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Ministry of Industry to boost exports in textile industry

19 October 2020 10:38

JAKARTA - The Ministry of Industry actively invites all relevant stakeholders in an effort to spur the performance of the textile and textile products (TPT) industry because it is one of the sectors that has been severely affected by the Covid-19 pandemic. Strategic steps that are being carried out include increasing the export value of these national superior products.

"The textile industry is part of a sector that has priority for development because it has a role as a contributor to foreign exchange and absorbs a lot of workforce. Therefore, the textile industry is included in the seven sectors on the road map for Making Indonesia 4.0," said the Director General of the Chemical, Pharmaceutical and Textile Industry (IKFT) of the Ministry of Industry, Muhammad Khayam in Jakarta, Sunday (18/10).

The Director General of IKFT explained that the textile industry structure includes the upstream sector (fiber industry), the intermediate sector (yarn and fabric industry), and the downstream sector (apparel industry). In general, the national textile industry has a fairly complete and integrated industrial structure. In the downstream sector, for example, there is a staple and filament industry which has a production capacity of 1 million tons per year and is integrated with the chemical raw material industry.

Regarding the portrait of its performance, the Ministry of Industry noted that the growth rate of the textile industry in Indonesia continues to increase every year. In 2019, the textile industry was able to grow by 15.35% or a significant increase compared to 2018 which reached 8.73%. Meanwhile in 2017, this industry was recorded to continue to experience growth at 3.83%. This growth is supported by the high production of apparel in the textile industry centers.

Based on data from the Central Statistics Agency (BPS), in the second quarter of 2020, the textile industry contributed 6.93 percent to the GDP of the non-oil and gas manufacturing sector. Meanwhile, for the contribution to the national gross domestic product (GDP), the textile industry was in fourth place, being the largest contributor, reaching 1.24 percent. (LM)

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