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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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Home arrow Latest News arrow TPT Imports are Expected Stay Through The Bonded Logistics Center


				
			
			
TPT Imports are Expected Stay Through The Bonded Logistics Center PDF Print E-mail
Written by Maizer   
Thursday, 20 June 2019

Textile producers are asking the government not rush to remove the ease imports of textiles and textile products through the Bonded Logistics Center (PLB). The reason, the presence of PLB facilitates domestic industries in the procurement of raw materials and semi-finished goods.

 

Chairman of the Indonesian Textile Association (API) Ade Sudrajat requested that the government do not rush to revise the provisions on import of TPT by returning it to the border inspection line. He suggested that the government prepare a full review of the import policy.

 

In my opinion, the current rules are only perfected. Those provisions that have negative effects are revised, not all of which are immediately changed. "The policy is the same as a setback," he explained.

 

The presence of the import policy through the PLB actually has a positive effect on the domestic textile industry, especially in procuring raw materials and semi-finished goods. The reason is that the provision is proven to cut the time of importation and provide flexibility for the domestic textile industry to make payments at the time of purchase.

 

The surge in imports of textiles and textile products was due to too loose provisions given by the government to importers of general importer identification numbers (API-U). Moreover, according to him, imports carried out by API-U no longer require recommendations from the Ministry of Industry after the import route is carried out through the PLB.

 

"If the problem lies in loosening the supervision of imports by API-U, the provisions regarding ÄPI-U are evaluated. Not everything is revised, "he said firmly.

 

Ade added, the surge in finished textile imports in Indonesia, in addition to the loosening of import provisions by API-U holders, was also caused by the non-harmonization of tariff rules between upstream and downstream industries.

 

He said, since 2011, yarn imports mainly from polyester were subject to antidumping import duties (BMAD) of 40%. This has an impact on the high price of yarn imported by Indonesian producers. Meanwhile, at the same time, the government did not implement a similar policy on fabric commodities.

 

"As a result, the price of imported fabrics is much cheaper. Because exporters from abroad, choose fabric exports to Indonesia because they are not subject to additional import duties, different from yarn, "he explained.

 

The Ministry of Commerce is ready to revise the rules regarding the importation of textile products through a bonded logistics center (PLB), because the loose checks are considered to make the import figures swell.

 

The Minister of Trade Enggartiasto Lukita said he agreed with the proposal of the Ministry of Industry to evaluate the provisions in the process of importing textile products through the PLB. According to him, the Minister of Trade Regulation (Permendag) No. 64/2017 concerning provisions on the Import of Textiles and Textile Products has actually not been fully implemented.

 

One of the discourses he floated was to restore the TPT import path through border checks. But according to him, the discourse is not the only solution that will be taken by the government.

 

 

 
		
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