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Illegal Textile Products Dominate Indonesian Market

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22 February 2017 21:10 WIB

Textile industry. TEMPO/PUspa Perwitasari

TEMPO.CO, Jakarta - Illegal imported textile product continues to dominate Indonesia’s domestic market. The origin of around 16.7 percent of all textile product consumption could not be traced.

Secretary General of the Synthetic Manufacturers Association of Indonesia (Apsyfi), Redma Wirawasta, predicted that the textile and garment products that were illegally available throughout 2016 reached 310,000 tons.

The number originates from textile consumption volume deviations against the volume of the domestic and import products that was recorded by the Central Statistics Agency (BPS).

Redma estimated that Indonesia’s total textile consumption throughout 2016 reached 1.86 million tons. Meanwhile, the sales volume of domestic textile products reached 1.4 million tons and the import volume reached 151,000 tons.

“The volume of public’s consumption is larger than its production and import. Where do they purchase these items? These are truly items that are not recorded,” Redma said on Tuesday, February 21, 2017.

“We suggest creating a regulation on permissible imported textile products that have not been produced in-house. This is to avoid the same thing reoccurred,” Redma said.

Meanwhile, the Chairman of the Indonesian Textile Association (API), Ade Sudrajat, said that the government can prevent imports of similar products available in the country through the tariff changes.

Ade explained that a number of products manage to slip into our domestic market because it is still recorded in the same tariff with other products that cannot be produced in-house. The government can place a more specific rate in order to prevent the troubled product from entering Indonesia’s market, while at the same time, ensuring that the products that are not produced in-house can enter the market without hindrance.

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