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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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Performance of Textile and Footwear Industries is Contradictory PDF Print E-mail
Written by Maizer   
Friday, 09 October 2020

This year, the two fashion industries will move apart. The volume of footwear production is forecast to move in the green zone, while the production of textiles and textile products in the red zone.

 

The Indonesian Footwear Association (Aprisindo) which states that it is provided by export-oriented manufacturers. In addition, Aprisindo recorded that factory utilization began to increase as of September 2020.

 

"At least it is the same as last year [at the level of] US $ 4.4 billion, but we are still sure [at least] it can be positive by around 5 percent," said Aprisindo Executive Director Firman Bakrie.

 

Meanwhile, Firman has not yet obtained local-oriented production data. Even so, he assessed that the face-to-face teaching and learning activity policy carried out by some schools in Central Java could be a positive catalyst.

 

In addition, the Word of market demand assessment at Christmas and New Years can stimulate domestic demand. "That's the last hope this year."

 

Secretary General of the Indonesian Textile Association (API) Rizal Rakhman stated that the utilization of the textile and textile products (TPT) industry is currently in the range of 60 percent. However, he continued, the national textile industry production volume growth will still contract by around 1 percent.

 

Improving the handling of Covid-19 targeting is still the key to growth in production growth. The reason is, accelerating the handling of Covid-19 can increase consumer purchasing power which in turn drives manufacturing utilization.

 

As a result, Rizal predicts that the utilization of the new textile industry will improve the fastest in the first quarter of 2021 or the second quarter of 2021. Meanwhile, the catalyst for improved utilization comes from the commercialization of the Covid-19 vaccine and the publication of garment product safeguards.

 

"It takes time [for the utilization of the national textile industry to improve again], but I think this is a health issue first," he said.

 

 

 
		
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