Objectives : To enhance the role of smallholders in teak production in Indonesia by identifying impediments to involvement and identifying means to alleviate those impediments, thereby improving livelihoods of smallholders. Expected Output : The proposed project will produce the following outputs for the benefit of small-scale producers: (a) Identified inefficiencies of supply and value chains that lead to strategies to improve value chain efficiency and strengthen the furniture industry and (b) Strategies and actions to strengthen market engagement and position leading to enhanced value addition and capture of higher prices. Method : The project will analyse value chains and use action research. Analysis will be done in the first and second year. The second, third and fourth year will focus on involving stakeholders to develop and adopt new strategies for industry structure, marketing, and value addition, and to strengthen producer organisations. The fourth and fifth years will monitor changes and strategy adoption, re-orientating strategies and action where necessary.