Telephone 236376, Fax 228291 or mobile phone 0813 37804843.
Amy’s email is wanamy@hotmail.com and the foundation’s
website is www.baliartisans.net
Notice: Any non-profit group wishing to be profiled
please contact Lucy at
E-mail:writers@baliadvertiser.biz
