Ketum Kadin Highlights The Existence Of Persons Who Cause Textile Industry To Decrease

Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) Arsjad Rasjid. (Photo: Mery Handayani/VOI)

JAKARTA - Chairman of the Indonesian Chamber of Commerce and Industry (Kadin) Arsjad Rasjid highlighted the practice of several individuals which contributed to the decline in the performance of the Indonesian textile industry.

He assessed that certain individuals took advantage of imports of goods uncontrollably.

"Based questions why our textile industry is decreasing? But also the question of what about existing imports? What are the restrictions rather than imports? Because don't let goods from certain countries go free, because certain individuals run for the textile industry, for example, which is also very vulnerable," said Arsjad as quoted by ANTARA, Tuesday, June 25.

According to Arsjad, import practices abused by certain individuals cause unhealthy competition for the domestic textile industry.

This not only harms large factories, but also has a direct impact on the home industry and micro, small and medium enterprises (MSMEs) engaged in the textile sector.

"Because now in the context of textiles, it's not only in the factory, but also in the home industry. Where there are many friends, our brothers and sisters, MSMEs. So, this is where it comes back again. If asked by Indonesia, the fundamentals are fine. But the world is not doing well, "he explained.

Just so you know, President Joko Widodo (Jokowi) also held a limited meeting attended by a number of cabinet ministers to respond to the large number of local textile industries that went out of business.

"Just now the meeting was about complaints from the textile industry, textile industry players who were closed some, and there were some who were threatened (to carry out) mass layoffs," said Trade Minister Zulkifli Hasan after attending the meeting at the Presidential Palace, Jakarta.

In order to respond to this issue, the government is considering reimposing the Regulation of the Minister of Trade (Permendag) Number 8 of 2024, which is an amendment to Permendag 36/2023 concerning Import Policy and Regulation.

The re-implementation of the regulation is a suggestion from the Minister of Industry Agus Gumiwang Kartasasmita which is expected to stem the wave of layoffs experienced by the textile industry.

"But it was agreed that we used the imposition instrument for TPT and finished clothes, electronics, footwear, and ceramics, the bags were worn by BMTP and anti dumping all of them," said Zulhas.

Zulhas said that he and the relevant ministers would formulate further regulations regarding import policies and regulations, so that they could be implemented immediately.

"Hopefully tomorrow if the letter is finished, it means the day after tomorrow, three days later the imposition of BMTP and anti- dumping entrance fees can be completed. Now, while to formulate the protection (textile industry) in the long term proposed by the Ministry of Industry, whether to return to Permendag 8, whether to draw up new regulations, later we will negotiate further," he said.