Advertisement Advertisement Advertisement
 
 
Lost Password?
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.


	
Product
Find millions of selling leads from around the world,now!
Featured Company
TIFICO FIBER INDONESIA PT (PT. TIFICO)
SUSILIA INDAH SYNTHETIC FIBERS INDUSTRIES, PT (SULINDAFIN)
Pollyfin Canggih, PT
PT. TESTEX TESTING AND CERTIFICATION

Data & Statistic
  INDONESIA' EXPORTS / IMPORTS OF TEXTILE COMMODITIES JAN-MAR 2019
  INDONESIA' EXPORTS / IMPORTS OF TEXTILE COMMODITIES

Special Feature
  Texprocess presents ‘Digital Textile Micro Factory’ for the first time
Home arrow Latest News arrow Only 3 Months Left, The Textile Industry On The Edge


				
			
			
Only 3 Months Left, The Textile Industry On The Edge PDF Print E-mail
Written by Maizer   
Wednesday, 15 April 2020

The textile industry can only last for the next 3 months amid the COVID-19 pandemic. The problem of cash flow is the reason behind the industry's 'death'.

 

"Cash flow is maximum in July. That's the longest average. Layoffs in plain sight. If this policy is not taken, the industry is faced with difficult conditions, "said Executive Secretary of the Indonesian Textile Association (API) Rizal Tanzil Rakhman.

 

1. A declining market

Rizal said the textile industry is currently experiencing a decline in production. Many cancellations occur up to 70 percent. Not only that, the utility or production activities also dropped to 40 percent from 80 percent in normal time.

 

"The local market is because Tanah Abang is closed, the market is quiet. Public purchasing power is down. Orientation of the purchase of the community although ahead of Eid but not textiles. A lot of matters are for staples and including medicine, "he said.

 

2. Operating costs

The textile industry is faced with large operational costs including salaries for employees. Not to mention they have to pay salaries and holiday allowances (THR).

 

"Goods do not sell but the obligation must still pay. Pay for electricity, BPJS Employment, pay the bank for capital loan installments. The others keep going. The money went out but there was no money coming in, "he said.

 

Needed stimulus funds from the government

 

To extend the life of the textile industry, the stimulus is needed. Several things were asked by the textile industry related to the financial sector and taxation.

 

For the financial sector such as relaxation in the form of a temporary delay in payment of the principal for at least 1 year, a decrease in loan interest rates, and stimulus for working capital to keep producing so as not to be laid off.

 

Then for the tax sector includes 50% PPH Agency Tax relief for 2020; improvement of Corporate and Personal SPT by paying only Principal; and elimination of sanctions, postponement of deadline for payment of Corporate PPH to 30 October and Personal PPH to 30 September with the elimination of fines and interest; and extend the payment period for Output VAT to 90 days.

 

"We request government intervention to provide financial relaxation related to the impact of the COVID-19 pandemic so that the industry can maintain production activities and maintain labor absorption, especially ahead of Ramadan and holidays," Rizal said.

 

 
		
More Latest News & Recent
3 Batam Customs Officials Become Suspects of Textile Import Case
Denim Show announces new dates for New Delhi and Mumbai editions
Government Revokes Prohibition of APD Export
Strategy to Restore the Economy After Corona
Strategic transformation underway at Loepfe
Latest Selling Leads
kain twill kembang 2019-03-26
Printmate 2017-10-27
Label 2017-04-07
Canvas Fabric 2016-04-29
POST   |   MORE
Latest Buying Leads
kain katun jepang 2019-03-26
Cari Kain 2019-03-26
Twill Pants 2017-04-07
All Finish Fabric 2016-03-21
POST   |   MORE
  EXPERT PERSPECTIVE
Export Perspective of Textiles Industry
Suharno
IKATSI Chairman
Export Perspective of Textiles Industry
Read more...
Advertisement
Advertisement
Advertisement
 
 | Home | About Us | Contact Us | Organization Link | Our Publication | Advertisement | Sitemap | CSR | Term & Condition  | 
Copyright © 2008, All rights reserved by CV. Gaindo Pratama Indonesia.