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APSyFI: The national textile industry is headed for a trade deficit, 2018 exports grow 1% and imports grow 14% (yoy).--IKATSI: The growth of the national textile industry is still hampered by floods of imports, Indonesia needs a clothing security law.


	
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Difficulties in Textile Raw Materials PDF Print E-mail
Written by Maizer   
Thursday, 23 May 2019

Chairman of the Indonesian Textile Association (API) Ade Sudrajat explained, so far domestic small and medium-sized industries (IKM) have received raw materials for production at high prices because they are bought individually or have not been consolidated.

 

The high price of raw materials is also due to  IKM not having direct access to producers of raw material providers.

 

"With this improvement, they can meet the shortages that were previously imported can be filled by domestic producers. Don't let the majority of imports make the trade balance a deficit, "he said.

 

Ade added, actually the issue of availability of raw materials for textiles was regulated by Minister of Trade Regulation No. 64 / M-DAG / PER / 8/2017 concerning Amendments to Minister of Trade Regulation No. 85 of 2015 concerning Provisions on the Import of Textiles and Textile Products.

 

Therefore, he hopes that the regulation can be truly realized to facilitate the IKM in obtaining imported raw materials and auxiliary materials, ease of procurement and import production equipment, and shorten the supply chain between raw material producers and IKMs.

 

"Thus, IKM, especially textile products and textile products, will be a mainstay to supply the needs of the domestic market and can subsequently supply foreign markets or exports," explained Ade.

 

 
		
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