Indonesian textile exports up 0.62% in first half of 2017
Indonesia improved marginally by 0.62 per cent in its textile and garment exports on the Y-o-Y basis in the first half of 2017. Rise in knitwear garment exports, up 20.4 per cent in the period, contributed significantly in mounting exports. This surge would encourage the exporters to keep the same momentum for rest of the year. However, the country noted a decline in exports to major markets such as the USA, the EU and Japan by 3.6 per cent, 4 per cent and 5 per cent, respectively.
According to the Indonesian Textile Association (API), the growth noted is a pleasing sign for the Indonesian textile and garment exporters as despite falling demand for textile products in the global market, the country somehow managed to continue its positive trend. “The trade balance of apparels has improved markedly since the start of the year due to the regular support provided by the Indonesian Government and this has discouraged cheap imports into Indonesia to protect local industries,” remarked Ade Sudrajat, Chairman, API.
The boost in exports is also said to be a result of the introduction of automated processes in textile and garment manufacturing. Automation has made the exporters even more competitive in terms of pricing and delivery, thereby boosting the country’s export.
Additionally, the API is aiming to attract foreign importers with the country’s improving economy and political stability. This could, in turn, be a deciding factor in reinforcing Indonesia’s position in textile and garment industry. It’s worth mentioning here that the Ministry of Indonesia has set up 1.7 per cent (in the year 2016, it was 1.2 per cent) textile export growth target in 2017.