Indonesian Collector Oei Turns Tobacco Into Art, Sees Slowdown

Source from:  Interview by Adam Majendie Sept. 22 (Bloomberg) 09/23/2008

Indonesian art collector Oei Hong Djien is planning his third museum. There isn't room in his existing two galleries and house for more than a fraction of the 1,500 works he acquired over the past three decades. Oei, 69, was one of the first to systematically buy contemporary Indonesian art, long before prices for the nation's artists began to rise exponentially in 2006. That's given him a sanguine attitude to concern that a slump in financial markets will kill the 10-year bull run in art. ``The price increases of the past will not happen again,'' he said at his home in Magelang, central Java. ``The market will slow down. Buyers will be more selective -- good works will maintain their prices.'' Oei's friendship with expressionist painter Affandi in the 1980s developed into the most comprehensive private collection of modern and contemporary Indonesian work. The two museums in the grounds of his house, one for 20th-century works and the other for contemporary ones, contain paintings by Affandi, Hendra Gunawan, Sudjojono, Yunizar, Nyomen Masriadi and more than 100 others, as well as sculptures and installations. Oei was one of the first to collect works from artists such as the five-member Jendela group from Sumatra who had broken from traditional landscapes and portraits. ``When I started collecting young artists, most of them (Indonesian collectors) didn't want to join,'' he said. `They said, `You're collecting junk that no one wants!''' Market Shift The market shifted after overseas collectors began to buy works of artists such as Putu Sutawijaya and Masriadi at Christies International and Sotheby's auctions in Hong Kong and Singapore. Prices jumped 10-fold. Sutawijaya's ``Looking for Wings'' sold in Singapore for S$114,000 ($80,000) with fees against a presale top estimate of S$9,000. ``Then the eyes of the Indonesian collectors opened,'' Oei said. ``They started also to buy.'' Oei said the cause of the sudden change was China, where prices had risen rapidly since 2000. Some collectors were looking for a cheaper alternative. The China effect boosted markets across Asia, including India and Indonesia, traditionally the biggest art producers in south and southeast Asia. Prices were also rising as economic growth in the region created new collectors. ``There are so many new faces,'' Oei said in an interview at his home. ``Most of them are young executives who profited a lot from the previous stock-market rise. After the stock market was on the down side, they turned their attention more to these works of art because they heard that this is a lucrative investment.'' More Competition The run-up in prices has been a mixed blessing for Oei. While the influx of collectors helped turn the spotlight on Indonesian art, it has also meant more competition for works. Fame and money have also affected the quality of the works, Oei said. ``Some of the mature artists are stimulated by this boom and their works even increase in quality, but you have a lot of young artists who want a shortcut -- imitating successful paintings and following them without actually trying to be themselves. ``I have met many talented artists who became too materialistic and then they try to produce as many works as possible just to become rich as quick as possible.'' Oei studied pathological anatomy in the Netherlands before returning to Magelang in 1968 after the death of his father to take over the family tobacco business. On the wall next to the entrance of his modern-art museum is a two-story marble relief by Widayat depicting the cycle of the tobacco plant, from seedlings through to the bales of dried leaves in a warehouse and, below, an art gallery. Tobacco Warehouse ``We are turning tobacco into art,'' grinned Oei, looking at the mural. It's a tobacco warehouse that Oei plans to convert into the new museum. Work will probably start after the current harvest, he said. Meantime, the fate of the Indonesian art market remains tied to China, Oei said. ``Everything depends on the economic situation, especially in China,'' he said. ``As long as China is still hot, I think we are quite safe, but if there is a crest in the market we will also get the effect.'' Still, Oei continues to collect. At a recent exhibition, he bought work by a young artist named Dedy Sufriyadi, he said. ``Good art will always be a good investment, but the artist who is only following the trend will not last,'' Oei said. ``That's true everywhere.'' Enditem