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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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Response of the Textile Association Regarding Ramadhan Market Opportunities This Year PDF Print E-mail
Written by Maizer   
Monday, 10 February 2020
The Indonesian Textile Association is pessimistic that the garment industry will get a blessing ahead of Ramadan this year in the form of a surge in manufacturing utility. Usually the manufacturer's utility will surge to a level of 100% in the 2-3 months approaching Ramadan.

 

West Java API Secretary General Rizal Rakhman suspects this was caused by a surge in apparel imports at the end of 2019. Rizal noted the surge occurred in non-knit products, hoods, women's clothing, and other garment products.

 

"Not yet [there seems to be an increase in demand]. We indicate this seems to be [due to imports]. I forget the number [up] by what percentage, but it is worth US $ 40 million in January-December 2019," he said.

 

He predicts the surge in demand for Ramadan 2020 will be filled by imported apparel products. The reason is, there is no increase in the volume of imported fabrics.

 

Rizal suspected that the surge in apparel imports in December was intended to fill the surge in demand approaching Eid al-Fitr. To halt the flow of imports, Rizal said it was proposing a safeguard for apparel products.

 

In addition, he revealed that his party would also implement non-tariff measures. Meanwhile, some measures that are being undertaken are the removal of import ports.

 

He considered the application of the Indonesian national standard (SNI) would take a long time for its approval. Rizal said that it needed tactical and quick action to save the garment industry this year.

 

"Move [distant import ports], [like] in Papua or Timika. [We will take tactical actions] before Lebaran while parallel safeguards are carried out," he explained.

 

Rizal said the surge in apparel imports by the end of 2019 will have an impact on growth in the I / 2020 quarter and throughout 2020. In addition, the decline or cessation of fabric manufacturers in China due to the corona virus will also contribute to the revision of the growth of the garment industry in 2020.

 

Meanwhile, currently local fabric products have been protected with import duties on temporary protection (BMPTS). Even so, he revealed imported fabrics from China remained cheaper because before BMPTS Chinese fabric prices were lower by 20% than local fabrics.

 

 

 

 

 
		
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