Textile industry demands effective execution
Textile industry players want effective implementation of economic stimulus packages to improve competitiveness as the country is moving toward free trade agreements with several countries.
Indonesian Textile Association (API) Chairman Ade Sudrajat said his group praised the 10 stimulus packages issued by the government, but added that those incentives are needed to be better implemented.
The group particularly highlights implementation of the stimulus packages that mainly have to do with electricity price cuts, gas price reductions and income tax incentives.
The government’s third stimulus package stipulates that industrial activities get electricity price cuts from 11 pm to 8 am. However, the textile industry and the state electricity company PLN, which supplies the power, interpret the stipulation differently.
Exports of Indonesia’s textiles and textile products surged from only $572.4 million in 2008, when the Indonesia-Japan economic partnership was first implemented, to $1.4 billion in 2014. Indonesia’s worldwide exports, meanwhile, only increased a little from $8.6 billion in 2005 to $12.7 billion in 2014.
Fonte: Pakistan Textile Journal
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