Menkop Teten Calls Illegal Imports Of Used Clothing Threatening The Fate Of One Million Workers

JAKARTA - The Ministry of Cooperatives and SMEs (Kemenkop UKM) said that the illegal import practice of used clothing could destroy the national clothing and footwear industry, so that it could cause many MSMEs to go bankrupt and lose their jobs.

Minister of Cooperatives and SMEs Teten Masduki said illegal import activities of used clothes were still rampant in Indonesia. Evidently, from 2019 to December 2022, the Customs office through the acting office in Batam has taken action against 231 illegal imports of used clothing.

Not only that, the Entikong Customs and Excise Supervision and Service Office (KPPBC) has also taken 82 actions, KPPBC Tanjung Priok with 78 prosecutions, KPPBC Sinte (58 prosecutions), KPPBC Tanjung Pinang 52 prosecutions, KPPBC Teluk Nibung 33 prosecutions, KPPBC Tanjung Balai Karimun 32 prosecutions, KPPBC Ngurah Rai 25 prosecutions, and KPPBC Atambua 23 prosecutions.

"If this sector is disrupted, there will be many people losing their jobs, because in 2022 the proportion of workers working in the TPT and footwear industry in large and moderate industries (IBS) will contribute 3.45 percent of the total workforce. MSME actors who run the clothing business reach 591,390 and absorb 1.09 million workers," he said in a written statement, Monday, March 20.

In addition, the rise of illegal import activities of used clothing in Indonesia can also disrupt state revenues. Based on BPS data in 2022, the manufacturing sector contributed 18.34 percent of Gross Domestic Product (GDP) according to the applicable price business field.

The TPT Processing Industry contributed very largely, namely IDR 201.46 trillion or 5.61 percent of GDP. Meanwhile, the manufacturing industry and the sales industry of Goods from Skin and Footwear contributed IDR 48.125 trillion or 1.34 percent of GDP for the Processing Industry.

Teten emphasized that this activity could also make Indonesia flooded with textile waste.

The many threats that came from illegal imports of used clothing made the government ban this activity in order to keep Indonesian MSME products growing and not squeezed by illegal imported products.

In 2021, KemenKopUKM has asked for and agreed with Shopee and Lazada to close the entrance access (seller crossborder) of 13 products from abroad. The 13 products are hijab, female Muslim tops, female Muslim subordinates, Muslim dresses, male Muslim tops, male Muslim subordinates, Muslim outerwear, mukena, children's Muslim clothing, Muslim accessories, prayer equipment, batik and kebaya. The reason is that these 13 items of products have been widely produced by mothers, Indonesian women in a number of areas.

"We want to make MSME actors host in our own country. We want the pride of every citizen to buy and use MSME products," added Teten.

Teten even appealed to the public to use fashion brands from Indonesia, such as Hammer, Eiger, Danjyo Hiyoji, as far as they can see, Cotton Ink, Monday to Sunday, Monstore, Nikicio, Toton, Et cetera, Major Minor, and R wayves Studio.