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Home arrow Latest News arrow RI Manufacturing Sector Increasing Productive


				
			
			
RI Manufacturing Sector Increasing Productive PDF Print E-mail
Written by Maizer   
Friday, 03 May 2019

The performance of the manufacturing industry is considered increasingly productive and competitive. Based on data from the Central Statistics Agency (BPS), the production of large and medium manufacturing industries (IBS) in  first quarter of 2019 rose 4.45 percent compared to the same period last year.

 

This number is also higher than during 2018 which only reached 4.07 percent. The increase in IBS production was sustained by the apparel industry sector which rose 29.19 percent due to the abundant number of orders, especially from the export market.

 

"Based on the road map of Making Indonesia 4.0, the textile and clothing industry is included in the five sectors that are prepared as a mainstay in the application of industry 4.0 in Indonesia. The textile industry is one of the manufacturing sectors categorized as strategic and priority in supporting the economy. "said Minister of Industry Airlangga Hartarto in his written statement this weekend.

 

He said the ability of the textile industry in the past two years to be increasingly competitive, both in the domestic and global markets. This can be seen from the growth rate of the textile industry in 2018 which reached 8.73 percent or able to surpass national economic growth of 5.17 percent.

 

"In 2018, the textile industry became a significant foreign exchange earner with an export value of USD13.22 billion, up 5.55 percent compared to last year. The textile industry also absorbs 3.6 million people. This makes the textile industry a labor-intensive sector and export oriented, "he explained.

 

Another IBS sector whose production grew rapidly was  beverage industry by 24.8 percent, followed by printing and reproduction industry of recording media 21.44 percent, tobacco processing industry 17.19 percent, and furniture industry 12.92 percent.

 

Airlangga is optimistic that the performance of the textile industry and the food and beverage industry can grow high in the first semester of 2019. One of these surges was sustained by consumption growth during the 2019 and Ramadan elections.

 

"The increase was mainly in the domestic market along with yesterday's election and ahead of the coming of Ramadan," he added.

 

 

Stay conducive

 

In addition to IBS production, based on BPS data, the production growth of micro and small manufacturing industries (IMK) in the first quarter of 2019 also rose 6.88 percent from the same period the previous year. This number increased 4.55 percent from quarter IV-2018.

 

On the other hand, the stretch of the Indonesian manufacturing industry can be seen from the purchasing manager index (PMI) achievement released by the Nikkei. Indonesia's manufacturing PMI in April 2019 stood at 50.4, indicating the expansion of the manufacturing sector.

 

"This also indicates they see the business climate in Indonesia remains conducive and able to manage the economy through new norms," ​​Airlangga said.

 

At present, the manufacturing industry is noted to be able to contribute to the national gross domestic product (GDP) by 20 percent. "From the 20 percent achievement, Indonesia is ranked fifth among the G-20 countries," he explained

 

 

 

 

 
		
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